tag:blogger.com,1999:blog-4921988708619968880.post5093048507859249424..comments2024-02-28T22:03:57.237-05:00Comments on The Automatic Earth: Debt Rattle, November 9 2008: Trust Trumps CreditIlargihttp://www.blogger.com/profile/09698428009501267664noreply@blogger.comBlogger44125tag:blogger.com,1999:blog-4921988708619968880.post-42127015582929816922008-11-10T15:56:00.000-05:002008-11-10T15:56:00.000-05:00"In China, the problem lies in virtually unlimited...<I>"In China, the problem lies in virtually unlimited bad -corporate- loans."</I><BR/><BR/>True. All the major banks are probably technically under water -- but this has been true for decades. The banks are not private, independent entities, as they would be in the US; they are essentially arms of the Chinese government.<BR/><BR/>Nothing has changed. The banks can be propped up indefinitely byAnonymousnoreply@blogger.comtag:blogger.com,1999:blog-4921988708619968880.post-26246652861625035212008-11-10T14:02:00.000-05:002008-11-10T14:02:00.000-05:00>and no, I did not forget KristallnachEurope co...>and no, I did not forget Kristallnach<BR/><BR/>Europe could be heading for another round of fascism. Fascism of the 1930's arose from similar conditions that Europe is heading into. When more than a quarter of the population becomes unemployed and food store shelfs dwindle to slim pickings, the public will demand strong leadership, which could end up in the extreme as it did in the 1930&#Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-4921988708619968880.post-42521100979945238682008-11-10T13:03:00.000-05:002008-11-10T13:03:00.000-05:00Thanks, Ahimsa, for the link. I've sent it on to m...Thanks, Ahimsa, for the link. I've sent it on to my union friend.scandiahttps://www.blogger.com/profile/07924260428840006237noreply@blogger.comtag:blogger.com,1999:blog-4921988708619968880.post-71683379957190661832008-11-10T12:54:00.000-05:002008-11-10T12:54:00.000-05:00Scandia and Greenpa,Regarding auto workers taking ...Scandia and Greenpa,<BR/><BR/>Regarding auto workers taking over factories, refusing to be unemployed, etc., took place in Argentina's 2001 economic collapse. It's documented in Naomi Klein's film, "The Take." A great film.<BR/><BR/>http://thetake.org/index.cfm?page_name=synopsis<BR/><BR/>AhimsaAnonymousnoreply@blogger.comtag:blogger.com,1999:blog-4921988708619968880.post-16298365420515781862008-11-10T10:53:00.000-05:002008-11-10T10:53:00.000-05:00Since the devil is in the details, HOW DOES CHINA ...Since the devil is in the details, <BR/>HOW DOES CHINA USE THEIR FOREIGN RESERVE TO BAIL OUT ITS OWN ECONOMY?<BR/>What will happen on Sat. at the G20 meeting?<BR/><BR/><BR/>http://www.telegraph.co.uk/finance/3414943/Chinas-bail-out-package-hailed-as-a-New-Deal-for-its-people.html <BR/>China's bail-out package hailed as a 'New Deal' for its people<BR/>China 4 trillion yuan (£373bn) package to Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-4921988708619968880.post-23671830943774191952008-11-10T10:52:00.000-05:002008-11-10T10:52:00.000-05:00Speaking of China:Chinese job losses prompt exodus...Speaking of China:<BR/><A HREF="http://news.bbc.co.uk/2/hi/asia-pacific/7713594.stm" REL="nofollow">Chinese job losses prompt exodus</A>.<BR/><BR/>This is what I don't get about the western bank bailouts. All that cash basically gets decomposed on the bank balance sheet before it can be lent to consumers where it could be spent in Keynesian fashion to keep the economy going. Is the theory that Farmerodhttps://www.blogger.com/profile/03492165772535123915noreply@blogger.comtag:blogger.com,1999:blog-4921988708619968880.post-41236177474551628372008-11-10T10:43:00.000-05:002008-11-10T10:43:00.000-05:00Greenpa, I like your idea. I had forgotten to ment...Greenpa, I like your idea. I had forgotten to mention laying off current management. That would free up some cash. I wrote to a retired union man this morning. He would support a Co-op structure and mentioned several examples of manufacturing being taken over by workers and restored to " Health", at least saved from bankrupcy. There are precedent success stories.scandiahttps://www.blogger.com/profile/07924260428840006237noreply@blogger.comtag:blogger.com,1999:blog-4921988708619968880.post-58988415646372168152008-11-10T10:18:00.000-05:002008-11-10T10:18:00.000-05:00We were having a discussion about currency strengt...We were having a discussion about currency strengths over the weekend - re the $,£,€.