Some 21 thoughts on Our economy, 6 of which are highlighted here:
"12) The natural economy is what always keeps things going and produces the taxes that support the dollar and the government. It produces the goods and services we all want. The sick economy absorbs more resources than it gives back. It destroys value.
13) The natural economy gets stunted and suppressed when government directs resources to the sick economy through undue credit creation, to subsidies to sick companies, and to wealth transfers to people who gambled and lost.
14) The economy is very large. Neither the Fed nor the government can really control it. The attempt to do so weakens them and the economy both, which means it hurts us. Since this crash is so large and there is so much bad debt, at best the economy will limp along despite the massive government efforts.
15) The government and the Fed will be weaker than ever in terms of revenues and basic balance sheet health. But these institutions have power, with the blessing of the American people, and they are using it in large doses. They can paper over things for a while.
16) The extremely low yields on Treasuries are a negative sign. It shows that the economy is not producing real returns. It is stagnating. The same thing happened in the 1930s and in the Japanese economy from 1989 onwards.
17) The best way to have adjusted in 2008 was not chosen by our officials. That way was bankruptcy and re-organization in the economy. It would have been painful, but it would have led to a better-founded, more free, and healthier natural economy. The government–Fed way risks a breakdown of the economic and political system in a host of ways, leading to virtual dictatorship, economic controls, inflation, and slow growth." (Emphasis Mine.)
Okay, maybe there is a plot to take over the whole country, instead of just running off with the loot...
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