Government is out of weapons as the US economy plummets relentlessly toward its date with destiny. Despite the cries for more interventions, the reason the economy is in this condition is due to government and its continued interventions over 80 plus years. The damage is beyond repair in the sense that a Great Depression is inevitable. There is nothing that can avoid this result, given past abuses.
Fortunately, government is almost out of resources which means the continuing damage is almost over. It is in the sense that government can do no more harm except the Fed. Undoubtedly the government will call on the Fed to institute QE3 … 4, 5 etc until the collapse occurs. That is the last gasp of scoundrels:
The WSJ provides a hint of what is likely:
There’s no doubt that inflation can erode the value of money and debt. Argentina tries this every few years. Debtors and “millionaires and billionaires” (to borrow a phrase) do fine, but the middle class pays a huge price in a debased standard of living. Once you encourage more inflation, it’s also hard to stop at 4%. In today’s global economy with investors already suspicious of U.S. economic management, an overt declaration of such a policy might trigger a wholesale run on the dollar.
More and more people are seeing the naked emperor for what he really is.
