tag:blogger.com,1999:blog-4921988708619968880.post5438560398934768461..comments2024-02-28T22:03:57.237-05:00Comments on The Automatic Earth: May 14 2010: Debt and Dämmerung: Welcome to the WastelandIlargihttp://www.blogger.com/profile/09698428009501267664noreply@blogger.comBlogger79125tag:blogger.com,1999:blog-4921988708619968880.post-12995537597444481512010-05-16T19:41:38.691-04:002010-05-16T19:41:38.691-04:00Zero Hedge posted an article today and link to the...Zero Hedge posted an article today and link to the following hour long video, Meltup, with accolades from TD, stating (probably true) that the video is going viral.<br /><br />http://www.youtube.com/watch?v=eb1n1X0Oqdw&feature=player_embedded<br /><br />Despite the probability that it will give I&S dyspepsia by opening up the In/De debate, I recommend that people here do watch it.<br /><el gallinazohttps://www.blogger.com/profile/00642036843036726232noreply@blogger.comtag:blogger.com,1999:blog-4921988708619968880.post-30362745400796420482010-05-16T19:37:49.881-04:002010-05-16T19:37:49.881-04:00New post up.
Oil, credit and the velocity of mo...New post up.<br /><br /><br /><br /><a href="http://theautomaticearth.blogspot.com/2010/05/may-16-2010-oil-credit-and-velocity-of.html" rel="nofollow"><b>Oil, credit and the velocity of money revisited</b></a><br /><br /><br />.Ilargihttps://www.blogger.com/profile/09698428009501267664noreply@blogger.comtag:blogger.com,1999:blog-4921988708619968880.post-39284813485831405282010-05-16T18:32:52.686-04:002010-05-16T18:32:52.686-04:00Bigelow,
Martin Armstrong: That means capital wil...Bigelow,<br /><br /><i>Martin Armstrong: That means capital will flee European debt and flock into US debt. It is the safest only for the immediate moment, the US crisis will hit LAST!</i><br /><br />I agree with this, but not his assessment for US stocks. I agree that the US government debt crisis will be delayed by others falling over first. Europe is the current focus of the debt crisis, and Stoneleighhttps://www.blogger.com/profile/15099878430757036461noreply@blogger.comtag:blogger.com,1999:blog-4921988708619968880.post-40989193089818297192010-05-16T17:58:42.639-04:002010-05-16T17:58:42.639-04:00Bigelow,
I find that Martin Armstrong piece total...Bigelow,<br /><br />I find that Martin Armstrong piece totally incomprehensible. He expects stocks to do well? What? The flight to safety will initially benefit govt. bonds at the expense of the equity markets. The equity market is only a few months away from vaporization. The bond market will follow after some undetermined time lag, but equities are going up in smoke first. Why on earth Asmitahttps://www.blogger.com/profile/00286652097276900591noreply@blogger.comtag:blogger.com,1999:blog-4921988708619968880.post-28300331853359478692010-05-16T16:35:54.730-04:002010-05-16T16:35:54.730-04:00Jal
"I disagree ... the bailout are to put &...Jal<br /><br />"I disagree ... the bailout are to put "cash" back into the pension funds, etc. that have been scammed to almost zero."<br /><br />Give us a sign that you are joking .........please! Maybe some sort of a sardonic mark?<br /><br />rcg1950<br /><br />Yeah, I remember taking a bit of a heads up about that. I will have to review it again before I comment.el gallinazohttps://www.blogger.com/profile/00642036843036726232noreply@blogger.comtag:blogger.com,1999:blog-4921988708619968880.post-50988528287748587862010-05-16T16:21:27.138-04:002010-05-16T16:21:27.138-04:00"Goldman and the rest of the banks. That'..."Goldman and the rest of the banks. That's who bailouts are for."<br /><br />I disagree ... the bailout are to put "cash" back into the pension funds, etc. that have been scammed to almost zero.<br /><br />Banks have no money. Its someone elses' money that they lost and have been milking over and over for fees and commisions.<br />jaljalhttps://www.blogger.com/profile/16969819389823705458noreply@blogger.comtag:blogger.com,1999:blog-4921988708619968880.post-53702210708673461422010-05-16T16:08:20.539-04:002010-05-16T16:08:20.539-04:00From Martin Armstrong:
“What made the Great Depre...From Martin Armstrong:<br /><br />“What made the Great Depression so great was NOT the decline in the stock market. It was the wiping out of capital in the huge global debt crisis. This is what we are now facing. It is why the stocks came back today for in the end, I would be long stocks and short government bonds.<br /><br />At this time, the US debt and dollar will rally with gold because we Bigelowhttps://www.blogger.com/profile/16883913065391637120noreply@blogger.comtag:blogger.com,1999:blog-4921988708619968880.post-38906432135487878332010-05-16T16:02:18.334-04:002010-05-16T16:02:18.334-04:00question for el gallinazo -
