e-commentary

. . .

“Log this road map in the back of your mind.  The M3 money supply is no longer even reported. The world currently has reservations about the world’s reserve currency – our handy-dandy trusty dollar.  Petrodollar implodes; gold explodes.  Residential housing market, commercial real estate, and criminally over-leveraged corporations (LBOs) start really diving precipitously.  Fire employees; productivity/profits increase.  U6 unemployment up to 20% or more.  Fired employees decrease purchases; profits decrease.  Murdoch (Dow) down to 6K or less.  Gazillions of no good dollars spewed by the Fed; no goods are produced nor services provided by plundered economy.  Imagine unimaginable inflation exploding.  A great, catastrophic and unanticipated economic surprise surprises us.  And you get the Great Depression 2.0.  We are on the road.”

“To ruin?  To perdition?  To serfdom?  We’re Americans, we always do something.  We demand success and we expect success.  We can just decree that it not happen.”

“The problem is that nothing can be done effectively or efficiently to stimulate the economy when the economy at core is so fundamentally broken.  O’Bama inherited this imploding and exploding economy.  However, other than possibly some insights from Paul Volker and Warren Buffett, O’Bama has failed miserably in selecting his economic advisers.  He is now in control of an economy that is out of control and out of his control.  Many members of the public are angry, anxious, frightened, and desperate.”

“And there is nothing you can do about it.  Nothing.”

. . .

[The Murdoch (Dow) could go to 6,000 or 4,000 or 5,000 but not likely 36,000.  See the “e-ssay” dated Oct. 12, 2009 entitled “Dow: 10,000 To 5,000: The ‘FUBAR’ bubble” and the “e-ssay” dated May 11, 2005 entitled “The Coming Depression Is Not Depressing.”]

(O’Bama in Oslo.  “Si vis pacem, parati para bellum.”  Strong speech; right message.)

Bumper stickers of the week:

Next stop – Pottersville

Great Economic Tsunami 2010; Great Depression 2.0

The Republicans are part of the problem; the Democrats are not part of the solution.

Pass the Terrorist Tax

This entry was posted on December 14, 2009 at 9:16 am and is filed under Bernanke, Depression, Dollar - World's Reserve Currency, Economics, Volker. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.