Free Republic
Browse · Search
Bloggers & Personal
Topics · Post Article

Skip to comments.

Three Ideas That Should Scare The Hell Out Of You
Mish's Global Economic Trend Analysis ^ | January 12, 2009 | Mike Shedlock

Posted on 01/12/2009 5:26:30 AM PST by Need4Truth

Things are looking pretty bleak. There is bad news in housing, the stock market, commercial real estate, jobs, and wages . Unfortunately, no matter how bad things are, someone always comes along to propose a "solution" that is guaranteed to make the situation much worse. Please consider the following ideas.

(Excerpt) Read more at freerepublic.com ...


TOPICS: Business/Economy; Government
KEYWORDS: bailout; depression; economy; obama; recession
Navigation: use the links below to view more comments.
first 1-2021-24 next last
Big Government is the problem, not the solution. From the article:

What Hath Big Government Wrought?

* It was big government that brought us Fannie Mae and Freddie Mac.

* It was big government that sponsored the war in Vietnam and the war in Iraq.

* It was big government that gave us nightmare problems we face with Medicaid and Medicare.

* It was big government that gave us overlapping hundred billion dollar systems in the Army, Navy, and Air Force.

* It is big government that sponsored 10's of thousands of pork barrel projects and bridges to nowhere.

* It is big government that gave us the Davis Bacon Act and the insanity pf prevailing wages.

* It was big government sponsorship of the rating agencies that created the "AAA" rated securities that went to zero.

* It was big government that took us off the gold standard and illegally confiscated citizen's money.

* It was big government that allowed fractional reserve lending and theft by inflation this is the root cause of a shrinking middle class today.

* It was big government that created the Fed, and it was the Greenspan Fed that blew serial bubble after bubble culminating in the housing crash we are in today.

1 posted on 01/12/2009 5:26:35 AM PST by Need4Truth
[ Post Reply | Private Reply | View Replies]

To: Need4Truth

Thanks! That one’s a keeper!


2 posted on 01/12/2009 5:28:17 AM PST by ScottinVA (All I needed to know about islam I learned on 9-11.)
[ Post Reply | Private Reply | To 1 | View Replies]

To: Need4Truth

Sorry, wrong url:

http://globaleconomicanalysis.blogspot.com/2009/01/three-ideas-that-should-scare-hell-out.html


3 posted on 01/12/2009 5:28:19 AM PST by Need4Truth (...the borrower is servant to the lender. Prov. 22:7)
[ Post Reply | Private Reply | To 1 | View Replies]

To: Need4Truth
* It was big government that brought us Fannie Mae and Freddie Mac.

And then required banks to make impossible loans in order to be permitted to continue making loans.

4 posted on 01/12/2009 5:30:26 AM PST by arthurus ( H.L. Mencken said, "Every election is a sort of advance auction sale of stolen goods.")
[ Post Reply | Private Reply | To 1 | View Replies]

To: Need4Truth
culminating in the housing crash we are in today.

The housing crash is yesterday, old news. Now we are in the midst of an Economy crash and getting ready for Weimar. We won't have to tote the currency in wheelbarrows but the bill from VISA will have more zeros every month.

5 posted on 01/12/2009 5:33:32 AM PST by arthurus ( H.L. Mencken said, "Every election is a sort of advance auction sale of stolen goods.")
[ Post Reply | Private Reply | To 1 | View Replies]

To: Need4Truth
Instead of reducing taxes on interest payments, the Government could tax all bank deposits and other risk-free savings.

The obvious countermeasure to this is to pull your money out of the bank and stick it in a safe somewhere, or possibly foreign-denominated traveler's checks.

6 posted on 01/12/2009 5:33:32 AM PST by DuncanWaring (The Lord uses the good ones; the bad ones use the Lord.)
[ Post Reply | Private Reply | To 1 | View Replies]

To: Need4Truth

What Hath Big Government Wrought?

* A public education system dominated by the NEA that seeks to indoctrinate rather than teach which has created a couple of generations of people who have no idea how dangerous big government is!!


7 posted on 01/12/2009 5:37:34 AM PST by Le Chien Rouge
[ Post Reply | Private Reply | To 1 | View Replies]

To: Need4Truth
RE :”Scary Idea # 3 Time Magazine is making The Case for Bigger Government.”

GWB create the biggest government of USA history on borrowed money. All that debt from our future bought him 20% approval rating (but he didn't compromise his principles LOL) and public approval for democrat expansion of the welfare state. Way to go George!

What principles didn't he compromise? How can we oppose Obama and defend him?

8 posted on 01/12/2009 5:38:05 AM PST by sickoflibs (GWB : "Give me a 700B blank check to save the UAW until Obama takes office")
[ Post Reply | Private Reply | To 1 | View Replies]

To: Need4Truth

Mish nails it today. The Krugman Keynesian “Free Lunchers” are in total control. We are so screwed!


9 posted on 01/12/2009 5:39:02 AM PST by Travis McGee (www.EnemiesForeignAndDomestic.com)
[ Post Reply | Private Reply | To 3 | View Replies]

To: DuncanWaring; Need4Truth
RE “Instead of reducing taxes on interest payments, the Government could tax all bank deposits and other risk-free savings.”

In a sense that has been the method used since we went off the gold standard 1970. It's called you keep interest rates below inflation encouraging debt and speculation creating paper housing and stock market bubbles that make us feel rich for a short period, but make us broke. We have just seen an extreme case of this. It's political tricks. Listen to Peter Schiff.