<BR/>Whilst the dollar is the reserve currency, and the Euro's potential weaknesses are spread over many countries - sterling looks more vulnerable with neither of these ameliorating factors.<BR/>What criteria do you think are currently most important when evaluating strength?<BR/>Do you see sterling as being Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-4921988708619968880.post-20702226057961439672008-11-10T10:09:00.000-05:002008-11-10T10:09:00.000-05:00Scandia: "...Been thinking about the bailout of au...Scandia: "...Been thinking about the bailout of auto industry, trying to form a solution. "<BR/><BR/>It's fun, isn't it? If only someone inside the structure could see.<BR/><BR/>Here's mine: taxpayers buy stock in GM. All top and middle management people are fired, today (clean out the corporate culture that caused the problem). The infrastructure and employees of the company are now split Greenpahttps://www.blogger.com/profile/17224906349154302210noreply@blogger.comtag:blogger.com,1999:blog-4921988708619968880.post-30819932031856823162008-11-10T09:44:00.000-05:002008-11-10T09:44:00.000-05:00Good Lord, reading the headlines this morning is l...Good Lord, reading the headlines this morning is like taking a trip down TAE Memory Lane.<BR/><BR/>It is as if I'm reading the information after having already consumed the Cliffs Notes. I understand so much of the articles regarding FED Transparency and the powers given to Paulson because of your insight here (weeks ago!).<BR/><BR/>Can't tell if this is a wake-up moment of if the press\masses Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-4921988708619968880.post-59225456876285820882008-11-10T09:12:00.000-05:002008-11-10T09:12:00.000-05:00Blynken,"...Chinese banks do not appear to have mu...Blynken,<BR/><BR/><I>"...Chinese banks do not appear to have much exposure to the U.S.'s toxic financial sludge. While the banks of the People's Republic have their own problems, the ripoff culture does not appear to be anywhere as strong as it was in the U.S."</I><BR/><BR/>This to me smells too much like all the countries, like Canada and Germany, that say they have little or no problems becauseIlargihttps://www.blogger.com/profile/09698428009501267664noreply@blogger.comtag:blogger.com,1999:blog-4921988708619968880.post-90136815478123199892008-11-10T08:26:00.000-05:002008-11-10T08:26:00.000-05:00http://www.washingtonpost.com/wp-dyn/content/artic...http://www.washingtonpost.com/wp-dyn/content/article/2008/11/09/AR2008110902155_pf.html<BR/><BR/>Does this mean nobody read the bailout ahead of time? It seems like that is the only reason they would stop from printing this until now? Barack Obama and JOhn McCain included.<BR/><BR/>What a bind. Nobody can raise any questions about the bailout for fear that there questions would destabilize the Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-4921988708619968880.post-31396422460329117922008-11-10T06:54:00.000-05:002008-11-10T06:54:00.000-05:00ebrown, Just had a trick of the mind on reading yo...ebrown, Just had a trick of the mind on reading your metaphor of system. When I read, "...detritivores thrive in corpses..." my mind turned it into "...derivatives thrive in corpses..." Yikes! That sent a chill up my spine!<BR/>...Been thinking about the bailout of auto industry, trying to form a solution. Damned difficult. However I had a eureka moment this morning. I have an option. If the scandiahttps://www.blogger.com/profile/07924260428840006237noreply@blogger.comtag:blogger.com,1999:blog-4921988708619968880.post-82741111778106824482008-11-10T04:53:00.000-05:002008-11-10T04:53:00.000-05:00Reading TAE sometimes puts me in mind of Leonard C...Reading TAE sometimes puts me in mind of Leonard Cohen's apocalyptic lyrics in <B>The Future</B><BR/><BR/>Things are gonna slide, slide in all directions<BR/>Won't be nothin, nothin you can measure anymore<BR/>The blizzard, the blizzard of the world <BR/>has crossed the threshold<BR/>and it's overturned the order of the soulAnonymousnoreply@blogger.comtag:blogger.com,1999:blog-4921988708619968880.post-10845533678696559482008-11-10T02:39:00.000-05:002008-11-10T02:39:00.000-05:00China seems to be concentrating on infrastructure ...China seems to be concentrating on infrastructure spending, not a banking bailout. This makes sense to me, as Chinese banks do not appear to have much exposure to the U.S.'s toxic financial sludge. While the banks of the People's Republic have their own problems, the ripoff culture does not appear to be anywhere as strong as it was in the U.S.