re Keen & Krugman...question for el gallinazo -<br />re Keen & Krugman.<br /><br />In the Keiser interview (Keiser is awful, but not yet in the same league as the stomach turning Charley Rose) Keen pointed out that fiat money as a percent of credit money is dropping - seriously deflationary and at least by implication in need of correcting - and that decreasing public spending in the face of private rcg1950https://www.blogger.com/profile/14528664922464338338noreply@blogger.comtag:blogger.com,1999:blog-4921988708619968880.post-61629113538114879962010-05-16T15:11:54.381-04:002010-05-16T15:11:54.381-04:00G-minor,
Goldman and the rest of the banks. That&...G-minor,<br /><br /><i>Goldman and the rest of the banks. That's who bailouts are for.</i><br /><br />Absolutely. Bailouts are never for the little guy, always for well-connected insiders. Even baiouts that look liie they are for ordinary people never are in reality. Cash for clunkers or a home purchase grant are only inducements to take on extra unrepayable debt. They're like the witch Stoneleighhttps://www.blogger.com/profile/15099878430757036461noreply@blogger.comtag:blogger.com,1999:blog-4921988708619968880.post-8149615518173086222010-05-16T14:34:52.867-04:002010-05-16T14:34:52.867-04:00@ g-minor...Well then folks should say no! Alas th...@ g-minor...Well then folks should say no! Alas the State has enough power to force indenture. Gr-r-r....scandiahttps://www.blogger.com/profile/07924260428840006237noreply@blogger.comtag:blogger.com,1999:blog-4921988708619968880.post-46093472000931557262010-05-16T13:44:03.620-04:002010-05-16T13:44:03.620-04:00Too bad about Mish. He used to be a rather valuabl...Too bad about Mish. He used to be a rather valuable source of analysis. Maybe a little Stelazine would help. Maybe he and Karl could save money with a joint purchase.el gallinazohttps://www.blogger.com/profile/00642036843036726232noreply@blogger.comtag:blogger.com,1999:blog-4921988708619968880.post-75106569329691011672010-05-16T13:28:29.284-04:002010-05-16T13:28:29.284-04:00@ scandia
how can the public ever expect to be re...@ scandia<br /><br /><i>how can the public ever expect to be repaid? And how far down the line of creditors are they? Who gets the first pieces of pie? Please don't tell me Goldman!</i><br /><br />Goldman and the rest of the banks. That's who bailouts are for.<br /><br />gg-minorhttps://www.blogger.com/profile/07538584920169603580noreply@blogger.comtag:blogger.com,1999:blog-4921988708619968880.post-20755483881912493922010-05-16T12:58:51.963-04:002010-05-16T12:58:51.963-04:00Something I read recently( can't recall where)...Something I read recently( can't recall where) is nagging at the back of my mind. It was that the the trillion dollars put up by the European taxpayers, by contributing citizens to the IMF, to bailout the eurozone is not first in line of creditors to be repaid. Hello! If this is true how can the public ever expect to be repaid? And how far down the line of creditors are they? Who gets the scandiahttps://www.blogger.com/profile/07924260428840006237noreply@blogger.comtag:blogger.com,1999:blog-4921988708619968880.post-21552781856238699122010-05-16T12:26:06.703-04:002010-05-16T12:26:06.703-04:00Can anyone give me an example of hyperinflation ca...Can anyone give me an example of hyperinflation caused by a central bank over extending credit as opposed to the actual printing of huge amounts or denominations of fiat paper? If one uses the Weimar Republic, the image we all have is of the people burning the fiat paper in their stoves to keep warm or bringing it to the bakers' in wheelbarrows. (Fortunately the culture in those days was tooel gallinazohttps://www.blogger.com/profile/00642036843036726232noreply@blogger.comtag:blogger.com,1999:blog-4921988708619968880.post-35012006738937442192010-05-16T10:44:18.014-04:002010-05-16T10:44:18.014-04:00People often lose sight of the incredible binding ...People often lose sight of the incredible binding power of a common language, relating to countries and übercountries. If every country in Latin America spoke a different language, the "continent" (starting with the Rio Grande southward and excluding Brazil) would be much different than it is politically and culturally.el gallinazohttps://www.blogger.com/profile/00642036843036726232noreply@blogger.comtag:blogger.com,1999:blog-4921988708619968880.post-38779877497110980312010-05-16T10:32:10.892-04:002010-05-16T10:32:10.892-04:00@Stoneleigh
"I think things will get difficu...@Stoneleigh<br /><br />"I think things will get difficult in Europe sooner, as the vultures are already circling around the eurozone."<br /><br />Et tu Stoneleigh?el gallinazohttps://www.blogger.com/profile/00642036843036726232noreply@blogger.comtag:blogger.com,1999:blog-4921988708619968880.post-81506731485278241202010-05-16T10:08:17.072-04:002010-05-16T10:08:17.072-04:00I actually bought one of Paul Krugman's books ...I actually bought one of Paul Krugman's books about four years ago when I first started to become interested in economics. Fortunately, it was used and on the cheap. I now think of Krugman the way I think of my former marriage which ended almost 30 years ago, with a little voice in my head asking myself, "How could I have been so stupid."<br /><br />Speaking of an academic el gallinazohttps://www.blogger.com/profile/00642036843036726232noreply@blogger.comtag:blogger.com,1999:blog-4921988708619968880.post-92165234199011984232010-05-16T09:19:40.072-04:002010-05-16T09:19:40.072-04:00@ Stoneleigh and $$$
