Sunday, Nov. 27th, 2011 – This week begins with so many examples of frustration. The biggest frustration is the European situation. This game of financial musical chairs will have an end. Right now, we see nations like Germany, France and the UK making sure that they have a seat, when the music stops. That won’t solve their problem. Watching the European debt tumor grow is a deathwatch. As I wrote in “Cancer Of The Wallet”. debt caused the disease, to begin with. Now, debt encourages the spread of the disease.
Printing more debt is not the chemotherapy that Europe needs. Leaving the ECB and it’s phony currency high and dry, is. Surgery is the answer. Cut the source of the tumor, out. Cut it all the way out. Index goods and services to each other and move on in equity. Stabilizing the exchange of goods and services will do what a common currency could never do. Lrt the common market set the standards. The marketplace responds very quickly to production and demand, without a central bank.
This was not news that anyone wanted to hear. The question of how much there is left to salvage of the Euro remains to be seen. This sets up as a week of digging firebreaks and preparing for the worst.
It still looks like financial storm clouds building in Europe. The possibility of the Fed getting involved in tossing in a 600B life preserver should make everyone in the U. S., very uncomfortable. It’s a wait and watch week.
It is encouraging to see discussion of reality, here. The conflict is in the fact that reality and fantasy don’t mix. Either fantasy pollutes reality, or reality destroys fantasy. The emotion in the debates is understandable. When people are pitted against each other, combat is inevitable.
While we were watching other shoes drop, somebody found another shoe. The rumors of Germany printing currency were enough to shake things up. Greece does what it can to counter. This can’t be setting up a good commercial environment in Europe.They’re choosing not to hang together. Debt may yet hang them all.
I wondered when they’d get around to shooting the messenger. This proves my point. In Corporatism, loyalty is measured by who an individual will lie, cheat, steal and commit murder for. Apparently, this guy got in with some bad people. But then, we know what banks are.
The stock market is a cliche. The moaning we hear is the reaction to the track going crooked. There is no “chalk”, anymore. It is now pure gambling. A degree in Human Nature would be far more useful than a degree in Economics. Smart people don’t gamble. Is there an Addiction Hotline for traders?
That’s how Corporatism thinks. The remedy for the product of central control is more control. The preferred business model of the central banks has always been slavery. They won’t stop until they get it.
People believe that everything is good and right, as long as they can go places and guy things. Their mouths say one thing, and their commercial actions say the exact opposite. This is why it is impossible to force a slave to be free. The foundation of the economic system is hypocrisy.
Having worked in talk radio, I was on the board for Mr. Griffin’s interviews. Then, I read “The Creature From Jekyll Island”. The light bulb came on. Central banks are in the wealth transfer business. They get real things, and the population gets worthless paper, borrowed debt. It became so easy to understand.
I remember a poll that showed that most people form their opinions from headlines and sound bytes, but can’t accurately recall the details of a story. That is why the public is so easily deceived and manipulated. Details are important.
As I’ve been pointing out, there is no ducking this. The longer this drags out, the deeper the decline in employment, production and gross revenue. This is just a sale on junk that nobody needs and everybody doesn’t want/ There is no market for institutionalized failure.
With Europe begging to drag other currencies into the Black Hole, I don’t see confidence. The debt situation is a pressure cooker for anyone in it. To be confident, there would have to be resolution and a clear direction of the markets. Anything less is just whistling past the graveyard at midnight.