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Thread: Doomsday for the Greenback

  1. #1

    Doomsday for the Greenback

    [url]http://www.globalresearch.ca/index.php?context=viewArticle&code=WHI20070411&articleId=5341[/url]

    [QUOTE]“Of all the contrivances for cheating the laboring classes of mankind, none has been more effective than that which deludes them with paper money.” Daniel Webster

    The American people are in La-la land. If they had any idea of what the Federal Reserve was up to they’d be out on the streets waving fists and pitchforks. Instead, we go our business like nothing is wrong.

    Are we really that stupid?

    What is it that people don’t understand about the trade deficit? It’s not rocket science. The Current Account Deficit is over $800 billion a year. That means that we are spending more than we are making and savaging the dollar in the process. Presently, we need more than $2 billion of foreign investment per day just to keep the wheels from coming off the cart.

    Everyone agrees that the current trade imbalances are unsustainable and will probably trigger major economic disruptions that will thrust us towards a global recession. Still, Washington and the Fed stubbornly resist any change in policy that might reduce over-consumption or reverse present trends.

    It’s madness.

    The investor class loves big deficits because they provide cheap credit for Bush’s lavish tax cuts and war. The recycling of dollars into US Treasuries and dollar-based securities is a neat way of covering government expenses and propping up the stock market with foreign cash. It’s a “win-win” situation for political elites and Wall Street. For the rest of us it’s a dead-loss.

    The trade deficit puts downward pressure on the dollar and acts as a hidden tax. In fact, that’s what it is--a tax! Every day the deficit grows, more money is stolen from the retirements and life savings of working class Americans. It’s an inflation bombshell obscured by the bland rhetoric of “free markets” and deregulation.

    Consider this: In 2002 the euro was $.87 on the dollar. Last Friday (4-6-07) it closed at $1.34-- a better than 50% gain for the euro in just 4 years. The same is true of gold. In April 2000, gold was selling for $279 per ounce. Last Friday, at the close of the market it skyrocketed to $679.50---more than double the price.

    Gold isn’t going up; it’s simply a meter on the waning value of the dollar. The reality is that the dollar is tanking big-time, and the main culprit is the widening trade deficit.

    The demolition of the dollar isn’t accidental. It’s part of a plan to shift wealth from one class to another and concentrate political power in the hands of a permanent ruling elite. There’s nothing particularly new about this and Bush and Greenspan have done nothing to conceal what they are doing. The massive expansion of the Federal government, the unfunded tax cuts, the low interest rates and the steep increases in the money supply have all been carried out in full-view of the American people. Nothing has been hidden. Neither the administration nor the Fed seem to care whether or not we know that we’re getting screwed --it’s just our tough luck. What they care about is the $3 trillion in wealth that has been transferred from wage slaves and pensioners to brandy-drooling plutocrats like Greenspan and his n’er-do-well friend, Bush.

    These policies have had a devastating effect on the dollar which has been slumping since Bush took office in 2000. Now that foreign purchases of US debt are dropping off, the greenback could plunge to even greater depths. There’s really no way of knowing how far the dollar will fall.

    That puts us at a crossroads. We are so utterly dependent on the “charity of strangers” (foreign investment) that a 9% blip in the Chinese stock market (or even a .25 basis point up-tick in the yen) sends Wall Street into a downward spiral. As the housing market continues to unwind, the stock market (which is loaded with collateralized mortgage debt) will naturally edge lower and foreign investment in US Treasuries and securities will dry up. That’ll be doomsday for the greenback as central banks across the planet will try to unload their stockpiles of dollars for gold or foreign currencies.

    That day appears to be quickly approaching as the 3 powerhouse economies are overheating and need to raise interest rates to stifle inflation. This will make their bonds and currencies all the more attractive for foreign investment; diverting much needed credit from American markets.

    Just imagine the effect on the already-hobbled housing market if interest rates were suddenly to climb higher to maintain the flow of foreign capital?

    The ECB (European Central Bank), Japan and China are all cooperating in an effort to “gradually” deflate the dollar while minimizing its effects on the world economy. In fact, China even waited until the markets had closed on Good Friday to announce another interest rate increase. Clearly, the Chinese are trying to avoid a repeat of the 400 point one-day bloodbath on Wall Street in late February ‘07.

    Japan has also tried to keep a lid on interest rates (and allowed the carry trade to persist) even though commercial property in Tokyo is “red hot” and liable to spark a ruinous cycle of speculation.

