Posted on 09/22/2016 5:01:10 PM PDT by Right-wing Librarian
"With around 94 million people out of the workforce, and the near record low Labor Force Participation rate, former Assistant Treasury Secretary Dr. Paul Craig Roberts says, “The Labor Force Participation rate never falls during a recovery. It rises because people are entering the labor force to take advantage of the strong economy and jobs. So, there isn’t any economy.
There is a house of cards that is held together by central bank money creation. The money flows into financial assets. That’s what keeps the stock market up, and it flows into bonds, which is why we have essentially 0% interest rates. . . .
So, the economy is essentially a hoax.”
Join Greg Hunter as he goes One-on-One with economic expert and award winning journalist Dr. Paul Craig Roberts."
Paul Craig Roberts was the United States Assistant Secretary of the Treasury for Economic Policy under President Reagan. Cue the naysayers, this man is spot on.
The only difference between now and the Great Depression is that the bread lines are now electronic, and the Civilian Conservation Corps is the Government workforce.
Yes, this thing is one dangerous beast. Most of America is blind to it, too.
Well, except for those 94+ million.......
Precisely correct!
In this interview, he really increased my awareness and understanding of specific war-provoking stunts this Administration has pulled. The U.S. gov’t (and sadly, We the People) will be lucky if we escape the world’s wrath for the world turmoil O & HRC & the rest of the cabal have caused.
Ironically, the Fed doesn’t see a bubble in real estate asset prices, so they’re not too worried about a repeat of 2008, but they’re missing the biggest bubble of, literally, 5,000 years.
And where’s that 5,000 year bubble? In their own house, interest rates, or conversely, bond prices. Over 5,000 years of recorded history interest rates have never gone negative (other than a short time on t-bills in the U.S. for extraneous reasons during the Depression, I believe it was.) But now the actions taken by several central banks have driven interest rates into negative territory on government bonds, even bonds as long as ten years.
When this one pops, and investors have to come to grips with the fact that they’re sitting on bonds purchased to yield virtually nothing while they could turn around and buy bonds yielding 5, 6, even 8 percent again, the carnage in the bond market will destroy a good many financial institutions, including pension funds.
But they don’t see any evidence of a bubble...anywhere. Amazing.
Meanwhile, the U.S. Government will be plunging toward banana-republic status because financing the massive debt laid on in recent years will break the budget. No bubble indeed.
I don't see negative interest rates as a "problem" as much as a symptom ... and it's a symptom of a serious deflationary cycle in the economy.
Obama has the fed printing $80 billion a month for 8 consecutive years.
That is more than $10 trillion fiat dollars during his reign of terror.
The communist thug knows his policies will not revive the economy so he has been kicking the can down the road, trying to run out the clock.
When it does all collapse, he will blame the Republicans.
One reason for it is that the Fed stopped publishing M3 money supply figures in 2006. This was no small turn of events, since it coincided with the move by the U.S. government to ship large quantities of raw U.S. cash to the Middle East to help finance our military operations over there. We still have no idea how much unreported cash is floating around out there.
Can an economic boom over ride the bubble bursting?
Well put!
Friends of mine tell me what “brilliant investors” they are. Being a tic on the host of the Central Banks gut isn’t “investing.”
bump
I agree Bush Jr did no less harm to America than Obama. In fact he literally gave us Obama.
She's basically running for Bush's third term in office, which is why so many establishment GOP types are behind her.
“There is a house of cards that is held together by central bank money creation”
There’s the “money” statement: Money laundering by the fed has given trillions in cash to the banks and financial institutions, yet, there has been no job creation as there has been no increase in economic growth. Companies are being taxed to death. ObamaCare, alone, has caused much of this.
Here is the full interview:
http://usawatchdog.com/we-are-headed-for-war-paul-craig-roberts/
It’s a gigantic slot machine that can disappear a significant chunk of their investments in a short period of time.
Everybody loves it while the slot machine appears to be paying out......
... and the Powers That Be will not hesitate to let the economy collapse if DJT is elected.
Then they will blame it totally on him . Even if it’s 3 months into his term. And the sheep will baa and call for his head (hey, just realized that “calling for his head” should be a Muslime terminology ).
“...and it’s a symptom of a serious deflationary cycle in the economy.”
Oh, so any day now I should be able to buy choice T-bone steak for $.78 a pound again as I did back in ‘72.
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