<BR/><BR/>In addition, the return on infrastructure Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-4921988708619968880.post-90420233686388212342008-11-09T23:35:00.000-05:002008-11-09T23:35:00.000-05:00From Chris Rea's brilliant 1989 album "The Road to...From Chris Rea's brilliant 1989 album "The Road to Hell" (find the vinyl if you can, and care)-The Road to Hell (part 2):<BR/><BR/>Well I'm standing by a river<BR/>but the water doesn't flow<BR/>It boils with every poison you can think of<BR/>And I'm underneath the street lights<BR/>But the light of joy I know<BR/>Scared beyond belief way down in the shadows<BR/><BR/>And the perverted fear of Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-4921988708619968880.post-83862422522559795372008-11-09T23:22:00.000-05:002008-11-09T23:22:00.000-05:00Ilargi, to search any web site, you can use some u...Ilargi, to search any web site, you can use some useful google tools, say in the case of the Dylan song:<BR/><BR/>in the google box, put: site:theautomaticearth.blogspot.com "A wildcat did growl" and you get, today, no results, but by tuesday you should see today's item. You didn't post that, at least not on the automatic earth here.<BR/><BR/><A HREF="http://www.google.com/search?hl=en&q=site%Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-4921988708619968880.post-35511689144104288992008-11-09T22:15:00.000-05:002008-11-09T22:15:00.000-05:00"And now the two come riding, and to me they look ..."And now the two come riding, and to me they look like Jesus coming to clean up the marketplace."<BR/><BR/>Yes, He only cleaned up the Temple in the first century! Look what's coming now:<BR/><BR/>2 Thessalonians 1:7-9 And to you who are troubled rest with us, when the Lord Jesus shall be revealed from heaven with his mighty angels, In flaming fire taking vengeance on them that know not God, andAnonymousnoreply@blogger.comtag:blogger.com,1999:blog-4921988708619968880.post-30729144349766963552008-11-09T22:06:00.000-05:002008-11-09T22:06:00.000-05:00I find that Jimi's All Along The Watchtower is bes...I find that Jimi's All Along The Watchtower is best experienced in the context of the driving scene in the movie Rush ...Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-4921988708619968880.post-31280458688071618202008-11-09T21:52:00.000-05:002008-11-09T21:52:00.000-05:00tom - there is no cure.tom - there is no cure.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-4921988708619968880.post-46181010523904273102008-11-09T21:39:00.000-05:002008-11-09T21:39:00.000-05:00ilargi: "What, you think China is different?"why n...ilargi: "What, you think China is different?"<BR/><BR/>why not? all the banks there except one are state owned to begin with.<BR/><BR/>zAnonymousnoreply@blogger.comtag:blogger.com,1999:blog-4921988708619968880.post-35834331212012029622008-11-09T21:27:00.000-05:002008-11-09T21:27:00.000-05:00z"the money is for the banking system?"What, you t...z<BR/><BR/><I>"the money is for the banking system?"</I><BR/><BR/>What, you think China is different?Ilargihttps://www.blogger.com/profile/09698428009501267664noreply@blogger.comtag:blogger.com,1999:blog-4921988708619968880.post-2476862311188953772008-11-09T21:25:00.000-05:002008-11-09T21:25:00.000-05:00tom streetthat's what I talked about today, and ma...tom street<BR/>that's what I talked about today, and many times beforeIlargihttps://www.blogger.com/profile/09698428009501267664noreply@blogger.comtag:blogger.com,1999:blog-4921988708619968880.post-19554941428556133182008-11-09T19:50:00.000-05:002008-11-09T19:50:00.000-05:00Ilargi.You said trust is needed. However, how is t...Ilargi.<BR/><BR/>You said trust is needed. However, how is that trust created and what specifically must be done to resurrect this economy, if there is anything that can be done?Tom Streethttps://www.blogger.com/profile/06189580235104436202noreply@blogger.comtag:blogger.com,1999:blog-4921988708619968880.post-4611352744972803062008-11-09T19:13:00.000-05:002008-11-09T19:13:00.000-05:00ilargi: "Beijing may throw half a trillion dollars...ilargi: "Beijing may throw half a trillion dollars at its banking system today, a huge amount for an economy of that size, but just like in the West, it’ll disappear into the black holes of losses already incurred."<BR/><BR/>the money is for the banking system?<BR/><BR/>zAnonymousnoreply@blogger.com