Generational Dynamics Forum - New Site

How can you tell one from another regime bubble anymore Vin.

vincecate wrote:

Higgenbotham wrote: 1. On the stock market inflation doesn't equate to profits. When you inflate and give all the extra money to bankrupt corporations, they can have phantom profits for awhile. But real profits are needed for the stock to be worth anything long term.

It sort of has increased earnings per share because the companies have borrowed at very low interest rates and bought back a bunch of their shares. So even if earnings did not go up, earnings per share has.

Yes, I don't disagree with that because the source of the fake earnings (to buy the shares) is the printed bailout money and the supply chains are still moving so the rest of the fake money mostly ends up in the tills at Wal-Mart or Apple or whatever big corporation (not in the savings account or mattress of the man on the street - he is broke until payday, if he has one). If the corporations really can't operate at a profit on a standalone basis without goverment support (as I have been saying), that policy will impoverish the larger population and bankrupt the system to the point that the printed notes (those that end up as wages) don't buy goods in enough quantity to grow out of the debt, and eventually nothing will move at all.

What they're doing isn't inflation as much as it is transfers of huge blocks of money for the benefit of corporations and for the detriment of anything or anybody that is not politically connected to bailout money. That's I think why we don't really have the huge hyperinflation. There's not a lot of extra money in the hands of the public to hoard anything - they live check to check and their refrigerators are mostly empty. At the extreme end of the poverty scale their water is now shut off by the tens of thousands.

http://www.ncbi.nlm.nih.gov/pmc/articles/PMC1128471/
https://www.youtube.com/watch?v=ZZyGDiUnta4

We have been silent witnesses of evil deeds; we have been drenched by many storms; we have learnt the arts of equivocation and pretence; experience has made us suspicious of others and kept us from being truthful and open; intolerable conflicts have worn us down and even made us cynical. Are we still of any use? What we shall need is not geniuses, or cynics, or misanthropes, or clever tacticians, but plain, honest, and straightforward men. Will our inward power of resistance be strong enough, and our honesty with ourselves remorseless enough, for us to find our way back to simplicity and straightforwardness?”
Dietrich Bonhoeffer, Letters and Papers from Prison

Social utility theory: An approach to curricular development designed to make almost all studies provide students with knowledge and skills that will help them function successfully in society. The theory resulted from a series of four reports beginning in 1911 in their view alone.

http://www.johntaylorgatto.com/

http://ocw.mit.edu/courses/index.htm

I will be in metd. general@detroitwaterbrigade.org
https://www.youtube.com/watch?v=tVthYkGYD58

So leaders believe in fairy tales -- so much for reality -- until reality kicks in the door .

"I trust that many of you are familiar with the story of Peter Pan, in which it says, "the moment you doubt whether you can fly, you cease forever to be able to do it." Yes, what we need is a positive attitude and conviction."

--- BoJ Governor Haruhiko Kuroda


BOJ's Kuroda "Believes He Should Fly", Says Central Bankers Should Think Happy Thoughts http://www.zerohedge.com/news/2015-06-0 ... y-thoughts
------------------------------
Like, Yes I can stand here with positive attitude and conviction and stop this coming avalanche.

gerald wrote: > So leaders believe in fairy tales -- so much for reality -- until
> reality kicks in the door .

> "I trust that many of you are familiar with the story of Peter
> Pan, in which it says, "the moment you doubt whether you can fly,
> you cease forever to be able to do it." Yes, what we need is a
> positive attitude and conviction."

> --- BoJ Governor Haruhiko Kuroda

> BOJ's Kuroda "Believes He Should Fly", Says Central Bankers Should
> Think Happy Thoughts
> http://www.zerohedge.com/news/2015-06-0 ... y-thoughts

> ------------------------------

> Like, Yes I can stand here with positive attitude and conviction
> and stop this coming avalanche.

Don't forget the fairy dust, which is a crucial ingredient in
believing you can fly.

