Hermit's Weblog
everything your mother never taught you about how the world really works.

Fri, 02 May 2008

No, the Economy is not Improving!

Just a heads up for any who read this blog - beware of taking heart from the recent spate of presumably good economic news. As you know we had a dot.com bubble, and then a housing bubble, which itself was inside a giant finance bubble. The Lords of Finance have kept the press focused on the housing bubble (always they talk about this problem as rooted in the sub-prime mortgage markets cheating), and even though many are aware of the finance bubble and the criminal activity there, the Central Banks have chosen to act in ways that totally ignore that (the rich still get richer in the finance markets and we wouldn't want to burst their happy little bubble now would we).

The result of the activity of the Central Banks is to vastly increase the size of the finance bubble (way too much liquidity in terms of loose fake debt-capital all meant to preserve the finance banks and hedge funds from their own folly). What this leads to is more or less a certainty that when the finance bubble bursts, it will collapse must faster and more out of control (as it must, which George Soros has been predicting several times now - he knows it has to burst, its just difficult to figure out exactly when).

You see the Central Banks had a choice here, which was to step into the anarchy of the high finance and derivative markets and insist on some discipline and sanity, or just leave the predators and pirates free to continue to economically plunder and rape and pillage the rest of us some more; and, of course, since they all go to the same private clubs and play on the same golf courses, Central Bankers really just work for the super-duper rich as fake debt-money (capital) caddies, so we really have no reason to expect anything else from them.

Got your year's supply of food and water in storage yet?

[11:05] | [] | # | G

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