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.......
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.
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.
bump
“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/
... 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 ).
Had to go to the crazy “Keiser Report” on RT Russian Television to get any sort of insight into the recent big hoax that median family income grew by over 5 percent last year - turns out that actual paycheck earnings grew by only about 1 percent - the rest of the “growth” was made up by other “income” such as money brought in by student loans - but, hey, the 5 percent number sure looks good in an election year......
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PCR alert
What's the proper number? How many should be out of the workforce?