    But how long can these booming economies avoid the interest rate hikes that are needed for curbing inflation in their own countries? The problem is, of course, that by fighting inflation at home they will ignite inflation in the US. In other words, by strengthening their own currencies they weaken the dollar--it’s unavoidable.

    This is bound to hurt consumer spending in the US which will ripple through the entire global economy.

    The problems presented by the falling dollar can’t be resolved by micromanaging or jawboning. In truth, there’s no more chance of a “soft landing” for the dollar than there is for the over-bloated real estate market. Greenspan’s bubble economy is headed for disaster and there’s not much that anyone can do to lessen the damage. As housing prices fall and homeowners are no longer able to tap into their equity, consumer spending will slow, the economy will shrink and the Fed will be forced to lower interest rates.

    Unfortunately, at that point, lowering rates won’t be enough. Interest rates need at least 6 months to take hold and, by then, the steady drumbeat of foreclosures and falling real estate prices will have soured the public on an entire “asset class” for years to come. Many will see their life savings dribble away month by month as prices continue to nose-dive and equity vanishes into the ether. These are the real victims of Greenspan’s low interest rate swindle.

    The Federal Reserve is fully aware of the harm they have inflicted with their low interest rate boondoggle. In a 2006 statement the Fed even acknowledged that they knew that trillions of dollars in speculation was being funneled into the real estate market:

    "Like other asset prices, house prices are influenced by interest rates, and in some countries, the housing market is a key channel of monetary policy transmission."

    “Monetary transmission” indeed?!? Trillions of dollars in mortgages were issued to people who have no chance of paying them back. It was a shameless scam. Still, the policy persisted in a desperate attempt to keep the US economy from collapsing into recession. The upshot of this misguided policy was “the largest equity bubble in history” which now threatens America’s economic solvency.

    Author Benjamin Wallace commented on the Fed’s activities in an article in the Atlantic Monthly, “There Goes the Neighborhood: Why home prices are about to plummet—and take the recovery with them”:

    "Let's assume for a moment that enough people get fooled, and the refinancing boom gets extended for another year. Then what? The real problem hits. Because if you think Greenspan's being cagey on refinancing, the truth he's really avoiding talking about is that we're in the midst of a huge housing bubble, on a scale only seen once before since the Depression. Worse, the inflated housing market is now in an historically unique position, as the motor of the rest of the economy. Within the next year or two, that bubble is likely to burst, and when it does, it very well may take the American economy down with it."

    Or this from Robert Shiller in his “Irrational Exuberance”:

    "People in much of the world are still overconfident that the stock market, and in many places the housing market, will do extremely well, and this overconfidence can lead to instability. Significant further rises in these markets could lead, eventually, to even more significant declines. The bad outcome could be that eventual declines would result in a substantial increase in the rate of personal bankruptcies, which could lead to a secondary string of bankruptcies of financial institutions as well. Another long-run consequence could be a decline in consumer and business confidence, and another, possibly worldwide, recession”.

    If it is not handled properly, the housing collapse could result in another Great Depression. America no longer has the (manufacturing) capacity to work its way out of a deep recession. While the Fed was sluicing $11 trillion into the real estate market via low interest loans; America’s manufacturing sector was being carted off to China and India in the name of globalization. Without capital investment and increased factory production, economic recovery will be difficult if not impossible. The so-called “rebound” from the 2001 recession was due to artificially low interest rates and easy credit which inflated the housing market. It had nothing to do with increases in productivity, exports, or paying off old debts. In other words, the “recovery” was not real wealth creation but simply credit expansion. There’s a vast chasm between “productivity” and “consumption” although Greenspan never seemed to grasp the difference.


    A penny borrowed is not the same as a penny earned—although both may cause a slight bump in GDP. Greenspan’s attitude was aptly summarized by The Daily Reckoning’s Addison Wiggin who said, “GDP measures debt-fueled consumption--it really only measures the rate at which America is going broke”.

    Bingo.

    America’s biggest export is its fiat-currency which foreigners are increasingly hesitant to accept.

    Can you blame them?

    They have begun to figure out that we have no way of repaying them and that the “full faith and credit” of the United States is about as reliable as a Ken Lay-managed 401-K retirement plan.

    The fragility of the US economy will become more apparent as Greenspan’s housing bubble continues to lose air and consumer spending remains flat. As we noted earlier, home equity withdrawals are drying up which will slow growth and discourage foreign investment. The meltdown in subprime loans has drawn more attention to the maneuverings of the banks and mortgage lenders and many people are getting a clearer understanding of the Federal Reserve’s role in creating this economy-busting monster-bubble.

