Skip to comments.Economist Richard Duncan: Civilization May Not Survive 'Death Spiral'
Posted on 08/10/2012 3:04:47 AM PDT by Cincinatus' Wife
Richard Duncan, formerly of the World Bank and chief economist at Blackhorse Asset Mgmt., says America's $16 trillion federal debt has escalated into a "death spiral, "as he told CNBC.
And it could result in a depression so severe that he doesn't "think our civilization could survive it."
And Duncan is not alone in warning that the U.S. economy may go into a "death spiral."
Since the recession, noted economists including Laurence Kotlikoff, a former member of President Reagan's Council of Economic Advisers, have come to similar conclusions.
Kotlikoff estimates the true fiscal gap is $211 trillion when unfunded entitlements like Social Security and Medicare are included.
However, while the debt crisis numbers are well known to most Americans, the economy hasn't suffered a major correction for almost 4 years.
So the questions remain: Is the threat of collapse for real? And if so, when?
A team of scientists, economists, and geopolitical analysts believes they have proof that the threat is indeed real - and the danger imminent.
One member of this team, Chris Martenson, a pathologist and former VP of a Fortune 300 company, explains their findings:
"We found an identical pattern in our debt, total credit market, and money supply that guarantees they're going to fail. This pattern is nearly the same as in any pyramid scheme, one that escalates exponentially fast before it collapses. Governments around the globe are chiefly responsible.
"And what's really disturbing about these findings is that the pattern isn't limited to our economy. We found the same catastrophic pattern in our energy, food, and water systems as well."
According to Martenson: "These systems could all implode at the same time. Food, water, energy, money. Everything."
(Excerpt) Read more at moneymorning.com ...
Obama: Let's repeat auto industry success "PUEBLO, Colo. President Obama, while villifying Mitt Romney for opposing the auto industry bailout, bragged about the success of his decision to provide government assistance and said he now wants to see every manufacturing industry come roaring back.
I said, I believe in American workers, I believe in this American industry, and now the American auto industry has come roaring back, he said. Now I want to do the same thing with manufacturing jobs, not just in the auto industry, but in every industry."...........
That’s a tricky link; what does Atlanta Journal Constitution have to do with Morning Money?
With liabilities over $200T, I think the only thing to do is to cancel all debts and focus on domestic food and energy production for a few years. Start over. Avoid famine and energy starvation. The 20th century was basically one big mistake, and we need to wipe the slate clean and rebuild our society with more emphasis on personal responsibility and personal property ownership.
....And it could result in a depression so severe that he doesn’t “think our civilization could survive it.” .... it’s easier in our election in November.......
I bet all 50 CNBC viewers were saddened by the slow death of America. The likelihood that Europe was sacrificed to make us look better than someone else is something to think about too.
I cannot disagree, but unfortunately, the political powers that be (in the Congress and of course, the President) are working at counter-purposes to what you propose. But you know this.
If the threat is real and Obama represents that threat then what are the American people supposed to do about it, wait for the government to save us? You’d think there’d be some kind of ‘breaker switch’ for just such a national emergency.
IMHO, it comes down to:
1) How big is the total pie (e.g. what's the GDP)?
2) Is the pie getting bigger (i.e. economic growth)?
3) If so, is the pie getting bigger fast enough to provide a slice to the additional people who want a piece of the pie (i.e. is growth keeping up with population growth and immigration)?
4) Do you have to contribute to making the pie in order to qualify for having a slice (e.g. do you get money from the government even if you don't contribute to increasing the GDP)?
5) If the total pie isn't getting bigger, and you are committed to providing a piece to everyone - irrespective of if they help make the pie bigger or not - someone’s slice has to get smaller in order to make available pie for the additional pie eaters who want a slice (i.e. you can't spend the money that liberals spend on government programs without redistributing earnings - unless the GDP grows at a fast enough rate to fund all the spending. If you give more you either have to make more, or take more).
6) If you take from those who make the pie, and give to those who don't, how much can you take, and for how long, until those who make the pie quit making it?
7) How do you incentivize people to make more pie?
>>The likelihood that Europe was sacrificed
Europe sacrificed itself on the alter of the Socialist Ba'al.
Ba'al being a Hebrew word meaning Lord, Owner, Possessor, Master... typically rendered throughout history as the slave owning State (Babylon, Egypt, Rome...); a State of affairs which Thomas Jefferson recognized as:
"COMMERCE BETWEEN MASTER AND SLAVE IS DESPOTISM"
and from which:
"TO SECURE THESE RIGHTS [American] GOVERNMENTS ARE INSTITUTED AMONG MEN"
Dick Duncan and the rest of the NyLon Quisling free traitors can wave to the backside of my lifted kilt and kiss my Scotch/Russian American arse.
I don't feel like "spiraling" on their whim just yet.
“Youd think thered be some kind of breaker switch for just such a national emergency.”
The breaker became unusable when the Marxist media and Marxist education system took over the skulls full of mush.
The fact that the Commie clown has over 25% approval tells me that the populace is beyond saving.
It is one reason that I no longer live in the USSA.
Richard Duncan, formerly of the World Bank and chief economist at Blackhorse Asset Mgmt., says America's $16 trillion federal debt has escalated into a "death spiral, " ...Laurence Kotlikoff... estimates the true fiscal gap is $211 trillion when unfunded entitlements like Social Security and Medicare are included.That's over 13 times increase; that's doubled 3 1/2 times or so.
I saw the LINK at the AJC -- I checked back and it is under "around the web" articles at AJC.
It isn’t Free Trade that’s driving manufacturing jobs overseas.
