The next time you read that central banks have been the heroes of this crisis and monetary stimuli have saved the world, remember…

Sharing is Caring!

Print The Bubble.

The reason why capex is poor is that QE perpetuates overcapacity. Growth is poor because QE props up unproductive government spending and -as u said- housing bubbles


Debt accumulation and saver repression are not social policies.

The Global Implementation Of Demand-Side Debt-Fueled Policies Has Made Crises Widespread and More Frequent.

READ  The New Housing Crisis Is Stealing Homeowners Future

(Bordo et all)

The #Federal Reserve’s Track Record At Making Estimates Is Abismal.

The #ECB and the #IMF’s Are Beyond Atrocious.

Yet almost the entire market starts CIO morning meetings with “The ECB-Fed-IMF estimates are still strong”.

Two generations of market participants have seen nothing but expansive monetary policies.

READ  The National Threat of Denying The Great Debt Crisis... Higher Gas Tax Pitched to Fund Infrastructure Bill

. No wonder we consider small rate hikes “hawkish”.

. No wonder we find it almost impossible to find value.

. No wonder we believe crises come from small hikes after massive cuts.



Leave a Comment

This site uses Akismet to reduce spam. Learn how your comment data is processed.