    The 10% to 20% yearly increases in property values are unprecedented. They are “pure bubble” and have nothing to do with increases in wages, demand, productivity, capital investment or GDP. It was all “froth” generated by the world’s greatest Frothmeister, Alan Greenspan.

    As Addison Wiggin notes, “There is only one real source of wealth: a healthy and competitive environment involving the exchange of goods coupled with control over deficit spending.”

    Elites at the Federal Reserve and in the Bush administration have steered us away from this “tried and true” course and put us on the path to debt and catastrophe. It won’t be easy to restore our manufacturing base and compete again in the open market, but it must be done. Strong economies require that their people produce things that other people want. This is a fundamental truism that has been lost in the smoke and mirrors of Greenspan’s shenanigans at the Fed.

    Regrettably, we are probably facing a decades-long economic downturn in which the dollar will weaken, stocks will fall, GDP will shrivel, and traditional standards of living will decline.

    The trend-lines in the real estate market will most likely be the inverse of what they have been for the last 10 years. This will dramatically affect consumer spending (70% of GDP) and put additional pressure on the dollar.

    The dollar is already in big trouble--the only thing keeping it afloat is foreign purchases of US debt by creditors who don’t want to be left holding trillions in worthless paper.(US debt is Japan’s single greatest asset!) These “net inflows” have created a false demand for the dollar which will inevitably dissipate as central banks continue to diversify.

    Last week the IMF issued a warning that there would have to be a “substantial” decline in the dollar to bring the trade deficit to sustainable levels. That, of course, is the intention of the Fed and Team Bush—to reduce the debt-load by deflating the currency. It’s a crazy idea. No one destroys the buying power of their currency to pay off their debts. It just illustrates the recklessness of the people in charge.

    Also, on March 20, 2007 the Governor of China’s Central Bank Zhou Xiaochuan announced “that China will not accumulate more foreign reserves and will cut a small amount of current reserves for the formulation of a new currency agency”. Zhou’s statement is a hammer-blow to the dollar. The US needs roughly $70 billion in foreign investment per month to cover its current trade deficit. China is one of the largest purchasers of US debt. If China diversifies, then the dollar will fall and the aftershocks will ripple through markets across the world.

    The Chinese are very careful about how they word their economic statements. That’s why we should take Zhou’s comments seriously. Three weeks ago he issued an equally ominous statement saying, “China will diversify its $1 trillion foreign exchange reserves, the largest in the world, across different currencies and investment instruments, including in emerging markets.” (Reuters)

    This should have been a red flag for currency traders, but the media buried the story and the markets dutifully shrugged it off. The truth is that our relationship with the Chinese is changing very quickly and the days of cheap credit and a “high-flying” dollar are coming to an end.

    70% of China’s currency reserves are in US dollars. The effect of “diversification” will be devastating for the US economy. It increases the likelihood of hyperinflation at the same time the housing market is in its steepest decline in 80 years. When currency crises arise at the same time as economic crises; the problems are much more difficult to resolve.

    Doomsday for the Greenback

    It is impossible to fully anticipate the effects of the falling dollar. The dollar is a currency unlike any other and it is the cornerstone of American power—political, economic and military. As the internationally-accepted reserve currency, it allows the Federal Reserve to control the global economic system by creating credit out of “thin air” and using fiat-scrip in the purchase of valuable manufactured goods and resources. This puts an unelected body of private bankers in charge of setting interest rates which directly affect the entire world.

    Iraq has proven that the US military can no longer enforce dollar-hegemony through force of arms. New alliances are forming that are reshaping the geopolitical landscape and signal the emergence of a multi-polar world. The decline of the superpower-model can be directly attributed to the denominating of vital resources and commodities in foreign currencies. America is simply losing its grip on the sources of energy upon which all industrial economies depend. Iraq is the tipping point for America’s global dominance.

    When foreign central banks abandon the greenback the present system will unwind and the “unitary” model of world order will abruptly end.

    This may be a painful experience for Americans who will undoubtedly see a sharp fall in current living standards. But it also presents an opportunity to disband the Federal Reserve and restore control of the nation’s currency to the people’s legitimate representatives in the US Congress.

    This is the first step towards removing the cabal of powerbrokers in both political parties who solely represent the narrow ambitions of private interests.

    The War on Terror is a public relations ploy that is intended to disguise the use of military and covert operations to secure dwindling resources to maintain dollar supremacy. It is a futile attempt to control the rise of China, India, Russia and the developing world while preserving the authority of western white elites.

