The Fix Is In (Peter Schiff Explains why it will fail again)

Thanks for explaining the difference. Regarding “money is cheap....People misread this as being a sign that the economy is booming.” I don’t think that is the case this time. I’m sure there are many like me who are paying down their HELOCs at 3.25% as fast as they can. However, unlike many, most of my equity is in rentable real estate (neglected for 10 years while caring for dying relatives), to which I am also alocating funds for reparing and improving. Fortunately, I live in an area were moderate to lowish income rentals will always be wanted. If it really hits the fan, I can always lower the rents.

Meanwhile, I have been working on an idea that might help. Experts have said that one of the problems now is that with all the lay-offs, downsizing, etc. that there are many inefficiencies regarding new hiring and unemployment. This plan would tackle that issue head on. If you would like to know more, private message me. I need an incentive to get transferring, updating, and computerizing what I have written the old fashioned way. An interested, knowledgeable, and friendly audience and critic would add motivation. I can send a summary and if you are still interested more as I put it in Open Office.

The GDP equation was designed specifically to illustrate Keynesian ~~theory~~ fantasy.

Putting the 'G' into the equation was a stroke of evil genius. Until you hit a debt ceiling, the government can hit whatever GDP number they want by spending more or less. And if the money being spent is borrowed, it isn't counted as a penalty.

We could have a great GDP if we just got China to pay for everything.

The currency supply is still over-inflated from the credit bubble caused all through the 90’s (tech bubble) and the early 00’s (housing bubble). That needs to be shaken out of the economy (and all the over-leveraged prices of assets which is a result of that excess credit). PM on the way.

Thanks sickoflibs.

In its August policy statement the Federal Reserve took the highly unusual step of putting a specific time frame for the continuation of its near zero interest rate policy... rates will not budge from rock bottom for at least two years.

It's a method of propping up the stock market values, and a plum to mortgage seekers, but it undermines (continues to undermine) capital formation.

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