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To: kristinn

Is it Recovery Summer yet?


7 posted on 06/25/2014 5:52:28 AM PDT by ArmstedFragg (Hoaxey Dopey Changey)
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To: ArmstedFragg

Recovery Summer 6.0...................


51 posted on 06/25/2014 6:16:11 AM PDT by Red Badger (I've posted a total of 2,740 threads and 84,814 replies.)
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To: ArmstedFragg

It is forever Recovery Summer.

But the crop shall not be bountiful. We reap the whirlwind, the recession is over.

But not in the sense that things are getting better. The recession was over a while back, when it became a full-fledged Great Depression II, that like it or not, has largely engulfed the world.

Oh, some economies are sprinting right along, but as the overall growth throughout the world slows, even the most vigorous and energetic enterprises are inevitably dragged down, as the velocity of money creaks to a halt. Then, even the free minting of bogus and counterfeit currencies will not stave off the total paralysis that spreads to every aspect of life.

Part of the value of money, in any economy, is the velocity at which it moves through the control of people, and how frequently it makes the transition from one user and the next. Simply having a store of some medium of exchange, without either adding to, or taking some away from the pile, makes the medium of exchange just a glittering pile of - pretty things. An ornament. About as much use to the world as a pile of rocks.

But the dynamic of taking part of this pile of - stuff - and exchanging it for something of value, then starts the cash flow, as more and more people participate in the exchange of this medium for other real and useful goods and/or services, the further, and the faster, this exchange proceeds, the faster the pile melts away, but even as it is flowing out, to do its service among the general population, still some if flowing back in, keeping the pump going. The plutocrat still has a large stash of whatever medium of exchange may have been in his possession and control, but because so much of it is out and providing for the movement of goods and services, it shall not be quickly depleted, because of the return on the investment put out there.

But if for whatever reason, the exchange of goods and services is interrupted, the velocity of the money slows or even stops, except that the return flow is a lagging feature, and the cash begins to pile up in the hands of the plutocrat once again. Meanwhile real exchanges out among the many slow to a trickle or stop altogether, and the disparity between the great mass and the ones at the top becomes starkly apparent.

One of the reasons is that the distribution and frankly, the loaning out of money at interest, comes to a crashing halt, because of excessive intrusion in the normal workings of the market, through regulations or extraordinary calamities, like war, or famine, or devastating natural disasters. Removal and repeal of the excessive regulations has the very immediate effect of kick-starting the entire process all over again, and just the natural drive and energy overcomes the damages wreaked by war and natural disasters. Famine, also a factor, is almost always a man-made hazard, compounded by the fact that there may very well be enough and more than enough to go around, but the means of getting the desperately needed goods is thwarted by “authorities” that know so much better than anybody else how the distribution chains should be managed.

If all the “smart” people would just STOP trying to “fix” things, the natural flow of money would resume and the marketplace resumes its highly efficient method of assigning worth and distribution to each as a measure of the relative value or importance of each facet.

The free market works every time it is tried and allowed to proceed at its own pace. It is the artificial and counterproductive “fixes” that ruin any recovery before it is well begun.


63 posted on 06/25/2014 6:21:36 AM PDT by alloysteel (Selective and willful ignorance spells doom, to both victim and perpetrator - mostly the perp.)
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To: ArmstedFragg

Is it Recovery Summer yet?


We’re in the fifth day of the sixth “summer of recovery”.


93 posted on 06/25/2014 7:14:28 AM PDT by laplata (Liberals don't get it .... their minds are diseased.)
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