Massive corporate taxation, limitless legal vulnerability, crushing environmental regulation and pro-Union arbitrary Government: these are why industry chooses to locate away from the USA.
Protectionism would be the final nail in the coffin. The last vestiges of American industry would be turned into feather-bedded welfare cases, and freeborn Americans would be forced to buy their stuff from the Government store.
Protectionism will also increase Government power. The Dems will collect all of that lovely tariff money and spend it on union pension bailouts or some damn thing.
America has tied its own hands behind its back with a ludicrous knot of EPA regulations, crushing taxation and arbitrary Government (just ask Gibsons guitars).
America needs to untie those knots - not wrap itself up in more of them in a fit of misplaced faux-patriotic anger.
Why, for example, if you were one of them, would you tell the truth? If you were serious about your role in humanity's vanguard, if you had the knowledge (which others did not), that you were certain would lead them to a better world, why would you tell them a truth that they could not "understand" and that would hold them back?
If others could understand your truth, you would not think of yourself as a "vanguard." You would no longer inhabit the morally charmed world of an elite, whose members alone can see the light and whose mission is to lead the unenlightened towards it. If everybody could see the promised horizon and knew the path to reach it, the future would already have happened and there would be no need for the vanguard of the saints.
That is both the ethical core and psychological heart of what it means to be a part of the left. That is where the gratification comes from. To see yourself as a social redeemer. To feel anointed. In other words: To be progressive is itself the most satisfying narcissism.
That is why it is of little concern to them that their socialist schemes have run aground, burying millions of human beings in their wake. That is why they don't care that their panaceas have caused more human suffering than all the injustices they have ever challenged. That is why they never learn from their "mistakes." That is why the continuance of Them is more important than any truth.
If you were active in the so-called "peace" movement or in the radical wing of the civil rights causes, why would you tell the truth? Why would you tell people that no, you weren't really a "peace activist," except in the sense that you were against America's war. Why would you draw attention to the fact that while you called yourselves "peace activists," you didn't oppose the Communists' war, and were gratified when America's enemies won?
What you were really against was not war at all, but American "imperialism" and American capitalism. What you truly hated was America's democracy, which you knew to be a "sham" because it was controlled by money in the end. That's why you wanted to "Bring the Troops Home," as your slogan said. Because if America's troops came home, America would lose and the Communists would win. And the progressive future would be one step closer.
But you never had the honestythen or nowto admit that. You told the lie then to maintain your influence and increase your power to do good (as only the Chosen can). And you keep on telling the lie for the same reason.
Why would you admit that, despite your tactical support for civil rights, you weren't really committed to civil rights as Americans understand rights? What you really wanted was to overthrow the very Constitution that guaranteed those rights, based as it is on private property and the individualboth of which you despise.
It is because America is a democracy and the people endorse it, that the left's anti-American, but "progressive" agendas can only be achieved by deceiving the people. This is the cross the left has to bear: The better world is only achievable by lying to the very people they propose to redeem.
..............But Bill Clinton is not like those who worship him, corrupting himself and others for a higher cause. Unlike them, he betrays principles because he has none. He will even betray his country, but without the slightest need to betray it for something elsefor an idea, a party, or a cause.* He is a narcissist who sacrifices principle for power because his vision is so filled with himself that he cannot tell the difference.
But the idealists who serve himthe Stephanopoulos's, the Ickes's, the feminists, the progressives and Hillary Clintoncan tell the difference. Their cynicism flows from the very perception they have of right and wrong. They do it for higher ends. They do it for the progressive faith. They do it because they see themselves as having the power to redeem the world from evil. It is that terrifyingly exalted ambition that fuels their spiritual arrogance and justifies their sordid and, if necessary, criminal means.
And that is why they hate conservatives. They hate you because you are killers of their dream. Because you are defenders of a Constitution that thwarts their cause. They hate you because your "reactionary" commitment to individual rights, to a single standard and to a neutral and limited state obstructs their progressive designs. They hate you because you are believers in property and its rights as the cornerstones of prosperity and human freedom; because you do not see the market economy as a mere instrument for acquiring personal wealth and political war chests, to be overcome in the end by bureaucratic schemes.
Conservatives who think progressives are misinformed idealists will forever be blind-sided by the malice of the leftby the cynicism of those who pride themselves on principle, by the viciousness of those who champion sensitivity, by the intolerance of those who call themselves liberal, and by the ruthless disregard for the well-being of the downtrodden by those who preen themselves as social saints.
Conservatives are caught by surprise because they see progressives as merely misguided, when in fact they are fundamentally misdirected. They are the messianists of a religious faith. But it is a false faith and a self-serving religion. Since the redeemed future that justifies their existence and rationalizes their hypocrisy can never be realized, what really motivates progressives is a modern idolatry: their limitless passion for the continuance of Them." ---- Hillary Clinton and the Third Way David Horowitz, June 22, 2000
Watch: Interest rates for Government debt (USTs) will continue their march to Zero. Its all part of the plan. As interest rates get lower, the debt is cheaper to finance—so it can go higher and higher. Of course, the flip side is that its a tax on savers—who earn next to nothing on their capital. But because its a stealth tax, no one will protest.
This creates distortions in the system and is designed to induce more consumption. What happens is we slowly become a Zombie society, like Japan.
7 The merchant uses dishonest scales;
he loves to defraud.
8 Ephraim boasts,
"I am very rich; I have become wealthy.
With all my wealth they will not find in me
any iniquity or sin."9 "I am the Lord your God,
[who brought you] out of Egypt;
I will make you live in tents again...
Your post literally made no sense.
Was it perhaps generated with a Perl script? One that concatenates random bible quotes, patriotic images and crazy-talk?
Because that would actually be pretty cool.
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