Politics for Pros- moderated Message Board

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Politics : Politics for Pros- moderated

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

To: Nadine Carroll who wrote (438502)	8/2/2011 8:38:22 AM
From: carranza2	7 Recommendations Read Replies (2) of 793921

Growth isn't happening. We need major structural reform, including a sea change in the economic premises we use. The Keynesian ideas do not work, stimulus is dead. If we haven't learned that after putting interest rates at near zero for years and wasting umpteen billions on direct stimulus, then we are too stupid to deserve survival. Keynesian economics work at the margins, under conditions where the markets perceive an economy as healthy on the whole but suffering from a temporary misstep. Where the rot is systemic, debt overwhelming and policy in shambles, no amount of stimulus will work. It will in fact make things worse because it has to be paid for. It is relatively simple: stimulus comes at a price. The stimulus put in place in the last few years has indebted us considerably. Markets know this and refuse to participate in a healthy way in a sick organism because the risk of failure is too great. The only thing that will work is painful: deleveraging on both a personal and governmental level. In a word, austerity, the kind of austerity we prescribe for others. Isn't going to happen is my guess though the TP did an admirable job of focusing the nation's attention on a problem everyone else would rather ignore. Gold up 20 as we speak as Bloomberg reporting Fed is considering more stimulus in face of negative consumption growth. Says it all, we are screwed. Get gold.

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next