$100 Trillion Up in Smoke

Mauldin Economics ^ | 06 February 2016 | John Mauldin

[IronJack]

That's a fact. You'll notice that "rising energy costs" were blamed for all the price increases we've seen in the last three or four years. But now that those fuel costs have dropped -- up to 70 percent -- we're sure not seeing comparable reductions in the price of goods.

Still, if that means profits are soaring for producers, then that just means more capital to expand facilities, hire more workers, build better mousetraps, etc.. So it still means that there's more disposable income available, even if it's not being "disposed."

And if it's not, I suspect the reason is fear. Businesses aren't sure what this worthless government is planning to do next (like this absurd proposal to tax crude at $10 a barrel), so they're hoarding cash and waiting out the obama storm, praying a fiscal conservative gets elected in November.

[IronJack]

the world is a better place with more smart phones and fewer PDP-8.

At the risk of being branded a Luddite, I would disagree. While the world is certainly a DIFFERENT place with smartphones instead of PDP-11s, it isn't necessarily a BETTER place.

Although I will concede that in many cases, technology does improve things.

But that's a matter for another discussion ...

[Lonesome in Massachussets]

I think we understand each other. You make a good point.