” ‘One Shock Away From Crisis’ “
I wonder if that ‘shock’ hasn’t already happened - we have yet to see the full financial/economic fallout (if you’ll pardon the expression in this context) of the Japan Disaster....
There are shoes waiting to drop, I fear.....
This certainly hasn't helped things and if someone thought they might be able to finance even a few more months at $100B per month, having Japan solidly out of the market really should make them think differently.
This is ultimately the import of the diagrams I posted. If the Debt Ceiling is increased, the Fed will print more money and it will cause Hyper-inflation, QE2 already takes us to the brink of this and perhaps beyond, but each month has added an additional 5% to the commodities index, by June the butcher's bill is 45%, in a few months (by September this is 60%)
The Republican Budget does nothing to forestall this, Obama's "Taxes" will only make things worse by actually reducing revenue and slowing growth all the more.. and encouraging more retirements that just inflate the obligation.
Worse, the administration has boots on the ground signing up every human who can be put on the government dole as fast as possible pushing this crisis. Pushing it for everything they can because this is their way to the nirvana of REVOLUTION. They are almost as bad as those who wish for chaos to bring back the 12th Imam, except for they have the nations' checkbook and they are busy writing that last few checks before the whole scheme ends under its own weight.