How to Create a Depression

How to Create a Depression

Great article from The Market Ticker by Kurt Denninger..

Like he says, we have nobody to blame but ourselves...

[edit on 3-12-2008 by RolandBrichter]

reply to post by RolandBrichter


So if the overall balance is secured, why aren't they passing it on to the high street? Reason: Their sheets are lies as well now.

reply to post by redled


Precisely....All that is left is for the Gravity Challenged Mademoiselle to begin her acapella....

Ireland may start the music...

[edit on 3-12-2008 by RolandBrichter]

reply to post by RolandBrichter


Ireland might as well, they've built high tech, where we built debt.

My fear in this plan? Indians are as intelligent, but will do jobs (=manufacture) for pay that is below us. So they like the Chinese will take our cash. And Gordon 'Bust' Brown will set up another debt spree, rather than listen to the needs of business and the fact that we have to sell exports to get out of this.

Originally posted by redled
reply to post by RolandBrichter

 

Ireland might as well, they've built high tech, where we built debt.

My fear in this plan? Indians are as intelligent, but will do jobs (=manufacture) for pay that is below us. So they like the Chinese will take our cash. And Gordon 'Bust' Brown will set up another debt spree, rather than listen to the needs of business and the fact that we have to sell exports to get out of this.

Labour is the great equalizer, isn't it.

In my view, the only thing that can help is to quit delaying the inevitable..

But that would mean the [current] politicians would be out of work too...

And we can't have that now, can we?

Originally posted by RolandBrichter

Originally posted by redled
reply to post by RolandBrichter

 

Ireland might as well, they've built high tech, where we built debt.

My fear in this plan? Indians are as intelligent, but will do jobs (=manufacture) for pay that is below us. So they like the Chinese will take our cash. And Gordon 'Bust' Brown will set up another debt spree, rather than listen to the needs of business and the fact that we have to sell exports to get out of this.

Labour is the great equalizer, isn't it.

In my view, the only thing that can help is to quit delaying the inevitable..

But that would mean the [current] politicians would be out of work too...

And we can't have that now, can we?

We could do with help for business to keep people in jobs towards export which is how we are going to get our cash back. Labour has certainly equalized from excellence in opposition.

reply to post by redled


I really don't think there is ANYTHING that can be done to make a difference in the short term....the great run of the last 20 years was based on debt and nothing else.....the cards have to fall before a new house can be built...

Also, we have this little development to look out for

US, China in Currency Clash

It's all just a matter of time before the US defaults on it's debt...

That leaves the world in a sticky situation.....bye bye dollar...

[edit on 3-12-2008 by RolandBrichter]

reply to post by RolandBrichter

Ireland may start the music...

First European country to declare themselves in a Recession, the largest portion of their GDP came from some form of construction .. which has all but come to a complete stop.

They will, if not already, be the first in the Euro Zone to feel the effects of Depression.

Most of their largest high-tech companies are also planning on shutting down. Only thing keeping them there really is the cheap Corporate tax Rate. Which Europe is starving to take away from the Irish.

Originally posted by Rockpuck

They will, if not already, be the first in the Euro Zone to feel the effects of Depression.

Unemployment there (Ireland) is already higher than anytime since 1998...

When an Icelandic situation develops there.....the other shoe will have fallen

[edit on 3-12-2008 by RolandBrichter]

That won't happen, Irish banks are some of the most secure in Europe. Especially since the Gov insured 100% of the deposits, causing a flood (especially British) of Euro depositors packing the banks with deposits. Not to mention their bail out.

Iceland was ah ... different. They stretched their lil krona to the max and it snapped.

I like Karl. Great post by him. He is right the people of America are stupid and there is nothing more I can say. People drank the Kool Aid. They looked at people like Ron Paul and shoved him off not realizing he was our last hope as a nation. At the end of the day they will pump all sorts of more money in the system and cause another bubble. Just buy gold. There is nothing we can do about our crooks in government and in the banking crime family. The people were overwhelmingly against these bailouts and they still happened. The only thing we can do is make money. Right now there is a fight between the government suppressing the value of gold and the free marketers trying to get the real prices out there.

meltdown2011.wordpress.com...

The fact is eventually the free market will win. Keynesian economics of market controlling does not work and ends in failure. This will too. Stock up on physical gold.

Originally posted by Rockpuck
That won't happen, Irish banks are some of the most secure in Europe. Especially since the Gov insured 100% of the deposits, causing a flood (especially British) of Euro depositors packing the banks with deposits. Not to mention their bail out.

That's kinda the reason for concern..

"Secure" is certainly a relative term, given the present circumstances....
They are in a somewhat better position than some European and US banks, but, just like in the US....the bailout wont save them...they are overleveraged in real estate, commercial as well as private, same as in the US...

The commercial real estate crash is the other shoe..

I'm watching Ireland precisely because of their percieved relative strength...



[edit on 3-12-2008 by RolandBrichter]

Originally posted by mybigunit
Right now there is a fight between the government suppressing the value of gold and the free marketers trying to get the real prices out there.

meltdown2011.wordpress.com...

The fact is eventually the free market will win. Keynesian economics of market controlling does not work and ends in failure. This will too. Stock up on physical gold.

Yup, plenty of market manipulation going on, especially in gold.....no matter, eventually the Dow value and the gold value will intersect...my guess is around 2000 or so..

How to create a depression… That’s easy. Don’t spend what y’all cannot afford or don’t 'have' -- no credit cards, no mortgages, and no loans, none of that -- even the more recently touted ‘secure’ way by investing in gold.