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Monday, August 30, 2010

Gloomier than ever outlook

I now have a gloomier than ever outlook for the USA and with it, western countries. I have used this blog to vent my "anger" over the destruction of the US financial system, and the next bigger bubble crisis, the bond markets.

The only doubt is timeline. 2010? 2 years? 5 years? longer?
Unfortunately, as I stated in my series "Financial Ground Zero", each step takes us closer to the point of no return, and no one, not even Mr. Bernanke, knows when we cross that line.

Tim knight of the slope of hope summed it up EXACTLY on point, he said:

Allow me to calmly and succinctly explain myself.

National governments going ever-deeper into debt to assure their citizens that the economy is going to be fine 'n' dandy isn't a cure.

It is, instead, a confession. A confession that the economies of the world are in bad shape and that politicians require the appearance of action in order to seem involved and concerned.

Printing trillions of yen and trillions of dollars isn't the path to a healthy economy. It isn't natural. It's a fake. And fake really bothers your host.

Even as a child, I intuitively knew that the Soviet Union would eventually fail. And even as a childish adult, I intuitively know the same fate awaits Bernanke. What is needed to return to a healthy economy is ingenuity, industry, and - above else - time. Time to heal.

What's happening now is an abomination, which is why I get repulsed when people embrace it as redemption. This charade isn't going to last.

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