    The strength of the euro portends increasing competition for the dollar and a steady decline in America’s influence around the world. This should be seen as a positive development. Greater parity between the currencies suggests greater balance between the states--hence, more democracy. Again, the superpower model has only increased terrorism, militarism, human rights violations and war. By any objective standard, Washington has been a poor steward of global security.

    The falling dollar also suggests growing political upheaval at home brought on by economic distress. We should welcome this. America needs to remake itself—to recommit to its original principles of personal freedom, civil liberties and social justice--to reject the demagoguery and warmongering of the Bush regime—to reestablish our belief in habeas corpus, the presumption of innocence and the rule of law. Most important, we need to reclaim our honor.

    Big changes are coming for the dollar; it’s just a matter of whether we allow those changes to bog us down in recriminations and pessimism or use them to create a new vision of America and restore the principles of republican government. It’s up to us.
    [/QUOTE]

    Global Research Articles by Mike Whitney

  2. #2
    It is pretty hard not to have a trade deficit when everything we buy is made somewhere else.

  3. #3
    [QUOTE=MnJetFan]It is pretty hard not to have a trade deficit when everything we buy is made somewhere else.[/QUOTE]

    How about this idea?

    [QUOTE]This may be a painful experience for Americans who will undoubtedly see a sharp fall in current living standards. But it also presents an opportunity to disband the Federal Reserve and restore control of the nation’s currency to the people’s legitimate representatives in the US Congress.[/QUOTE]

  4. #4
    Bewildered Beast
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    [QUOTE=Jetdawgg][url]http://www.globalresearch.ca/index.php?context=viewArticle&code=WHI20070411&articleId=5341[/url]



    Global Research Articles by Mike Whitney[/QUOTE]
    So much crap...where to begin?
    [QUOTE]The problems presented by the falling dollar can’t be resolved by micromanaging or jawboning. In truth, there’s no more chance of a “soft landing” for the dollar than there is for the over-bloated real estate market. Greenspan’s bubble economy is headed for disaster and there’s not much that anyone can do to lessen the damage. As housing prices fall and homeowners are no longer able to tap into their equity, consumer spending will slow, the economy will shrink and the Fed will be forced to lower interest rates.[/QUOTE] Look, Reagan "busted" the Unions for one reason only: inflation; Wage Inflation.

    The new culprit will be commodity inflation, as oil is getting scarce, and demand from new markets grows.

    [QUOTE]What is it that people don’t understand about the trade deficit? It’s not rocket science. The Current Account Deficit is over $800 billion a year. That means that we are spending more than we are making and savaging the dollar in the process. Presently, we need more than $2 billion of foreign investment per day just to keep the wheels from coming off the cart.[/QUOTE] Bernake has to do something; yet conversely, without China's investment in the Treasuries, we wouldn't BUY THEIR CRAP AT WAL-MART.

    [QUOTE]Unfortunately, at that point, lowering rates won’t be enough. Interest rates need at least 6 months to take hold and, by then, the steady drumbeat of foreclosures and falling real estate prices will have soured the public on an entire “asset class” for years to come. Many will see their life savings dribble away month by month as prices continue to nose-dive and equity vanishes into the ether. These are the real victims of Greenspan’s low interest rate swindle.[/quote]
    This will never happen. The impoverished and marginilized areas will get worse, but they don't mention that there is a mortgage on nearly every home in the US. Will they all get foreclosed on? Hardly. It will get tougher to maintain a standard of living, to be sure, but this statement above is alarmist and makes me think less of the author.

    [QUOTE]The Federal Reserve is fully aware of the harm [ARE YOU ****ING KIDDING ME????]they have inflicted with their low interest rate boondoggle. In a 2006 statement the Fed even acknowledged that they knew that trillions of dollars in speculation was being funneled into the real estate market:

    "Like other asset prices, house prices are influenced by interest rates, and in some countries, the housing market is a key channel of monetary policy transmission."

    “Monetary transmission” indeed?!? Trillions of dollars in mortgages were issued to people who have no chance of paying them back. It was a shameless scam. Still, the policy persisted in a desperate attempt to keep the US economy from collapsing into recession.[B] The upshot of this misguided policy was “the largest equity bubble in history” which now threatens America’s economic solvency[/B]. [/QUOTE] That bubble is nothing compared to the millions of US homes owned by people that AREN'T speculators. They are not making more real estate; no chance in hell this doomsday scenario comes close to happening. People want to live in America for many reasons; they want to live and love in NY, LA, SF, CHI...they won't stop coming, folks. The demand for houses will not ebb until working at Starbucks is our only career option. This article is disgusting in it's oversimplification.

