Some people just can’t see that earthquakes, hurricanes, and (I’m not joking) alien invasions (“broken windows”) just aren’t good for the economy. This is true even if people are paid to rebuild cities or paid to wage anti-Martian warfare. It’s not complicated. But some very intelligent people can not grasp this basic concept. Some still embrace the thoroughly debunked concept of the “multiplier effect” in the economy. There is no multiplier. There is redistribution. Wealth comes from innovation and ingenuity and creation and risk taking.
When life gets expensive people stop going to Outback. I think Confucius said that.
Add the political pressure to raise minimum wages and things don’t look so good for restaurants right now.
Again I hate the word “elites,” but for your review.
So, default, growth, or inflation. How’s this going to be resolved?
Inflation is a stealth tax.
An excellent report.
Loaded up and on the way.
“Dolla dolla bill ya’ll…”
Or is it yen yen ya’ll?
No matter, the helicopters are in the air over Tokyo and currency is about to fall from the sky.
Watch military spending in Japan ramp up. This ought to work. We promise. This time. It’s gonna happen.
“I love the smell of inflation in the morning!”
Get ready folks, money from the sky is coming. Janet Yellen is warming up the chopper engines.
(From The Washington Free Beacon)
Yellen said that fiscal policy could be a very important tool in addressing weak growth or deflation.
“It’s natural that if it can be employed, that just as monetary policy is doing a lot to try to stimulate growth, that fiscal policy should play a role,” she said.
The French Revolution (and others) was tied to hyperinflation and a shortage of wheat. When people are hungry they get desperate. There is no reason why anyone should be hungry in Venezuela. It’s a verdant country. Yet the socialists have so mismanaged the economy that even here, in a veritable Garden of Eden, people are hungry. Even here, a country which sits on massive oil reserves nearly unrivaled in the world there is not enough energy to keep the lights on.
Manna from “heaven.” What could be better? Hurrah! Free money!
Consider that during Obama’s recent and brief economic legacy tour he was making the case that everything was great. Meanwhile Bill Gross, the legendary bond manager, is talking about dropping cash from the sky. This ain’t good. Gross knows that helicopter money is unwise yet he’s still somewhat advocating for it.
Yeah, things are peachy.
If you are “resisting capitalism” you are “resisting human progress.” You are resisting the voluntary exchange of goods and services. You are resisting opportunity for people to make a better life for themselves through hard work. You are trading that opportunity for a system which rewards the uncreative and unambitious. (And perhaps you understand this.) You are fundamentally resisting FREEDOM and LIBERTY, because “economic liberty,” the right to do what you want with that which you own, is not separate from social FREEDOM and LIBERTY.
Ned Beatty isn’t totally right here but there’s a good bit of truth in what he says. Regardless below is one of the greatest scenes in all of cinema and everyone should see it.
We are pretty much obliged to run this one. Of course it has popped. It’s been deflating for months. Really longer than that though the Shanghai Stock Exchange didn’t reflect it for a while. And it’s not like the Chinese pop is over, it’s got plenty more to go. Lots of “fun” is still ahead of us.
People who care about the world economy and world politics should look closely at China. It is a classic case of “