by Chris Black
The rate increases so far have done tons of structural damage.
The cheap, abundant, everything assembly line has been disrupted and is making a mess all over the plant.
The simple reduction of rates and some form of QE is NOT going to fix this or turn it around on a dime.
If anything, some form of QE would make things way worse. Sure stonks might go up, but prices on useful, necessary things would go through the roof, dollar would weaken, gold would skyrocket……maybe……energy would surge higher, food would be outrageous, rents would keep going up and there would be no business expansion because doubt and uncertainty would reign.
This is the real deal.
They are burning his bitch down in a controlled manner; not saying there won’t be any pain, but I am saying they are accomplishing their purpose.
You know how it is at the end of a 3 hot monopoly game, when someone has all the cash, property, and a ton of hotels and you’re just waiting to roll and land on one and get wiped out?
This monopoly game is old and the players are ready for it to be over.
I mean, we have a 13% drop in consumer goods in the last month before Christmas season.
That’s going to goose GDP and not a sign of economic implosion.
Sure.
However.
We have a compassionate government today.
Companies will get more funny money so they do not close.
People will get more funny money so they stay warm.
People will get more funny money to stay just above poverty.
Jobless people will get more funny money since it is not their fault.
And we will all go down the drain together.