    [QUOTE]Author Benjamin Wallace commented on the Fed’s activities in an article in the Atlantic Monthly, “There Goes the Neighborhood: Why home prices are about to plummet—and take the recovery with them”:

    "Let's assume for a moment that enough people get fooled, and the refinancing boom gets extended for another year. Then what? The real problem hits. Because if you think Greenspan's being cagey on refinancing, the truth he's really avoiding talking about is that we're in the midst of a huge housing bubble, on a scale only seen once before since the Depression. Worse, the inflated housing market is now in an historically unique position, as the motor of the rest of the economy. Within the next year or two, that bubble is likely to burst, and when it does, it very well may take the American economy down with it." [/QUOTE] The jobs will have to dry up before people stop buying homes. It is a tax haven and long term investment allowing normal people a hadge agaisnt inflation. This BS will never happen.

    Jetdawgg, you are making the Marines look foolish.

    [B]Or this from Robert Shiller in his “Irrational Exuberance”:

    "People in much of the world are still overconfident that the stock market, and in many places the housing market, will do extremely well, and this overconfidence can lead to instability. Significant further rises in these markets could lead, eventually, to even more significant declines. The bad outcome could be that eventual declines would result in a substantial increase in the rate of personal bankruptcies, which could lead to a secondary string of bankruptcies of financial institutions as well. Another long-run consequence could be a decline in consumer and business confidence, and another, possibly worldwide, recession”.[/B]This will happen like monkeys flying out of my butt.

    [quote]If it is not handled properly, the housing collapse could result in another Great Depression. America no longer has the (manufacturing) capacity to work its way out of a deep recession. While the Fed was sluicing $11 trillion into the real estate market via low interest loans; America’s manufacturing sector was being carted off to China and India in the name of globalization. Without capital investment and increased factory production, economic recovery will be difficult if not impossible. The so-called “rebound” from the 2001 recession was due to artificially low interest rates and easy credit which inflated the housing market. It had nothing to do with increases in productivity, exports, or paying off old debts. [B]In other words, the “recovery” was not real wealth creation but simply credit expansion. There’s a vast chasm between “productivity” and “consumption” although Greenspan never seemed to grasp the difference[/B].[/QUOTE]This is so bad, I would laugh if I could. Some shill is going to second-guess Greenspan?

    QUESTION: Why buy a house?

    ONE ANSWER: Increase my long-term wealth.

    If this isn't "wealth-creation", then wtf is this guy saying?

    An extremely lame article, based on half-truths.

  5. #5
    You are entitled to your thoughts.

    You make it seem as though the dollar (US) is not in trouble. It has been a free fall for sometime now.

    As far as 'making the Marines look silly' I was the one who posted about the economy being in recession the day before the stock market fell.

    I posted last week about Million dollar homes in NJ being foreclosed. No creedence to that either. Where do you think that these displaced people go to? You look silly my man.

    You appear to keep a dollar figure or statistic on this and not a human face. Unreal and pretty republican of you.

    Greenspan may be called 'bubblespan' as another poster put it recently.

  6. #6
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    [QUOTE=Jetdawgg]You are entitled to your thoughts.

    You make it seem as though the dollar (US) is not in trouble. It has been a free fall for sometime now.

    As far as 'making the Marines look silly' I was the one who posted about the economy being in recession the day before the stock market fell.

    I posted last week about Million dollar homes in NJ being foreclosed. No creedence to that either. Where do you think that these displaced people go to? You look silly my man.

    You appear to keep a dollar figure or statistic on this and not a human face. Unreal and pretty republican of you.

    Greenspan may be called 'bubblespan' as another poster put it recently.[/QUOTE]
    My dog knows the dollar is in trouble. But where is your rebuttal to my assertions? That's what I care about. You have the tememrity to put this up; yet it's full of misconceptions designed for max impact to the readership.

    Please link me to the thread with the Million Dollar foreclosures.

  7. #7
    I take this article as another in a series showing that the current fiscal mismangement is coming to an end very soon.

    Who are going to buy those houses when everyone will be flipping burgers or making sandwhches? I see soomeone posted the link about th $1MM forclosed house in NJ. don't think that it is the only one or the last one.

    You need to get out of LaLa Land like the article says and take a real survey of the situation. The middle class is being squeezed again. Huge deficts, weak dollar, poor quality health care if any, pensions being dropped by corporations and high gas prices.

    Minerals and precious metals are scaling again. Keep ignoring what is going on....

