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Strategies & Market Trends : 2026 TeoTwawKi ... 2032 Darkest Interregnum -- Ignore unavailable to you. Want to Upgrade?


To: Haim R. Branisteanu who wrote (53971)8/23/2009 3:44:57 PM
From: elmatador  Read Replies (2) | Respond to of 220151
 
Money creation through the excess issuance of money by either central banks and through excess issuance of debt by structured financiers can cause dilapidating impacts on an economy - as it did in systemic dimensions in the summer of 2007.

USD is a good as any other. The less there is of it, the more the value of said good. The more there is of that good the less it is valued.
Message 25861353

<<Humphrey-Hawkins explicitly stated that the federal government will rely primarily on private enterprise to achieve the four goals of full employment, growth, price stability, and balance of trade and budget.>>

That was possible within the G-7 acting as a cartel of currencies and adjusting their policies to the detriment of the rest of the world.

Globalization ened all that.



To: Haim R. Branisteanu who wrote (53971)8/23/2009 4:13:33 PM
From: elmatador  Read Replies (1) | Respond to of 220151
 
"Prosperity is produced by work, not profits." Go tell MQ! "Return on capital without work is mere speculative profit." No need to tell TJ.

I tell you about economics, what I told you about physical sciences: We need a new economy. Under a non-Anglo mindset.

Page 3 makes this very clear. Lets go to page 4.

When I looked at a pension fund, 25% of what it pays out is contributions from working people. The rest it comes from its investments. When you look at it a bubble is necessary to keep this going.

Therefore: <<The stock market generally rises with inflation but shoots ahead of it. Thus a housing bubble quickly expands to include a stock market bubble.>>

That is bubbles are necessary. In the absence of bubbles the system cannot work.