The Shotgun Blog
Saturday, June 27, 2009
Will the economy recover and what will it look like if it does?
The American Thinker has an interesting article that questions whether or not the U.S. economy will ever recover from the current recession:
Haven't they heard? The America that always recovers is not in anymore. Any assumption of a recovery fails to consider the idea that we now have a government run by people who ignore American history and who are hell bent on changing America's future.
Obama has done more than apologize for America's greatness and generosity while abroad. He is wreaking havoc on the economy that paid for that greatness and generosity at home. Don't you remember? He is "the one" we've been waiting for to finally do something right around here.
Thus the conviction that Americans always bounce back and bring their economy with them is not necessarily relevant anymore. The rules for business have changed and continue to do so daily. Incentive has been devastated. The reliable motivations of the past do not matter, because most of those dynamics have been targeted as what is wrong with this country and they are systematically being removed at a stunning pace.
In reaction, Atlas is shrugging. And who can blame him (and her).
We cannot be on the verge of any meaningful recovery because we are in a downward swirl of liberal policy consequences -- and we have a government determined to correct this by getting more and more liberal.
Likewise, a recent report from Sprott Asset Management looks at the question of who is going to buy the massive amount of new debt the American government is creating and comes up with some troubling conclusions:
As we hope the breakdown above has revealed, the future solvency of the United States as a nation state is currently in jeopardy. It is in far deeper trouble than the mainstream press cares to admit. There are simply not enough new buyers of debt on this planet to support the spending programs of the United States government - and it appears that current holders of debt are beginning to sell. Because it is impossible to balance the budget from outside sources of capital, the only source of funds left for the US, in all reality, is continued money printing.
The Federal Reserve's policy of Quantitative Easing is failing. The US budget is ludicrous, spending is out of control, spending promises are out of control, the world knows it - and we know it. For all the pundits who see the economy improving over the next year, we invite you to explain to us how this debt crisis will resolve itself without significant turmoil. We've tabulated the numbers above - and they do not lie. As we wrote this past January, welcome to 2009.
While these are troubling signs, I think there's little doubt the American economy will bounce back eventually. As just about any economist will tell you, the business cycle is cyclical, rising and falling every ten years or so. This is one reason why I was surprised by all the fear mongering talk of "the next great depression" when the recession first hit. The bigger question is what the economy will look like when this is all said and done.
I think that a lot of the fear, uncertainty, and doubt (FUD) about the economy was largely created by the media. The tangible effect of this fear was a global recession and a willingness on the part of world governments—including Canada's Conservative government—to implement Keynesian economic policies. Despite the fact that Keynes claimed he was trying to save capitalism, I would argue he's actually a socialist, as is anyone who is now trying to blame the recession on a failure of the capitalist system. The argument might hold some weight if we had a capitalist system to begin with.
The legacy of this worldwide shift to the left will likely be an economic system that bears little resemblance to capitalism. Capitalism is the most efficient economic system known to man. Granted, it is not always fair, but life in general is not fair either. The role of government should be to help people deal with economic shifts, rather than try to ensure they don't happen in the first place. Capitalism achieves its efficiency by weeding out inefficient companies and industries and shifting resources to more efficient sectors. In this respect, recessions are not only expected, they are necessary.
Capitalism operates in the same manner as evolution, the dodo birds go extinct, while humans thrive and conquer the Earth. By trying to bailout inefficient industries through government intervention, we are managing the economy as though it were communist. This, history has shown, does not work. Now that Bush and Obama have spent trillions bailing out the banks, is there any reason to expect they won't make the same stupid mistakes again? None whatsoever. This is like giving a dog a bone every time it pees on the carpet. How can you expect it not to repeat the same bad behaviour, when it actually has a disincentive to do so?
Likewise, when North American governments bailed out the auto sector, they ensured that land, labour, and capital would continue to be tied up in an inefficient and uncompetitive industry, rather than being shifted to industries that could help the North American economy thrive in the long-run. So what will the economy look like in the future? I worry that our children will by left to deal with the effects of an inefficient socialist economy and a massive debt load, all because our politicians made the politically expedient moves, rather than the economically sound ones.
Personal Opinion: The recession was manufactured just as was the Great Depression. The goal, a single North American currency. The method, crash the present currency and pretend the Amero was the only way to save the day. The economy won't "recover" until this end has been met.
The powers that be will pretend things are on the upswing and hit us with a major crash that "no one" saw coming. The worst is yet to come.
But I could be wrong and I hope I am.
