Well, here we are again, another year older and not a single wit wiser (not to mention that most of us are a good deal poorer…)
The NY Times tells us that Wall Street finished the year pretty much in the same place it started yet Mr. Williams of Shadow stats fame provides us with this indisputable data
No. 410: Special Commentary, GAAP-Based 2011 U.S. Financial Data ￼
December 28th, 2011
Actual 2011 Federal Deficit Topped $5.0 Trillion
U.S. Government Debt and Obligations Top $80 Trillion
Long-Term U.S. Insolvency/Hyperinflation Remain Virtual Certainty
As usual, the, er, ‘disturbing’ portion of the commentary has been served up last.
Yes good citizen, despite strident claims to the contrary, the very real threat of ‘Hyper-inflation’ continues to haunts us.
Libertarians like Mish Shedlock still point to ‘deflation’ as the devil haunting our tracks yet there has NEVER, (like not even once) been an instance where prices dropped so low that commerce ceased to function.
But that’s a ‘misleading’ description of deflation…
What these ‘serious people’ are warning us of is the ‘drying up’ of credit!
The thinking here is you simply won’t have the money to purchase staples AT ANY PRICE.
This decidedly twisted way of viewing things ignores the same factor ‘gold bugs’ routinely ignore.
The ONLY reason people pay the ‘asking price’ for anything is because it is cheaper than the price of simply taking it.
Right now, as in at this very second, the blunted and stubby ‘arm of the law’ is likely to reach out and slap you should you decide to take the more ‘economical route’ while shopping.
But in the not too distant future you will become the law…more disturbingly, EVERYBODY will become their own personal ‘law enforcement’ unit.
And there will be no, er, ‘arbiters’ of right and wrong…the winners of these disputes will be the quickest on the draw (as well as the most ruthless in ‘target selection’.)
Did I mention ‘Happy New Year’ yet?
I didn’t think so, despite it already being declared that 2011 was a ‘bad year’…
Funny we are only hearing this now, at the end of the first year where they stopped claiming there was an (imaginary) recovery underway!
Oh, and that it was not merely ‘billions’ pumped into the fraudulent banking system but trillions!
Conservatives were upset enough over the 700 billion that their last sitting president tossed at the banks. Where is their outrage at this figure mushrooming by a factor of 35?
More disturbingly, this was done by a conservative central bank head!
(But, naturally, that has nothing to do with anything…)
Which draws us back to our original topic…which was the inevitable collapse of the global financial system.
What? You didn’t get that out of Mr. Williams brief commentary?
Like my humble self, Mr. Williams is unable to provide us with the ‘exact date’ (although I’ll stick my neck out and predict it will happen before next summer! A ‘prediction’ that has absolutely nothing to so with the Mayan long count calendar.)
Those bold enough to click through the ‘adult content’ firewall should hold few illusions about how the world operates and who is in charge of it.
But I’m ‘projecting’ again, am I not?
What I admire the most about you, gentle reader, is that you are no fool!
Thanks for keeping it real!
I’d like to take this opportunity to wish you an ‘interesting’ New Year…and it’s always interesting if you know what you’re looking at!
Thanks for letting me inside your head,