April, 2011

Use The Debt Ceiling as Leverage

The incredible debt levels of the US government are shown in the graph below: The graph appeared in a Letter to Congress which advocated aggressive action on the spending problems in the US. The debt ceiling decision is to be used as leverage to exact oversight of federal spending with line-item authority for an independent board in the event (when?) […]

Quote of the Day

This from a recent Richard Russell newsletter: We’re borrowing billions of dollars a month just to “keep going,” yet, ironically, we’re doling out billions of our borrowed dollars to other nations, all in an effort to keep the fantasy of “the US as world leader” intact. I fear it is not working and all we are doing is making ourselves […]

Bubbles Nearing an End or Just Beginning?

There is an interesting quandary arising for investors. We have had a rather massive run-up in various commodities as shown and discussed in this Market Ticker by Karl Denninger. As Mr. Denninger points out, the graphs have parabolic qualities. As he observes: For those who are short in the memory department, parabolic charts nearly always end in tears.  Indeed, if […]

What a Recovery!

More news from Michael Panzer that the recovery (what recovery?) is mostly a figment of the imagination of Washington and their media gnomes. Every once in a while I like to post a collection of recent reports that should, in theory, help to undermine the enthusiasm that so many in Washington and on Wall Street have for the notion that […]

The Fed is Poisoning the World

John Rubino discusses exploding inflation and the pickle that puts us (and the rest of the world) in. He believes the following: Obviously this can’t go on. See Seeds of Their Own Destruction for some reasons why. Continued ease in the US and more tightening abroad means increased pressure on the dollar — at a time when the dollar is already […]

Education and Sex

What do education and sex have in common? Some might answer that sex is now a course or series of courses in education. Others might answer that both involve a screwing. Neither is the correct answer. The answer I was looking for is the following one. From the time of Socrates, only the delivery of education and professional sex has not […]

Goodbye Dollar, Goodbye Normalcy

Chris Martenson interviews Axel Merk and covers some of the following topics: Why Ben Bernanke is hell-bent on debasing the US dollar to spur economic growth How the politics of the Fed work, where the power lies and which arguments and actions are likely to carry the day Why inflation expectations actually matter more than actualy inflation, and why the […]

Government Failure(s)

James L. Payne has written Can Government Manage the Economy, a perspective on modern-day witchcraft as practiced by government. The assumption that such management was feasible was invalidated almost immediately: For 98 years the federal government has been attempting to prevent asset bubbles, recessions, and spasms of unemployment. In 1913 Congress and Woodrow Wilson created the Federal Reserve System, the […]

The Ryan Budget is More Game-Playing

Bob Murphy discusses Paul Ryan’s proposed budget. According to Lew Rockwell’s test for judging budget seriousness, it is woefully inadequate: The politically painful budget slashing is deferred to the future. As Lew Rockwell has said of any would-be budget hawks, tell me how much you want to cut spending this year — not ten years from now when someone else […]