Escape and Fantasy -- Economic Commentary by: Richard Russell

safehaven.com ^ | July 29, 2003 | Richard Russell

[Mr. Jeeves]

I'm inclined to think that long before gold or the dow get near 3,000 WWIII would break out, if for no other reason, than to mask the utter failure of the financial sectors.

I've always said that in the end, Greenspan will have the full power of the US military and the Justice Department at his disposal to aid him in setting economic policy.

[djf]

What I mean is, it's not just the people who have an "escapist" attitude, it's the banks too. They don't complain about NAFTA and GATT, or jobs being shipped offshore. They could very well use their leverage to prevent some of this. But they don't. And they think some 800 Sqf house in the Bay area is worth 900K? Get real. It's not the single-mom waitress at the local greasy spoon making 5 bucks an hour that's gonna buy the next 400K house that gets built. All these forces oppose each other, and it looks like some type of critical mass is near.

[arete]

I've always said that in the end, Greenspan will have the full power of the US military and the Justice Department at his disposal to aid him in setting economic policy.

He already does. The FED is completely unconstitutional and the SC refuses to hear any challenge to it. The FED is big enough and powerful enough to do whatever it wants. The kicker is that it is only accountable to the politicians and bankers. Now just who's interestests do you think they work for? Hint -- it isn't you and me.

Richard W.

[Beck_isright]

"No, people have had two years to contemplate how bad the next attack will be."

I'll leave you with one thought. If a semi full of 40 Mexicans can make it 300 miles inside the US border (Victoria, TX), then how hard would it be to smuggle a well shielded 500 kt yield nuclear device 150 miles into Los Angeles or Phoenix? No, the people are in denial. They won't acknowledge the threat, just as they will not not acknowledge the economic problems. Until they get burned, they will continue to play with fire. The last 5 years was not a lesson. It was an episode of "24" in the sheeple's minds. My fear is that our lax attitudes towards border security, bank security, ethics in business, and the inability of the sheeple to vote out liars will cost this nation 200,000 dead and a collapsed economy.

[djf]

But "the people" tried to do something about illegal immigration by patrolling the borders, everytime something like this happens, they get bitch-slapped by the guv or some special-interest group.

[Beck_isright]

LOL. Our idea of "the people" and the socialists idea of "the people" are two entirely different things. Believe me, the borders are wide open. And thanks to NAFTA they will stay that way until one of our cities is vaporized.

[y2k_free_radical]

WHAT IS UR SOLUTION ?

[djf]

Well, if things like NAFTA and GATT and jobs offshore are gonna hapen no matter if the people want them or not, we can all sit around and pat ourselves on the back about democracy and republic till we're blue in the face, and it's a big lie. Then, when people feel they have no control over their own destiny, and their opinions don't matter anyway, I can see how and why Escapism flourishes. It's a symptom, not the cause.

[Beck_isright]

I concur. It is not the cause. It is a result. However, it is a very well planned result. I prescribe two Prozacs a day, two dozen beers a day, and everyone watch Oprah for a week. Everything will be just hunky dorey then. You know, like the bots say.

[y2k_free_radical]

Which raises the question-are we in a global PONZI SCHEME

[y2k_free_radical]

It will still lead to more socialism,communism,and fascism

[Soren]

A stated objective of the globalists is equalization of living standards to facilitate political union.

[arete]

Great rant by the Mogambo Guru today who happens to think along the same lines as Russell.

The Save Our Butts Plan

Richard W.

[dennisw]

bttttttttttttttttttt

[Question_Assumptions]

This is how I also see things turning out. Why? because it's like all government action...it will punish the people who worked hard and saved their entire lives while giving a pass to the idiots who run $50,000 on their credit cards.

Given the debt statistics (and counting mortgages as "debt"), I suspect there are more debtors than savers and whatever the government does is going to cause the least pain to the majority. I don't think the savers can win, actually. The problem is that wiping out someones savings is not going to wreck them the same way that driving someone into bankruptcy will. Fair? Probably not. But that's the way it has been for thousands of years (people have been unable to manage debt for as long as there have been loans).

[arete]

Regarding those pesky jobs that the government says it is creating for us.

Pillowtex closing 16 plants, laying off 6,450

Richard W.

[Orangedog]

The last 5 years was not a lesson. It was an episode of "24" in the sheeple's minds. My fear is that our lax attitudes towards border security, bank security, ethics in business, and the inability of the sheeple to vote out liars will cost this nation 200,000 dead and a collapsed economy.

Spot-on! I think a lot of people are hopelessly addicted to escapism. Case in point: Three days after 9/11 I was getting some coffee at work and there were four guys ahead of me bitching because all that "World Trade Center stuff" was on all the networks 24/7 and it was totally screwing up baseball season. God forbid if Los Angeles being vapoized would cancel the Superbowl!

[djf]

bump.

[headsonpikes]

You're on the money, unfortunately.

[arete]

I suspect there are more debtors than savers and whatever the government does is going to cause the least pain to the majority. I don't think the savers can win, actually

You make it sound as if the FED as been some kind of passive player in the creation of debt to this point. The FED has actively encouraged the expansion of debt at the expense of savers. That is outrageous. What gives the FED the right or mandate to encourage wild speculation in any market and why must wiser and more prudent people be forced to pay the price for the lunacy?

Richard W.