Re <<I just hope we don't end up in a deflationary spiral, a disaster for all>>
Yeup.
Doom-loop Diaper Debt Deflationary (“DDDD”) spiral must be fought to the last person standing, presumably the central bankers, and then hanging the central bankers would be the quaint old-fashioned way.
‘They’ are trying to do a good job in that fight, talking.
Must show sincerity earlier in suitably plus more copious wallops.
My Jack was looking at the global meter usdebtclock.org earlier this night and noted “the clock seems to be moving slower”.
“Optical illusion” I responded.
I discussed w/ him “rate of change” vs “change in rate of change”. It was a short discussion.
Powell best make it good, and mouth the obvious, that “whatever it takes is whatever called for for as long as necessary and without any constraints just because”
Just emulate kamakazi Japan. The place is still fine at 2.6X+ the debt load of USA, and 5+X of China, no problems but for the never-mind-oddity that the elderly often prefer jailing for minor offenses because sustenance is free, and under roof, w/ medical care and companionship of peers bbc.com
I have been in GEO finance.yahoo.com and Annaly finance.yahoo.com equities, bracketed by puts / calls, for the dividends, because they best express one part of the anti-DDDD struggle, higher positive carry relative to T-bill rates. In GEO’s case, unlike hotel and mall REITs trashed, should expect solid growth underpinned by the same energy that powers gold. I do not know what GEO measures are w/r to CoVid or if it gets government MMT support based on CoVid cost-plus.
Cloud on the horizon might be that the electorates referendum-decide to simultaneously defund police and boycott GEO, so as to balance the budget.
Just do not know. The old saying I keep in mind is that California is a leader and leading indicator, and so in many ways the State’s 2020 November exercise is much more interesting than the national version. Just that California is limited in its borrowing capacity by the market, cannot print (well, technically can, by pay-in-kind, but we cross that bridge later), and can only tax until can tax no more.
The simultaneous equations of tax and chaos is set in stone, along w/ tyranny. Cost of sunshine shall inflate even as anti-DDDD protocol in operation, accelerating DDDD in some sense.
Alternatively California can put waste to Proposition 13, trigger DDDD, let the banks pickup the tab, transmit distress to beyond the state borders, and wait for all-in bailout from the nation and world.
Let’s see what if anything California chooses ocregister.com
The national election is less meaningful given the nature of the the issues tee-ed up. |
