Interest rates ain’t a’gonna go up significantly anytime soon. It blows up the budget. (Of course if they do, or have to, then things get REALY interesting.)
“I smell…Central bankers.”
How this obvious truth eludes so many economists is beyond me.
It’s simple. The central banks seek to goose the economy. They lower interest rates below the real market interest rate. As such people, institutions, everyone takes advantage of the relatively cheap credit. But as this cheap credit is taken advantage of malinvestment (that is investment that would not have happened if the market had set rates) begins to build up. It builds and builds and builds until there is so much malinvestment the economy topples on itself.
Milton Friedman (and others) was famous for saying that “there ain’t no such thing as a free lunch.” And truer words have never been written or said. Almost as true however is that “there ain’t no such thing as a free political endorsement in Washington DC” either.
Many of the #nevertrumpers have thrown their lots in with Ms. Clinton. These folks are mostly banking/political Bushite types like Hank Paulson and John Negroponte.
The political class loathes a large part of this country. Now it’s official.
The one on the right just got impeached for using her office to line the pockets of her friends and political allies.
A friend of mine asked how this was even legal. I sure as heck don’t know.
Fine the banks for billions and then take that money and just give it to Obama supporters and friends? Third world politics totally. Chicago politics totally. We have definitely regressed as a country over the last decade.
We have long asserted this. Obamacare is/was good for the insurance companies, the pharmaceutical companies, the drug stores, all sorts of large vested interests. The lobbyists for these interests wrote large pieces of the legislation.
Obamacare is a vehicle for cronyism. That is its nature. That is what makes Obamacare Obamacare.
I am currently editing a collection of past essays and last night I was editing the “neocon” chapter. I noticed that we argued multiple times in 2014-2015 that with the rise of Rand Paul the neocons, the pro-war crowd in the GOP and with them the weapons manufacturers, might defect to Hillary Clinton.
But as it turned out it wasn’t Rand who sent the big government GOP war advocates to Hillary, it was Trump.
Defense contractors are accustomed to getting what they want.
If you think that isn’t going to have tremendous ramifications down the road you’re nuts. Heck, we’ve got plenty of ramifications right now.
This piece is from last year.
The TEA Party was, and sadly we must now use the past tense, a ray of light in a time of enveloping gloom. After the exasperation caused by George Bush and his profligate spending and foreign adventurism, the bailouts of the banks, and the ascendancy of Barack Obama who promised only more profligacy, people rose up and said – no more!
This was the TEA Party. TAXED – ENOUGH – ALREADY.
Most people who care tie its birth to the below rant by Rick Santelli on CNBC.
The guy was advising the president and now is advising Hillary Clinton on economics. This sort of makes sense.
Here is Washington for you America. Economic advisors in the White House taking out giant loans from big time lawyers. This is your political class. These are the folks who supposedly know how to “steer” the economy. Oh, and he’s another Goldman Sachs guy.
Dennis Rodman was NOT however named to the economics team.
I can’t say that this is in any way surprising. This sounds about standard operation procedure for Trump. And given the fact that most of Wall Street is circling the wagons around Hillary it is even less surprising.
Ralph Nader is wrong on any number of things but I’ve talked with him at some length a couple of times and he strikes me as one of the few really decent people I’ve met in Washington. I like the guy. I think he legitimately opposes crony capitalism and it is my understanding that it was he who originally coined the term “corporate welfare.” I’d be happy to have a beer or a glass of wine with him anytime, and that’s more than I can say for many DC denizens.
This, dear readers, is how it works. The rules, as we saw with the Comey announcement a few weeks ago do not apply to everyone. Some people and banks are even too big to even embarrass or shame, never mind fail or jail.