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Strategies & Market Trends : The Epic American Credit and Bond Bubble Laboratory -- Ignore unavailable to you. Want to Upgrade?

To: Joe S Pack who wrote (101173)	2/11/2009 5:27:29 PM
From: Paul Kern	7 Recommendations Read Replies (1) \| Respond to of 110194

Yeap, Thanks to Clinton's statistical manipulation in terms of hedonics and other machinations, actual GDP was about 1/3 less than what the liars blabber in MSM and BLS. -J6P And the Clintons were complicit in the murder of Archduke Ferdinand too.

To: Joe S Pack who wrote (101173)	2/11/2009 5:52:51 PM
From: benwood	1 Recommendation Read Replies (1) \| Respond to of 110194

J6P, I think the banking sector swindles which beefed up tax receipts were a great mask to the GDP lies. Now that the banking sector has imploded into a black hole which has absorbed everything orbiting near the nearly free credit, the collapse in tax receipts will be stunning. Even if a rational, sustainable economy gains traction in a year or two, the level for real GDP will be perhaps 20% lower than today, at best. Maybe 30% lower (in real terms). So in essence, gov't must shrink by that level, taxes must rise considerably (close to 50% to mitigate the effects of a drop of 33%) or instigate a policy of fairly high sustained inflation, say 10-12% per year, in order to acquire the stealth tax necessary to keep such large gov't bloat afloat.