  8. #8
    Bewildered Beast
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    [QUOTE=Jetdawgg]I take this article as another in a series showing that the current fiscal mismangement is coming to an end very soon.[/quote]
    So...What Would Jetdawg Do?

    [QUOTE]Who are going to buy those houses when everyone will be flipping burgers or making sandwhches? I see soomeone posted the link about th $1MM forclosed house in NJ. don't think that it is the only one or the last one.[/QUOTE]Your prognosis for the middle class is burger-flipping? Explain this.

    What do [I]you[/I] do for a living?

    [QUOTE]You need to get out of LaLa Land like the article says and take a real survey of the situation.[/quote]??????

    You still haven't responded to any assertions I put forth. Nothing from Jetdawgg but apocalyptic visions of the future, and snide remarks.

    I don't live in LaLa land. Challenge my points or stfu, understand? Chump.


    [QUOTE] [B]The middle class is being squeezed again.[/B] Huge deficts, weak dollar, poor quality health care if any, pensions being dropped by corporations and high gas prices.Minerals and precious metals are scaling again. Keep ignoring what is going on....[/QUOTE]So, what is new? This is a capitalistic society. You'd better understand capital; and how much you need; learn to budget, forecast, ALL OF that personal responsibility stuff because you are a sucker if you think anyone will do that for you. You had better live close to work; you had better take a job you like; you had better realize that service to your community needs to be a part of your "leisure", stop propping up your life materially by purchasing things you cannot afford....how about tossing health insurance (except for MAJOR medical coverage) and then developing a relationship with a local doc that can help you stay healthy and disease-free?

    People can do things to help themselves.

    But some people won't. [B]Ignorance is a bigger problem[/B] than millions of homeowners getting a windfall that could be used to set up legacy's for their families. Equity bubble, my ass. Real estate owners have been HANDED capital. What they do with it has significant meaning for their lives.

  9. #9
    [COLOR=Red][B]I have some 'chump' for you b1tch[/B][/COLOR]


    [QUOTE=WestCoastOffensive]So...What Would Jetdawg Do?

    [COLOR=Blue]Like it or not, a tax 'change' or increase is coming from somewhere (state/fed)
    The deficit is too high, gov't is too big (and a another layer War Czar is being added)

    I would end the war. Get US citizens back to work in technology by fortifying the seaports/airports etc. Get us independent from fossil fuels. That means innovation and high paying technology jobs.

    Stop relying on the 'marketplace' to fix everything. It does not work in the real world. Germany is doing well with their ecomnomy and in 2 years the German gov't will invest in education to ensure that they remain the world's largest importer.

    Gov't investment is essential to any nation improving its position in the world.[/COLOR]


    Your prognosis for the middle class is burger-flipping? Explain this.

    What do [I]you[/I] do for a living?


    ??????

    [COLOR=Blue]This is what the middle class is doing now. We are a nation of 'service' jobs vice innovation (engineering). That is not my prognosis. That is the reality.

    I am a capitalist. I run my own business as a gov't contractor. I have a Technology and Engineering firm as I myself am an Engineer.[/COLOR]


    You still haven't responded to any assertions I put forth. Nothing from Jetdawgg but apocalyptic visions of the future, and snide remarks.

    I don't live in LaLa land. Challenge my points or stfu, understand? [B]Chump.[/B]

    [COLOR=Red][B]See the first line of text[/B][/COLOR]

    [COLOR=Blue]I have put enough content on the site where I don't have to reiterate it all. It is there to see if you look. I do not have to do redundant duties because you are lazy to look for it.

    Again please review the link with the foreclosed NJ MM home.[/COLOR]


    So, what is new? This is a capitalistic society. You'd better understand capital; and how much you need; learn to budget, forecast, ALL OF that personal responsibility stuff because you are a sucker if you think anyone will do that for you. You had better live close to work; you had better take a job you like; you had better realize that service to your community needs to be a part of your "leisure", stop propping up your life materially by purchasing things you cannot afford....how about tossing health insurance (except for MAJOR medical coverage) and then developing a relationship with a local doc that can help you stay healthy and disease-free?

    People can do things to help themselves.

    But some people won't. [B]Ignorance is a bigger problem[/B] than millions of homeowners getting a windfall that could be used to set up legacy's for their families. Equity bubble, my ass. Real estate owners have been HANDED capital. What they do with it has significant meaning for their lives.[/QUOTE]

    [COLOR=Blue]Again, I feel as though I am improving my personal situation. I just won another contract on Thursday. In the macro view, I don't things are going well. Living here in the southeast, people are very poor.

    Milk at $4.00 a gallon is tremendous. It is very easy to say they need to take personal responsiblity. And I think that is true and I also think that for the most part those individuals do want to.