Posted by: The original JC | 2009-06-28 8:25:29 AM
You DO see the pyramid scheme symbol on the back of the USA one dollar bill, right? You DO see the servitude infestation in capitalism, right? And do you see the "pay up or lose your wellbeing" Chicago mob-like felony extortion widespread within capitalism? Do you see the "join or starve" felony extortion done to the 18 year olds... by this ugly competer's church called capitalism? See how forcing competer's religions onto 18 year olds... kills membership in the cooperator's church (Christianity/socialism)?? Do you understand that AmWay (American Way) (New World Order) got "the exclusive" (legal tender) on the TYPE of survival coupons (money) accepted in supply depots (stores) and leverages 18 year olds into the organization via that felony activity as well? (It puts AmWay-coupon slaving requirements called price tags... on all the survival goods). Do you understand how farmyard pyramids work... from your childhood?? Remember?? Upper 1/3 are "heads in the clouds" while the kids on the bottom ALWAYS GET HURT from the weight of the world's knees in their backs? Still with me? Do you see anything illegal, immoral, or just plain sick... in any of this pyramid scheme's activities?
Us American Christian socialists are still patiently awaiting the natural fall of the pyramid-o-servitude, or the busting of the free marketeers felony... by the USA Dept of Justice. Us Christians are VERY CLOSE to issuing a cease and desist order until the servitude and inequality goes away... which means it turns into a commune. Commune is a word we LOVE when used in the word "community"... but its one the caps HATE when used in the term "commune-ism". Go fig. PROGRAMMED!!
Do a Google IMAGE SEARCH for 'pyramid of capitalist' to see a full color picture made way back in 1911, when capitalism was first discovered to be a con/sham instigated by the Free Masons/Illuminati. Folks sure bought into the thing... hook, line, and sinker just the same. The caps didn't even check if a string was attached! Now THAT'S easy fishing, eh?
Time to level the felony pyramid scheme called capitalism. Abolish economies and ownershipism worldwide, and hurry. Economies just cause rat-racing, and rat-racing causes felony pyramiding. BUST IT, America! Look to the USA military supply/survival system... (and the USA public library system) for socialism and morals done right. Equal, owner-less, money-less, bill-less, timecard-less, and concerned with growth of value-criteria OTHER THAN money-value. Quit doing monetary discrimination immediately, and make it illegal. There are MANY measurement criteria of "value"... not just dollars. Try morals, efficiency, discrimination-levels, repairability, etc etc. Economies are cancerous tumors, and to cheer for their growth... is just insane. Profiting causes inflation, so if caps LIKE inflation, and if they LIKE a terrible time in afterlife when they meet the planet's ORIGINAL OWNER before caps tried to squat it all with ownershipism, then keep it up with the felony pyramiding. I dare you. While us Christians are finally bulldozing that pyramid scheme back to level, lets make servitude and "join or starve" (get a job or die) illegal in the USA, and lets level the architecture seen in USA courtrooms, too. Right now, USA courtrooms are church simulators or "fear chambers", by special design. Sick.
Isn't that back-of-the-dollar pyramid... a Columbian freemason symbol? And WHERE is the USA gov located? District of Columbia? (Not even part of the USA!). How much more blatant can ya get? The "Fed" runs a pyramid scheme called the free marketeers. If you're using the "federal reserve note" certificates, or using no-other-living-thing-on-the-planet entitles of ownership, you're bought into a servitude/slavery con/sham... called capitalism. Pyramiding 101.
Larry "Wingnut" Wendlandt
MaStars - Mothers Against Stuff That Ain't Right
Bessemer MI USA
Posted by: Wingnut | 2009-06-28 9:44:55 AM
You DO see the servitude infestation in capitalism, right?
No. No I don't. I see no capitalism that isn't controlled by government. So its not capitalism, it fascism...and there enlies the problem.
Posted by: The original JC | 2009-06-29 5:14:46 AM
I think "wingnut" bears his name well. Keep it up buddy! You were good for a laugh.
Posted by: Charles | 2009-06-29 6:16:00 AM
JC, that's right. The federal reserve notes that capitalists/enjoyment-junkies rat-race over, are government or "fed" owned, and have no titles of ownership, so there is no such thing as "taxpayer dollars" or "your hard-earned money". It belongs to the controllers, and if government was supposed to be "of the people", its not the government who are those "controllers". Or, the word/phenomena "government" got distorted/corrupted somehow, likely by being taken-over by capitalists.
Titles of ownership are also governmentor AmWay documents, and the police guns that enforce those titles of ownership, are government or AmWay. The "fed" owns the giant single corporation called AmWay (American Way) and all other companies/businesses are "under" that giant imperialism's umbrella. Chavez and Morales have been trying to tell the American people of this con/sham for a LONG time now, but nobody will listen, and they instead do personal slandering like Charles does.
