Posted on 01/25/2009 7:30:23 PM PST by sickoflibs
ON OBAMA’S STIMULUS PLAN: “It’s a disaster. The stimulus is the problem. It’s a bigger problem than what we are all dealing with now. Our politicians refuse to accept reality and understand what’s going on, that the economic contraction is necessary, our country is imbalanced; we’ve spent and borrowed too much money. We’ve run up these huge debts from speculation and instant gratification. People on Main Street have borrowed a lot of money and spent it. And people on Wall Street have borrowed a lot of money and gambled it away. And we’ve dug ourselves into this gigantic hole and the solution is to save our money, to produce things again. We need to tighten our belts, everyone from the average American family to Uncle Sam.”
“All they are doing is spending us deeper into debt, deeper into bankruptcy. Economies don’t grow because we spend money. We get to spend money because economies grow. And what makes economies grow is the opposite of spending. It’s saving, investment and production that this country is lacking that we need more of. We don’t need more spending. The politicians say we need to get consumer credit flowing again, that we need people borrowing more money so they can buy more cars. We need that like we need a hole in the head. We got too many cars on the road, right now we need to make cars we need to export them. There are people all around the world that are still using bicycles. Let’s make some cars for them, let’s export some cars. We can’t just keep borrowing money to go deeper into debt to buy more cars or TV sets or washer-dryers. It’s great to spend money when you have it. But first you have to earn it. It’s great to have things, but first you have to make them. “
It was bad monetary policy that got us into this mess. We had interest rates to low for too long. That’s encouraged all the reckless consumption.(and little savings.) The problem is, since we destroyed our capital base, since we destroyed our savings(low interest rates), the only way we can compete now is with cheap labor. So unfortunately wages in this country are going to have to come down because that’s the consequence. We have to start over again. The reason why Americans used to enjoy the highest wages in the world is because we had the most capital. We had the highest savings rate. We had the most tools in the hands of our workers and we have to build that back.
“The reason we were so rich was because we believed in capitalism. The government was small so people were big. We could succeed because government wasn’t putting on all these roadblocks. And we had honest money and we had higher interest rates so people would save. We used to have a double digit savings rate in this country. People bought things when they had the money. They didn’t buy first and figure out how to pay for it later. We didn’t have this phony service sector economy.”
ENTIRE CLIP AT : Peter Schiff on Lou Dobbs Radio Jan 6 2009
No, his "Economic Stimulus Plan" is all about creating a permanent welfare state, a subsequent socialist state, and permanent power for the Democrat Party.
It is not the time to confuse what needs to be done with ulterior motives and intentions.
You should watch “Peter Schiff was right 2006-2007 2nd edition’ on Youtube. You would not be quite so sarcastic.
He mops the floor with about ten other economists,investment pros,etc.,and he is precisely correct.
The car comment is just his way of saying exports of goods.(IMO).
Absolutely on target - though I'm not sure about permanent power for the Democratic Party.
Oh,and the best thing about “Peter Schiff was right” is that
they were laughing and denigrating him on camera.”He who laughs last...”.
Economic collapse in 5 1/4 months.
... is all about creating a permanent welfare state, a subsequent socialist state,
Absolutely on target - though I’m not sure about permanent power for the Democratic Party.
I’ve become so cynical that I do hope there’s another bubble. I won’t be fooled by pseudo prosperity, though. This time I’ll allocate extra monies toward food supplies, guns, ammo, etc. You know the drill.
4later
So you’re saying he’s not a Shifferbrains?
Cute.Did you watch him on YouTube?
I highly recommend it.
Thanks....I think...
Is he talking to O?
See post#22.
OK, I'll bite. Why 5 1/4 months?
OK, I'll bite. Why 5 1/4 months?
He possibly means the end of the fiscal year in June.
My crystal ball is pointing to major problems surfacing late April. Ear's honeymoon should be on the rocks by then...
Praise the Lord! Finally, a voice of common sense speaking where the world can hear! I wish we’d heard from him before all the bailouts!
Is he talking to O now??? I watched that video and see that for years he’s been correct. He only mops the floor in hindsight with those other economists — they clearly thought he was out of his mind.
But is he being listened to today, in 2009? Is he talking to O?
It seems to me there’s too much wrong...
I’ve always thought it was crazy to just produce so WE could consume luxuries while the rest of the world scratched for essentials, but of course I have no say, really.
What is Peter Schiff saying TODAY? I cannot find anything via Google that’s recent.
Deserving bump to the top!
You wrote: “Deserving bump to the top!”
What view of FR lets one see threads by popularity? I never see high-response threads anywhere but in their original position.
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