    Without a major investment in education by the gov't (not some sham like "No child left behind") we are headed for a difficult time in the very near future. If that does occur our major export will be the 'war machine' as our intellect/innovation will be a thing of the past.

    Again, I posted a link a few weeks ago regarding how the US, under Bush, is now number 7 in the world in technology. We were number 1 when he took the reigns.

    See this link from Lee Iacocca: [url]http://depression2.tv/d2/node/261[/url]

    It should be pretty clear that when folks like Trump, Iacocca, Gates, etc. are saying things like this and others like Bloomberg (R/NYC) are quiet about things, standby. The big money always knows first and they are screaming loudly. I am just glad that I heard them and I hope others on this board start hearing them.[/COLOR]

  10. #10
    Bewildered Beast
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    [QUOTE=Jetdawgg][COLOR=Red][B]I have some 'chump' for you b1tch[/B][/COLOR][/quote]
    Fair enough. Let's see...



    [QUOTE]Again, I feel as though I am improving my personal situation. I just won another contract on Thursday. In the macro view, I don't things are going well. Living here in the southeast, people are very poor.[/QUOTE]Yes they are. I took a trip across the West in November. Many smal towns have lots of people on welfare, according to the informal poll I took among the many Mini-Mart workers across Colorado, Kansas, Utah, Nevada and in LaLa Land.

    [QUOTE]Milk at $4.00 a gallon is tremendous. It is very easy to say they need to take personal responsiblity. And I think that is true and I also think that for the most part those individuals do want to.[/QUOTE] I think you are right. Most do, but what happens to good intentions? (asking rhetorically) Apparently, you are taking responsibility.

    [QUOTE]Without a major investment in education by the gov't (not some sham like "No child left behind") we are headed for a difficult time in the very near future. If that does occur our major export will be the 'war machine' as our intellect/innovation will be a thing of the past.[/QUOTE]That would be a terrible chapter in our history.

    [QUOTE]Again, I posted a link a few weeks ago regarding how the US, under Bush, is now number 7 in the world in technology. We were number 1 when he took the reigns.[/QUOTE]Is that in "Tech Spending"? or number of scientists and patents?

    [quote]See this link from Lee Iacocca: [url]http://depression2.tv/d2/node/261[/url]

    It should be pretty clear that when folks like Trump, Iacocca, Gates, etc. are saying things like this and others like Bloomberg (R/NYC) are quiet about things, standby. The big money always knows first and they are screaming loudly.[/QUOTE] I'll check it and comment later.

    [QUOTE]Like it or not, a tax 'change' or increase is coming from somewhere (state/fed)
    The deficit is too high, gov't is too big (and a another layer War Czar is being added) [/quote]I THINK YOU ARE PROBABLY RIGHT

    [QUOTE]I would end the war. Get US citizens back to work in technology by fortifying the seaports/airports etc. Get us independent from fossil fuels. That means innovation and high paying technology jobs.[/QUOTE] I AGREE.

    [QUOTE]Stop relying on the 'marketplace' to fix everything. It does not work in the real world. Germany is doing well with their ecomnomy and in 2 years the German gov't will invest in education to ensure that they remain the world's largest importer. [/QUOTE] I need more information here. Are you referring to Greenspan? You know the Equity Bubble has it's origins (in part) in the changes to the way Capital Gains affect the sale of homes, and once that equity became more "liquid", the "market" of people interested in houses as a financial instrument expanded rapidly.

    How about a link to the German Economic story?

    BTW, you meant Germany will become the largest "Exporter", not importer, right?

  11. #11
    [QUOTE=WestCoastOffensive]Fair enough. Let's see...



    Yes they are. I took a trip across the West in November. Many smal towns have lots of people on welfare, according to the informal poll I took among the many Mini-Mart workers across Colorado, Kansas, Utah, Nevada and in LaLa Land.

    I think you are right. Most do, but what happens to good intentions? (asking rhetorically) Apparently, you are taking responsibility.

    That would be a terrible chapter in our history.

    Is that in "Tech Spending"? or number of scientists and patents?


    [COLOR=Blue]The latter. We are not producing scientist and engineers. We are importing them with H1-B visas. some of those workers now don't even want to come here as they can make just as much somehwere else.

    We need to educate folks from rural and poorer communities. We can pay them the equivilant monies. They will have a better stake in the USA than a H1-B visa person who is sending the money away anyway in some cases.[/COLOR]

    I'll check it and comment later.

