Just keeping one eye on the financial crisis scene.
- Cheap credit has inflated the markets, and we could be in for a crash landing (guardian.co.uk)
- François Hollande: the eurozone crisis is over (guardian.co.uk)
- There’s a worse crisis on the way unless we get serious about tackling debt (telegraph.co.uk)
Those who believe the economy is recovering are ignorant of the facts. Other than the Great Depression no US recovery (and I don’t believe we are in a recovery) taken longer. Eventually it may take more than a decade like the 1930s. Or perhaps it will be like Japan which is in its third decade of “recovery.”
Politics and Economics
The truth is that our economy is spent, exhausted and filled with misallocations and distortions made much worse by government interventions. There is no recovery, nor will there be one until a massive purge (usually referred to as a depression) occurs. This event will result in bankruptcies that release scarce, misallocated physical capital from unproductive and unwanted areas to places where it is needed and can be utilized efficiently.
Rather than allow this pre-condition to an economic recovery and a growing…
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