I was going to jump in with a...@ Stoneleigh and $$$<br />I was going to jump in with a response to $$$'s question as to why now, why a trend change this time?<br />My thoughts are not original. The info that is a game changer for me is the EU bailout because the eurozone has an incestual debt burden where they owe each other. I see how an IMF rescue will lead to enslavement to foreign power, will lead to political upheavalscandiahttps://www.blogger.com/profile/07924260428840006237noreply@blogger.comtag:blogger.com,1999:blog-4921988708619968880.post-20186021070493440722010-05-16T08:34:03.062-04:002010-05-16T08:34:03.062-04:00Fuser,
Thanks for volunteering to organize someth...Fuser,<br /><br />Thanks for volunteering to organize something in Ohio - much appreciated :)<br /><br />I'll let you know when I'd be able to come. It would most likely be fall.Stoneleighhttps://www.blogger.com/profile/15099878430757036461noreply@blogger.comtag:blogger.com,1999:blog-4921988708619968880.post-40542891296909636792010-05-16T08:32:34.218-04:002010-05-16T08:32:34.218-04:00Anon10,
Mish's take on that cmment from Canad...Anon10,<br /><br />Mish's take on that cmment from Canada was right on. It is not different up here. We just haven't seen our bubble burst yet. When we do, the consequences will be awful. Vancouver has the largest bubble on the continent.<br /><br />I'm not at all sure that Canada will even remain a single country over the next couple of decades. For starters, if the government in Stoneleighhttps://www.blogger.com/profile/15099878430757036461noreply@blogger.comtag:blogger.com,1999:blog-4921988708619968880.post-78786276499520543072010-05-16T08:24:45.843-04:002010-05-16T08:24:45.843-04:00Eric Lilius,
I second your recommendation of easy...Eric Lilius,<br /><br />I second your recommendation of easydigging.com. It's run by a TOD poster by the handle of Greg in MO. I have many of his products and have been very happy with them.Stoneleighhttps://www.blogger.com/profile/15099878430757036461noreply@blogger.comtag:blogger.com,1999:blog-4921988708619968880.post-5177723794267240112010-05-16T08:22:35.829-04:002010-05-16T08:22:35.829-04:00Ed Gorey,
I think the unwinding of the yen carry ...Ed Gorey,<br /><br />I think the unwinding of the yen carry trade will win, at least for a time, and the yen will appreciate significantly. This could well allow Japan's finances to avoid hitting a wall quite so soon. I still think Japan is in an awful position in the longer term though. Being granted the time to dig oneself into an even deeper hole is not really a good thing.<br /><br />I Stoneleighhttps://www.blogger.com/profile/15099878430757036461noreply@blogger.comtag:blogger.com,1999:blog-4921988708619968880.post-2433426143628467342010-05-16T08:01:16.408-04:002010-05-16T08:01:16.408-04:00Re: Paul Krugman's mind-numbing logic
from th...Re: Paul Krugman's mind-numbing logic<br /><br />from the Krugman blog:<br /><br />"[The IMF report] says that the financial crisis has made us permanently poorer, which among other things reduces revenue, and governments have to tighten their belts to make up for that loss.<br />The first thing we might ask is, do we really believe that a financial crisis permanently depresses the trendErin Winthropehttps://www.blogger.com/profile/17535747338165517395noreply@blogger.comtag:blogger.com,1999:blog-4921988708619968880.post-84136575857687335802010-05-16T07:58:07.236-04:002010-05-16T07:58:07.236-04:00$$$$,
Market timing is probabilistic. There are j...$$$$,<br /><br />Market timing is probabilistic. There are junctures that are high-risk for a trend change. Not every one of those becomes a trend change, as corrections can morph into a number of complex patterns and combinations of patterns.<br /><br />On balance of probability, I think we have see a trend change.Stoneleighhttps://www.blogger.com/profile/15099878430757036461noreply@blogger.comtag:blogger.com,1999:blog-4921988708619968880.post-4640050715566083722010-05-16T07:23:52.706-04:002010-05-16T07:23:52.706-04:00The only reason I mentioned stainless steel for ga...The only reason I mentioned stainless steel for garden tools is in the larger context of a deflated Brave New World.<br /><br />Sure, from the wreckage of today's oil soaked edifice of so called 'human culture', there will be a lot of scrap metal and salvage material surviving to reshape into a low energy-world made by hand tools kinda thing.<br /><br />But smelting any metal is very Top Hat Cathttps://www.blogger.com/profile/18062738110354384414noreply@blogger.com