    I THINK YOU ARE PROBABLY RIGHT

    I AGREE.

    I need more information here. Are you referring to Greenspan? You know the Equity Bubble has it's origins (in part) in the changes to the way Capital Gains affect the sale of homes, and once that equity became more "liquid", the "market" of people interested in houses as a financial instrument expanded rapidly.

    [COLOR=Blue]I was taking more about the tech bubble of 2000-2001. I'll do more diligence on the equity bubble. I do think that it is upon us though. Bernanke has his hands full and part of his problem is that folks don't trust him yet. His experience is questionable[/COLOR]

    How about a link to the German Economic story?

    [COLOR=Blue]By 2010, we aim to increase spending on R&D to 3% of gross domestic product. Science and research will be one of the priorities of Germany's European Union (EU) presidency.[/COLOR]

    [COLOR=Blue]http://www.sciencemag.org/cgi/content/summary/313/5784/147[/COLOR]

    BTW, you meant Germany will become the largest "Exporter", not importer, right?[/QUOTE]

    True. My bad.

  12. #12
    Let me get this straight, we have the lowest unemployment rate in decades virtually zero inflation outside of food and energy and we should be freaked out that the dollar is going down? Guess what as the dollar falls and wages and costs go up in places like China, our balance of trade deficit will begin to drop it already is. The US, unlike Europe is doing a great job of maintaining and growing employment while moving displaced workers into new jobs. As real wages continue to grow in Asia and the US currency becomes more competitive the US will be able to feed product to these fast growing countries. The lower dollar will make us more competitive. The fact that we have lowered the dollar without setting off real inflation is a good thing.

  13. #13
    Bewildered Beast
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    [QUOTE=Winstonbiggs]Let me get this straight, we have the lowest unemployment rate in decades virtually zero inflation outside of food and energy and we should be freaked out that the dollar is going down? Guess what as the dollar falls and wages and costs go up in places like China, our balance of trade deficit will begin to drop it already is. The US, unlike Europe is doing a great job of maintaining and growing employment while moving displaced workers into new jobs. As real wages continue to grow in Asia and the US currency becomes more competitive the US will be able to feed product to these fast growing countries. The lower dollar will make us more competitive. The fact that we have lowered the dollar without setting off real inflation is a good thing.[/QUOTE]
    This thread needed this post.

  14. #14
    Bewildered Beast
    Join Date
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    [QUOTE=Jetdawgg]True. My bad.[/QUOTE]

    Well...if good corporations think developing their people is a fundamentally important, then I agree. The US had better get started.

    [URL=http://www.sciencemag.org/cgi/content/summary/313/5784/147]German Economic link[/URL]

  15. #15
    Reading Jetdawgg talk about the economy is pretty funny.

  16. #16
    Ron Paul is the only Presidential candidate who is willing to tackle this issue of the Cinderella US economy falling apart. Watch him make everyone else look silly on the May 3rd debate.

  17. #17
    Jets Insider VIP
    Join Date
    Feb 2006
    Location
    Van down by the river
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    23,083
    [QUOTE=JetsCrazey]Ron Paul is the only Presidential candidate who is willing to tackle this issue of the Cinderella US economy falling apart. Watch him make everyone else look silly on the May 3rd debate.[/QUOTE]


    Dream on, Crazey. The US population isn't going to vote for an ACTUAL conservative. They just want a conservative by name who hates fags and flame engulfed flags.

  18. #18
    [QUOTE=BrooklynBound]Reading Jetdawgg talk about the economy is pretty funny.[/QUOTE]

    A lot of people are not laughing

  19. #19
    [QUOTE=Winstonbiggs]Let me get this straight, we have the lowest unemployment rate in decades virtually zero inflation [B]outside of food and energy [/B] and we should be freaked out that the dollar is going down? Guess what as the dollar falls and wages and costs go up in places like China, our balance of trade deficit will begin to drop it already is. The US, unlike Europe is doing a great job of maintaining and growing employment while moving displaced workers into new jobs. As real wages continue to grow in Asia and the US currency becomes more competitive the US will be able to feed product to these fast growing countries. The lower dollar will make us more competitive. The fact that we have lowered the dollar without setting off real inflation is a good thing.[/QUOTE]


    Why remove those factors when they are the largest contributors? People at the grocery store and gas station can't. I always get a kick out that type of procedure.

    Sleight of hand economics.
    Last edited by Jetdawgg; 04-15-2007 at 03:30 PM.

  20. #20
    [QUOTE=Jetdawgg]A lot of people are not laughing[/QUOTE]
    Yeah, everyone else is crying

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