American Financial System Collapse

Worse than the Great Depression: when will they admit what we all know in our hearts

Sorry to be such a pessimist, but, in this case, I am just looking at the hard facts. What the pundits on CNBC and the news tell you about the economy is simply not true, it has never been true. They tell you stuff to try to convince you to act in the way that makes them money; buy their newsletters, invest in their chosen buys, but the illiquid alchemy of Wall Street no longer has an effect on consumer confidence. The bottom line is the whole system is insolvent, and now we finally realize it. We were told that it is O.K. to live in an economy where your only real industry is a retail industry to sell imported products to your own people. That its O.K. to fund these purchases with debt, and that its O.K. to pay that debt off with more debt. It’s O.K. for our government to put whatever it wants on the credit card, including foreign wars, and that its O.K. to fund those wars by borrowing from other countries who don’t approve of them. We also thought it was O.K. to promise the poor a constant supply of money that we do not have, which is not enough to live off of, and when we didn’t have enough, just tax some company thats doing a good job until it goes under, or relocates to China. We also thought it was O.K. to fund our cities, industries, infrastructure, police departments, schools on bonds which are traded in the open market, which might at some point not sell. We are closing in on those days where our treasury bills and bonds will not be a commodity anyone wants. Then everything supported by those things will fail. You’re seeing it now, the auto industry relied on us making bad decisions with our credit cards to stay afloat. Now that we can’t do that, they are going down. The Chicago Tribune is going under, who owns the Chicago Cubs, which is up for sale in bankruptcy. Seriously, the Chicago damned Cubs are for sale in a bankruptcy auction. Wrigley Field, you know, Harry Carey, “Take Me Out to the Ballgame” on WGN... The Chicago Cubs are for sale in a bankruptcy auction. The pundits don’t want to admit that the housing market is going to correct itself whether we like it or not. Home prices are going to fall to where the average home value is a couple times the median income. This is actually a good thing, but the fact that we are fighting it tooth and nail will bring our entire economy to the brink. It exposes all the fake debt on every bank’s balance sheet, and they will not have that, even if they have to destroy our entire country to do it. In fact, every other country in the world is in the same shape. We need to take a long hard look at how this exact type of environment lead to a World War II. At first a group will push for a “global solution”, which a few countries would be destroyed by, when those countries don’t play ball economic nationalism is the next thing that happens, followed by a few countries bankrupting so fast that War is their only solution out. We can’t ignore the fact that hyperinflation is what lead to the rise of Adolph Hitler. That FDR wiping the Japanese out of the central banking game is what lead them to attack us. We are in grave times, and the only way were going to get out is if we take stock of our situation, realize that there is no way to prop this system up, and to just let fall apart what is insolvent. Then we can begin rebuilding. We have the manpower all over the world, the ingenuity to fix it. We cannot fix it by building roads to nowhere and funding it on more debt. We cannot keep playing the central bank fake money shell game. It’s insolvent. I don’t care how much you “studied the Great Depression”, Ben Bernanke, because you are pushing us right into one. Every time you open your mouth the Dow drops 400 points, because the traders on the floor hate you, and they realize the economy is fake every time you talk. You’re an incompetent, Ben Bernanke, and you can’t avoid the Great Depression by staring at it all day. That’s like trying to avoid hitting mailboxes while you drive by staring at the mailboxes rather than at the road ahead. Regardless, there will be a short term boom. Gas prices will remain low as long as the economy deflates. We may even have a few month boom somewhere during next year, for the consumer. However, in the meantime we will continue shedding jobs every month. The jobs report will look worse and worse, and eventually unemployment will hit 30%. Count on it. We will have worker riots and marches, we will have more people on the dole, and the dole will bankrupt itself. The market hates the US Government for its excessive and egotistical central banking scheme, and if we don’t let it trim our system down, it will take our whole society down with it. The rest of the world is sick of making products for us to consume without giving anything back. Our loose monetary policy causes that. It’s over, we have to actually save money and make products again. On the positive note, at least you get to live through history! Maybe the kids who are growing up now will be the next Greatest Generation who survives a challenging paradigm shift. We’ll see, but, for now, there are dark times ahead. -Written By Barry Donegan 12-9-2008 http://dangeroustruth.wordpress.com/