Obama and liberals do not want public consumption, they want government consumption. They want our consumer money into collectivist programs. The stimulus tax credit rebate welfare checks are sold as consumption but that is pure political strategy to get and keep votes. It is not their real agenda. But they do not want private savings either I would guess.

10 posted on 01/12/2009 5:45:55 AM PST by sickoflibs (GWB : "Give me a 700B blank check to save the UAW until Obama takes office")
[ Post Reply | Private Reply | To 6 | View Replies]

To: Travis McGee

We were screwed the minute John McCain got the Rep nomination. The realization is “just now” hitting some here.


11 posted on 01/12/2009 5:59:26 AM PST by XenaLee
[ Post Reply | Private Reply | To 9 | View Replies]

To: Need4Truth

And, it was illiterate, position-ignorant voters who gave us ‘big government’ by electing ‘progressive’ candidates who promised them more and more from the public trough.

A political shell game that completely flummoxed and cajoled the majority of the electorate on more than one occasion.

Time to refresh the tree of Liberty, IMO.


12 posted on 01/12/2009 6:08:16 AM PST by PubliusMM (RKBA; a matter of fact, not opinion)
[ Post Reply | Private Reply | To 1 | View Replies]

To: Need4Truth

Raise taxes on “the rich” (anyone holding a job), cut defense spending, but whatever you do, NEVER, EVER even THINK about cutting the gimme programs.


13 posted on 01/12/2009 6:11:22 AM PST by Blood of Tyrants (Obama is living proof that stupid people should not be allowed to vote.)
[ Post Reply | Private Reply | To 1 | View Replies]

To: XenaLee
We were screwed the minute John McCain got the Rep nomination. The realization is “just now” hitting some here.

Ain't it the truth.

14 posted on 01/12/2009 6:15:55 AM PST by OB1kNOb (Use it up, wear it out, make it do, or do without.)
[ Post Reply | Private Reply | To 11 | View Replies]

To: Need4Truth
But you missed one thing!

There is a solution!

What is the solution?
MORE AND BIGGER GOVERNMENT!

15 posted on 01/12/2009 6:24:29 AM PST by Overseez (Chile recovered from the folly of the Marxist Allende, we will recover from the Marxist Obambi.)
[ Post Reply | Private Reply | To 1 | View Replies]

To: DuncanWaring
The obvious countermeasure to this is to pull your money out of the bank and stick it in a safe somewhere, or possibly foreign-denominated traveler's checks.

In the event of rapid inflation, the most likely scenario with the massive deficit spending we've got coming up, sticking your money under the bed won't protect you much.

The idea that foreign currencies will be a safe haven is based on the not necessarily well-founded assumption that other countries won't have their own problems. In actual fact, most countries are more corrupt and have bubbles going on that are at least as large as those in the USA.

In Europe, for example, the media is even more corrupt and complicit in the conspiracy of the elite against the populace than it is here. Their real estate, believe it or not, is priced much higher than the average in the USA. Any commodity where the price rises much faster than the income of potential purchasers is headed for an eventual bubble burst.

16 posted on 01/12/2009 6:26:55 AM PST by Sherman Logan (Everyone has a right to his own opinion, but not to his own facts.)
[ Post Reply | Private Reply | To 6 | View Replies]

To: arthurus
"Now we are in the midst of an Economy crash and getting ready for Weimar. We won't have to tote the currency in wheelbarrows but the bill from VISA will have more zeros every month. "


17 posted on 01/12/2009 7:33:18 AM PST by blam
[ Post Reply | Private Reply | To 5 | View Replies]

To: Sherman Logan; DuncanWaring
"The idea that foreign currencies will be a safe haven is based on the not necessarily well-founded assumption that other countries won't have their own problems. In actual fact, most countries are more corrupt and have bubbles going on that are at least as large as those in the USA. "

If you're going to stuff money under your mattress, make sure it is US dollars, it's still safer than all others.

I've saved some food and especially coffee and chocolate. (Along with some Krugerrands I bought in 1993, guns and ammo bought during the Rodney King riots. So...)

18 posted on 01/12/2009 7:42:12 AM PST by blam
[ Post Reply | Private Reply | To 16 | View Replies]

To: blam

Monday, January 12, 2009

1 US Dollar = 9,309,543 Zimbabwe Dollar
1 Zimbabwe Dollar (ZWD) = 0.00000011 US Dollar (USD)

Median price = 9,264,869 / 9,309,543 (bid/ask)
Minimum price = 9,264,869 / 9,309,543
Maximum price = 9,264,869 / 9,309,543


19 posted on 01/12/2009 8:25:30 AM PST by ding_dong_daddy_from_dumas (I want to "Buy American" but the only things for sale made in the USA are politicians)
[ Post Reply | Private Reply | To 18 | View Replies]

To: ding_dong_daddy_from_dumas

Inflation is coming my friends—its really here now. Soon we will all be millionaires. Obama will be linked to starvation and want. Only the few will have jobs and fewer still health care worth a hoot. I hope I am wrong.


20 posted on 01/12/2009 8:35:12 AM PST by Forward the Light Brigade (Into the Jaws of H*ll)
[ Post Reply | Private Reply | To 19 | View Replies]


Navigation: use the links below to view more comments.
first 1-2021-24 next last

Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.

Free Republic
Browse · Search
Bloggers & Personal
Topics · Post Article

FreeRepublic, LLC, PO BOX 9771, FRESNO, CA 93794
FreeRepublic.com is powered by software copyright 2000-2008 John Robinson