That which cannot work - and which isn't working.
The entire premise of the alleged "recovery" is that "growth" will return as a consequence of debt increases. That velocity will increase.
How are they doing?
Or, if you prefer, MZM velocity....
For how long will you believe? QE, QE2, more printing, more goading, more borrowing by the government.
For how long will you believe, as the ship fills with water, that it will not sink?
We entered the 2007 downturn because people could no longer pay their debts.
That's why it happened folks. You know, I know it, we all know it. That's not speculation, it's fact.
The entire premise of a so-called "recovery" is that we can, somehow, restart credit creation - that is, people taking more and more debt once again.
How?
All of these programs - nearly four years worth of them now - haven't done it.
The facts are what they are.
Was the stock market too pessimistic at SPX 666, were the banks really not about to fail, if we cannot actually afford to take on more debt?
No.
All those numbers and facts were not only appropriate, they were optimistic.
We should have forced all the big banks into receivership in 2007.
We still must.
Bernanke and the government have failed to restart the credit-creation cycle - there is no more absorption available in the broad economy.
We must stop this idiocy while there is still an economy and a government to save.
