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Strategies & Market Trends : The Residential Real Estate Post-Crash Index-Moderated -- Ignore unavailable to you. Want to Upgrade?

To: GST who wrote (89936)	5/2/2013 4:48:38 PM
From: Smiling Bob	4 Recommendations Read Replies (1) \| Respond to of 119360

The answer's obvious, so no need to answer The markets would tank There would be ripple effects EVERY process is subject to natural forces that ultimately lead to a stronger base. Overgrown forests only lead to more devastating fires. Supporting inefficiency leads to more inefficiencies Shooting up with more and more Demoral to cover the pain of the spreading gangrene will not preserve the limb Ben wants to play god and keep printing to keep the illusion of prosperity alive. Get your head out of the sand ask what is the ultimate price that society will pay for Ben's madness when the ever taller house of cards drops.

To: GST who wrote (89936)	5/2/2013 4:53:50 PM
From: benwood	19 Recommendations Read Replies (4) \| Respond to of 119360

Treasuries would plummet. Foreigners would dump UST so fast our heads would spin. The USD would crater and the imported inflation jolt would be massive and hugely deflationary as spending by consumers would fall off a cliff. Gas would jump to $8//gallon, etc. The US Treasury would start issuing it's own currency again in an attempt to a) pay the rapidly increasing interest payments and b) to light a fire under inflation until it reaches a minimum of 10%. All sorts of money-for-nothing programs would come out of thin air -- free tuition, free mortgage down payments, wildly expanded food stamp program, all sorts of things to put cash into people's hands. Or if they were too slow, gov't would contract by 50%, the army would perform a coup d'etat, and then they'd use the Treasury to start printing money etc. Or instead of a coup, the military withdraws from all over the globe and a surge of revolutions are triggered elsewhere. Collapse, pandemonium, revolution, massive depressions... lots of outcomes possible depending on how the gov't, military, and/or people respond. None of them are good, in my view. The time for good response was 10 years ago. I don't think it's possible to know exactly how it would play out, similar to living on a farm and having a tornado pass 100 yards from your house. But change will be a-comin', and it would not be pretty. Sad thing is, change will come whether we delay it or not. The delay just means those that have perpetuated and amplified the crisis will have their assets squirreled away all over the globe.