A friend says 'why do you treat this car so badly?'
'It's the SE Model' says the first man 'SOMEBODY ELSE'S.
And thus it is with ALL but very few governments, when it's 'somebody else's/taxpayers' money THEY DON'T CARE A FIG.
All government spending just grows and grows and grows, 99% of Public Sector employees have never run businesses, never employed people in the real world (Private Sector) never hired, fired, had to make books balance, had to sweat to please banks and investors. Public Sector staffs are children with the keys to the sweet shop. And when it all goes wrong, without fail, they always say 'Lessons have been learnt'. Except they NEVER learn.
Absolutely. I've noticed that, generally, people who support big government largesse, i.e. Kamala supporters, are people who directly benefit from big government largesse. Those who oppose her are on the losing side of big government.
This column brought back to mind a thought that I had long ago: It makes sense for a government to smooth out the economy to a degree. When the economy goes into recession, the government should spend money. When it is inflationary, the government should withdraw money. That's not some revelation, that's Econ 101.
But today, the government spends more money, no matter what. There used to be little government money or economic influence inserted directly into an individual's personal life. NOW look! Regardless of the economic issue (or any other issue), Big Brother is expected to fix it, usually by printing more money.
Per the chart, there has been no other time in the past 55yrs where the unemployment has bottomed then began to go up as much as it has in the past year without leading to much faster unemployment growth and then a recession within a year. 2025 looks like it could be fun…
Let’s hope we don’t see this as it seems unlikely. But studying the post WW1 German hyperinflation is worthwhile. No - the US doesn’t have foreign reparations denominated in Gold. Yes - the USD is still largely the world’s reserve currency. But volatility is surprising and lumpy. And we live in a simmering world.
It's been a spending spree since the Democrats under Clinton had projected a balanced budget in the late 90s. Both KH and Trump have made overtures to continue spending big. When the fat lady sings nobody knows.
Man driving company car badly...
A friend says 'why do you treat this car so badly?'
'It's the SE Model' says the first man 'SOMEBODY ELSE'S.
And thus it is with ALL but very few governments, when it's 'somebody else's/taxpayers' money THEY DON'T CARE A FIG.
All government spending just grows and grows and grows, 99% of Public Sector employees have never run businesses, never employed people in the real world (Private Sector) never hired, fired, had to make books balance, had to sweat to please banks and investors. Public Sector staffs are children with the keys to the sweet shop. And when it all goes wrong, without fail, they always say 'Lessons have been learnt'. Except they NEVER learn.
Absolutely. I've noticed that, generally, people who support big government largesse, i.e. Kamala supporters, are people who directly benefit from big government largesse. Those who oppose her are on the losing side of big government.
I doubt anyone at the FED ever got a callous while working.
This column brought back to mind a thought that I had long ago: It makes sense for a government to smooth out the economy to a degree. When the economy goes into recession, the government should spend money. When it is inflationary, the government should withdraw money. That's not some revelation, that's Econ 101.
But today, the government spends more money, no matter what. There used to be little government money or economic influence inserted directly into an individual's personal life. NOW look! Regardless of the economic issue (or any other issue), Big Brother is expected to fix it, usually by printing more money.
The UK's Chancellor delivering Far Left Labour's first budget today, replaced a picture on the wall of Nigel Lawson, Margaret Thatcher's brilliant Chancellor, with a photo of the woman who started Britain's COMMUNIST PARTY. https://www.telegraph.co.uk/politics/2024/10/29/rachel-reeves-replaces-portrait-nigel-lawson-communist-uk/
Per the chart, there has been no other time in the past 55yrs where the unemployment has bottomed then began to go up as much as it has in the past year without leading to much faster unemployment growth and then a recession within a year. 2025 looks like it could be fun…
Let’s hope we don’t see this as it seems unlikely. But studying the post WW1 German hyperinflation is worthwhile. No - the US doesn’t have foreign reparations denominated in Gold. Yes - the USD is still largely the world’s reserve currency. But volatility is surprising and lumpy. And we live in a simmering world.
It's been a spending spree since the Democrats under Clinton had projected a balanced budget in the late 90s. Both KH and Trump have made overtures to continue spending big. When the fat lady sings nobody knows.
That Minsky Moment
so different and so new
unlike all the others
'till it all blew
and when it happened
it took you by surprise
I knew that you'd wanna sue
by the look in your eyes
Now it's all mine
you ain't got no legal right
everything you worked for
and I'm holding it tight
that Minsky moment
should probly be a a crime
but me I'll be playin golf
forever till the end end end of ty-y-yme
Whoa, oh, oh, whoa, oh, oh
Minsky, Minsky, Minsky
whoa oh oh whoa oh . . .