Posted by: Wingnut | 2009-06-29 9:06:11 AM
An interesting post Wingnut. Worthy of some thought and research. I really am glad my brother discovered this website and showed it to me. There are some good ideas and freedom to express them here. Bravo WS.
Posted by: Steve Bottrell | 2009-06-29 4:38:46 PM
Wingnut, you might be on to something. But I'm having trouble following you. Can you speak more plainly? References to AmWay are NoWay to get your point across. :)
And yes the Federal Government is owned and operated by the same people who own and operate the fraudulent Federal Reserve. Which isn't "Federal" and has "No Reserves".
Posted by: The original JC | 2009-06-29 5:10:46 PM
On the Economy:
It is the month of August, on the shores of the Black Sea . It is raining, and the little town looks totally deserted. It is tough times, everybody is in debt, and everybody lives on credit.
Suddenly, a rich tourist comes to town.
He enters the only hotel, lays a 100 Euro note on the reception counter, and goes to inspect the rooms upstairs in order to choose one.
The hotel proprietor takes the 100 Euro note and runs to pay his debt to the butcher.
The butcher takes the 100 Euro note, and runs to pay his debt to the pig grower.
The pig grower takes the 100 Euro note, and runs to pay his debt to the supplier of his feed and fuel.
The supplier of feed and fuel takes the 100 Euro note and runs to pay his debt to the town's prostitute that in these hard times, gave her "services" on credit.
The hooker runs to the hotel, and pays off her debt with the 100 Euro note to the hotel proprietor to pay for the rooms that she rented when she brought her clients there.
The hotel proprietor then lays the 100 Euro note back on the counter so that the rich tourist will not suspect anything.
At that moment, the tourist comes down after inspecting the rooms, and takes his 100 Euro note, after saying that he did not like any of the rooms, and leaves town.
No one earned anything. However, the whole town is now without debt, and looks to the future with a lot of optimism.....
And that, ladies and gentlemen, is how the United States Government is doing business today.
Posted by: The original JC | 2009-06-29 5:17:54 PM
I recommend seizing all of Ontario's wealth and returning it to the people they stole it from.
Then all real estate must be seized and any buildings or structures on them destroyed. In their place will be farms and houses of exactly equal size. No one will be allowed any more or less property than anyone else. Subsistence agriculture will be the only economic activity allowed. Each neighborhood will be populated equally by all races and ethnicities to prevent ghettoization, so play nice.
This is what it will take for Ontario to live up to its entirely fictitous reputation as a progressive society.
Posted by: Zebulon Pike | 2009-06-29 5:19:10 PM
Then all real estate must be seized and any buildings or structures on them destroyed.
Posted by: Zebulon Punk| 2009-06-29 5:19:10 PM
Were you born a retard or is it the result of severe head trauma?
Posted by: The Stig | 2009-06-29 5:58:14 PM
This is what it will take for Ontario to live up to its entirely fictitous reputation as a progressive society.
Posted by: Zebulon Pike | 2009-06-29 5:19:10 PM
You're advocating straight up communism.
So much for any respect...
Posted by: The original JC | 2009-06-29 6:10:56 PM
Zeb-How long would it take for your bros to spend every penny on PCP and hookers?
I predict that within a couple of years, all the wealth would be right back in the same hands it's in now, and all the people who are screaming discrimination would be back on the street, looking for handouts.
Posted by: dp | 2009-06-29 6:18:57 PM
Hi gang! Steve, thanks for the kind comments, welcome aboard, good to have you. I'm pretty new here myself, but so far, so good. No censoring seen, and only minimal personal bashing. Seems pretty classy.
JC... good replies... and yes, I tend to speak in metaphors to a tiny degree, but not much. Are you old enough to remember/know AmWay and Shakley and similar pyramid-businesses? Maybe not. These two companies, and possibly Avon and Tupper as well, use a pyramid shape. (Actually, nearly ALL companies do these days.)
The newcomers are expected to sell product, but moreover, the objective is to recruit more members, who, eventually, will sell the product FOR YOU and you can "get a leg-up" on the pyramid. They are your "disciples" in a way. Your "owned slavecorp". Once you stand high-enough on the backs of others, you can quit selling products, and simply take a "commission" from all those below you (those who you've recruited, and the recruits that THOSE recruits recruited. A pyramid. This is how Madoff did his stuff. The new investors in his business, also were told to get MORE investors beneath them (become investment managers) and thus, it is a keep-the-rich-rich thing. The upper layers of the pyramid... get a commission/cut from all sales below, and eventually... once high enough on the pyramid, they can just lay-back and watch the dollars roll-in. Its "standing on the backs of others" and just like the disgusting, back-crushing, servitude-infested pyramids we did as children, they ALWAYS collapse... with people on the bottom needing hospitalization.
