Peak Oil News and Message Boards

Picked up from the marketticker blog. Worth sharing..................


Note the date on this - 1934.

So true, I've been reading about the great depression.

Just sub out "Wallace" for "Lawrence Summers" and "Stalin" for "Hu Jintao".

The problem with the economic stimulus package and bailing out the banks is that it doesn't put the economy on a sustainable long term footing.

We are merely shifting private sector debt to the public sector, AKA, future taxpayers.

Unless they can make the economy grow faster than potential to compensate for the added interest payments...we will fall behind.

And don't forget that all of this government borrowing creates a crowd out effect. Every dollar the Feds borrow is one less dollar that John Q. Public can borrow.

The huge tax hikes that must come at some point to pay for this debt will severely curtail America's future standard of living.

If the current borrow and spend mantra continues for too much longer, we could be looking at a sovereign downgrade of American debt.

There isn't anything wrong here, folks. The system is working as designed.

This is the glorious result of the meeting at Jekyll Island back in 1910 that created the Federal Reserve System. They know exactly what they're doing, they're keeping the filthy rich richer and bleeding more wealth from the working class.

Until you come to grips with that simple fact and demand it change, then nothing is ever going to get better.

joewp wrote:Until you come to grips with that simple fact and demand it change, then nothing is ever going to get better.

What changes would give more wealth to the working class?

Sure we're wiser; we started throwing money at the problem right away instead of waiting 5 years. Thanks, Ben.

World War 3 ought to start next year, judging by the rest of the compressed timeline. Thanks, Pakistan.

joewp wrote:They know exactly what they're doing, they're keeping the filthy rich richer and bleeding more wealth from the working class.

Actually, no. They don't know what they are doing.

The global collapse in stock-markets and housing values hit both the middle class and the wealthy hard. Far from making the filthy rich richer, the global financial crisis has caused rich people like Warren Buffet to lose billions at the same time that middle class people were losing home equity and big parts of their 401ks and poor people were losing their jobs.

Yes.....it turns out that when the tide goes out, all boats float lower.

Ludi wrote:...

What changes would give more wealth to the working class?

Let companies fail.

odegaard wrote:
Let companies fail.

So folks losing their jobs would give more wealth to the working class?

Ludi wrote:

odegaard wrote:
Let companies fail.

So folks losing their jobs would give more wealth to the working class?

correct
If a company is losing money it means it is selling or *trying* to sell a product that society no longer wants to pay for.
The solution is simple --> STOP trying to sell that product.
Reallocate resources into something else that will turn a profit.
and if society cannot understand this --> then they will get exactly what they deserve.
//
Sometimes the only way to do this of course is to shut down excess capacity.
aka Let companies fail. Let people lose their jobs.
Or do you prefer the alternative. Do you wish to pay taxes to keep a "zombie" company alive?
That's just throwing good money after bad.

If society was smart then we would let the struggling 20% of our economy go out of business and then use the remaining 80% to transition into a post PO world.
Instead we have decided to use the healthy 80% of our economy to hopefully save the sick 20%.
but we all know what's going to happen right?
We will foolishly continue on this path until only 60% of our economy is healthy while 40% of it is sick and again and again.....

Kunstler said it best. "We will continue to live as we do until we can't and then we won't"

The solution is to shift our resources to a massive public works program to create tens of thousands of nuclear breeder reactors.

This would create jobs and provide cheap energy which would in turn help foster a strong economy.

If we mass produced them they would effectively be cheaper.

Cheap energy would lead to a strong powerful national economy. Plus we could export the products to other countries (namely China) so that they could produce cheap electricity and build up their economies. So we might actually make a profit on this public works program.

The merger of state and corporate power is called fascism- Mussolini.

Worth noting.

odegaard wrote: Let people lose their jobs.
Or do you prefer the alternative. Do you wish to pay taxes to keep a "zombie" company alive?
.

I think there might be other alternatives. One of which is to provide alternative jobs or money for small business start-ups with the same money that would have been used to save the corporation.

Just an idea.

Kylon wrote:The solution is to shift our resources to a massive public works program to create tens of thousands of nuclear breeder reactors.

There are no solutions, only responses. I happen to think public works is a decent response, but there are many ways to structure them and many areas to work on. This needs to be figured out, pronto.

joewp, you have it exactly right and Plantagenet, you have it exactly wrong.

Plantagenet assumes all rich are alike, in on the scam, but, you couldn't be more wrong. ALL who oppose the collectivist agenda must be eliminated, especially the rich who give the average person HOPE that capitalism can triumph. Who do you suppose make up the investors in Berkshire Hathaway? Is it not the many middle and upper class rich who champion the capitalist mantra? I know some of them, they couldn't be more on board with the whole "we can all get rich" scam.

Enlightenment begins when you search for the truth beyond the obvious. Those who've made the journey, like joewp and myself, still have much to learn (well, speaking for myself... don't know about joewp) but at least we know where the scam is heading. "They" are very close to realizing their dream of more than a 100 years in the making. Quigley believed back in 1970 that it was to late to stop them. Nearly 40 years later he appears to have been right. It doesn't look good for our side when those with the means have already escaped (Rodgers, Paulson, Bush). How many have left we will never know about?

And, just in case you think you still have rights because you're an american and live in america...

http://www.wral.com/news/local/video/5050332/

"They" have won.

At least for now.

Ludi wrote:

odegaard wrote: Let people lose their jobs.
Or do you prefer the alternative. Do you wish to pay taxes to keep a "zombie" company alive?

I think there might be other alternatives. One of which is to provide alternative jobs or money for small business start-ups with the same money that would have been used to save the corporation.

Just an idea.

Giving money to a small business start up seems more palatable then handing money over to a bunch of bloated large corporations that created their own mess by recklessly managing resources.
however....
What if these small business start ups fail? The taxpayers will have to eat the loss.
There is no guarantee.
In fact I think we are entering a new world where trying to create wealth will be much more difficult.
We are suffering from extreme over-capacity meaning there are too many businesses trying to peddle products that consumers can no longer afford to buy.