John wrote:

gerald wrote: > So leaders believe in fairy tales -- so much for reality -- until
> reality kicks in the door .

> "I trust that many of you are familiar with the story of Peter
> Pan, in which it says, "the moment you doubt whether you can fly,
> you cease forever to be able to do it." Yes, what we need is a
> positive attitude and conviction."

> --- BoJ Governor Haruhiko Kuroda

> BOJ's Kuroda "Believes He Should Fly", Says Central Bankers Should
> Think Happy Thoughts
> http://www.zerohedge.com/news/2015-06-0 ... y-thoughts

> ------------------------------

> Like, Yes I can stand here with positive attitude and conviction
> and stop this coming avalanche.

Don't forget the fairy dust, which is a crucial ingredient in
believing you can fly.

cheers --- it looks like it might get interesting -- but we have been saying that for years. -- hmmm

gerald wrote: cheers --- it looks like it might get interesting -- but we have been saying that for years. -- hmmm

Ya. Years. But we are going to be right at some point. There will be a stock market crash.

My theory of hyperinflation has it usually starting off with people getting out of bonds. Lots of people getting out of bonds.

http://howfiatdies.blogspot.com/2014/08 ... ry-of.html

Higgenbotham wrote: Yes, I don't disagree with that because the source of the fake earnings (to buy the shares) is the printed bailout money and the supply chains are still moving so the rest of the fake money mostly ends up in the tills at Wal-Mart or Apple or whatever big corporation (not in the savings account or mattress of the man on the street - he is broke until payday, if he has one). If the corporations really can't operate at a profit on a standalone basis without goverment support (as I have been saying), that policy will impoverish the larger population and bankrupt the system to the point that the printed notes (those that end up as wages) don't buy goods in enough quantity to grow out of the debt, and eventually nothing will move at all.

What they're doing isn't inflation as much as it is transfers of huge blocks of money for the benefit of corporations and for the detriment of anything or anybody that is not politically connected to bailout money.

Archdruid wrote:Stories in the media, some recent, some recently reprinted, happen to have brought up a couple of first-rate examples of the way that resources get locked up in unproductive activities during the twilight years of a failing society. A California newspaper, for example, recently mentioned that Elon Musk’s large and much-ballyhooed fortune is almost entirely a product of government subsidies. Musk is a smart guy; he obviously realized a good long time ago that federal and state subsidies for technology was where the money was at, and he’s constructed an industrial empire funded by US taxpayers to the tune of many billions of dollars. None of his publicly traded firms has ever made a profit, and as long as the subsidies keep flowing, none of them ever has to; between an overflowing feed trough of government largesse and the longstanding eagerness of fools to be parted from their money by way of the stock market, he’s pretty much set for life.

This is business as usual in today’s America.

Archdruid wrote:An article from 2013 pointed out, along the same lines, that the profits made by the five largest US banks were almost exactly equal to the amount of taxpayer money those same five banks got from the government. Like Elon Musk, the banks in question have figured out where the money is, and have gone after it with their usual verve; the revolving door that allows men in suits to shuttle back and forth between those same banks and the financial end of the US government doesn’t exactly hinder that process. It’s lucrative, it’s legal, and the mere fact that it’s bankrupting the real economy of goods and services in order to further enrich an already glutted minority of kleptocrats is nothing anyone in the citadels of power worries about.

http://thearchdruidreport.blogspot.com/ ... kdown.html

Along the same lines:

We have, to quote John Ralston Saul, “undergone a corporate coup d’état in slow motion” and it’s over. The normal mechanisms by which we carry out incremental and piecemeal reform through liberal institutions no longer function. They have been seized by corporate power — including the press. That sets the stage for inevitable blowback, because these corporations have no internal constraints, and now they have no external constraints. So they will exploit, because, as Marx understood, that’s their nature, until exhaustion or collapse.

http://www.salon.com/2015/06/04/we_are_ ... _and_soon/