Almost all USA companies... are little pyramids... with cross-layer backstabbing and ranks... each rank delineated by wages and bonues. Monetary discrimination at its finest. This is why the USA social structure, which is also its financial structure... is called "the socio-economic pyramid". Its my theory that this is why the "Great Pyramids" are out in the planet's sandbox, too. They are there to teach us that we WILL have a "tendency" to stack people into servitudal pyramids on THIS planet, and that THAT... is what we are all here to learn NOT to do. It is my theory that those pyramids were built by communes and volunteer labor, and not by hierarchies/pyramids (orders/classes) of inequal humans who were "ordered" to do it. To take it a step deeper, another possibility is that when the meek inherit the Earth, they are spun-off into a utopian (perfect sharing) world, and the people who have been "banking" (like snow-banking) piles of money and ownership titles for their entire time on Earth, will be out in the dessert, building yet another pyramid symbol... to help teach future civilizations the pyramid lesson.
Heavy, huh? (Bricks tend to be that way.) AmWay, the company, is still in existence and pyramiding (monetary discrimination) has become an acceptable way for most of the planet. Its disgusting, and it needs to stop, lest we all die and burn-up the planet (except for us meeks, who want nothing to do with capitalism/pyramiding). Folks like me... despise and avoid all competing, and claim ownership of NOTHING. We Christian socialists know/see that no other living thing on the entire planet... does ownership or carries wallets or purses... or puts monetary-discriminatory price tags on survival goods. My type want a money-free, ownership-free, potlucks and barnraisings situation somewhat akin to Amish, Quaker, Menonite, Native Indian, and pure, loving, capitalism-less, economy-less Christianity. No trade, only giving. No mercantiling, no owning, no buyer or seller shoes, just pure taking care of each other, similar to that seen in the USA military. Although we try to convert lazy, bad-apples with all the motivational-speaker-powers we can muster, we also carry them with love if they decide not to help us with the "Team World" commune. In the military "team", "basic issue" is the same for all ranks, and luxuries are put into repositories such as "rec services" for all ranks to equally "check-out" and share.
Its a long story, gang. Zebulon Pike (great name, by the way) is on the right track. Housing will be connect-able modules, available from Team World inventory, and are never owned, but instead, checked-out and re-usable. You can personalize them all you want, as long as the personalizations/adornments can be easily removed so the module can be re-used someday. And the amount of modules your allotted... is based upon the size of the family or amount of people that are being housed therein. (very military-like) And, there's waivers... exceptions to the rule... if Team World inventory managers are satisfied with the justification on the requisition form. (Requisition forms are used in place of money, and handed out freely and heavily.) AND, if there is an overstock of modules at Team World inventory, "extra module waivers" would be looser and easier to get. The more we stock-up Team World inventories with life necessities, the more chance that we can allocate SOME labor for toy building, so we can all start equally having some cool enjoyments and treats mixed-in with our necessities-labor. In a way, follow the ants. Ants have communalism mastered, but the USA military supply system is pretty sharp, too. Use ITS method to delineate luxury from necessity.
A commercialism-free debate once happened here...
I really had to think and write hard to hold my ground there, and I did a bunch of yapping, even more than I did here (seems impossible, huh?). You'll see me mention it often, there, but, for the gang here... I don't proclaim to be a designer of proper, moral, communes. I concentrate my efforts on pulling the rug out from under pyramids... working-on showing the world that competition is the exact opposite of cooperation... and that competition is NOT healthy and never was. Cooperation is healthy and always will be.
Wingnut - AC
Posted by: Wingnut | 2009-06-29 7:09:16 PM
JC... good replies... and yes, I tend to speak in metaphors to a tiny degree, but not much. Are you old enough to remember/know AmWay and Shakley and similar pyramid-businesses?
Posted by: Wingnut | 2009-06-29 7:09:16 PM
I'm old enough to remember F-Troop and the Green Hornet being on TV. :)
Chaves and Zebulon may be trying to tell people that the system is corrupt but they're communist's and I see no alternatives that way.
So when trying to enlighten folks I prefer to use the Constitution and the Bill of Rights as well as the founding fathers themselves to show that things have gone wrong.
On a more contemporary note, I admire Ludwig von Mises for his economic theories and Ron Paul for his work.
Until we get the the International Banksters out of the halls of government, as well as the lobbyist system, we will continue to be controlled by parasites.
Posted by: The original JC | 2009-06-30 5:05:33 AM
We are going into an economic Depression. Just listen to Gerald Celente, Ron Paul et al. who expose all the desperate Government spin.
Posted by: BrokenSociety | 2009-10-26 3:30:59 AM
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