The productive elements of the US economy are caught between powerful financial interests, e.g., banks seeking speculative gains, political constituencies seeking entitlements and government entities at all levels whose budgets and deficits are too large compared to their revenues. All three factions...
Posted to
Hera
by
Ron Hera
on
Mon, Jul 19 2010
Filed under:
Filed under: Federal reserve, debt, GDP, Asia, Asian Tigers, China, central bank, Federal Budget, unemployment, Deindustrialization, Bailouts, Capitalism, Corporatism, Trade Deficit, Socialism, Totalitarianism, Offshoring, Outsourcing, Service Economy
One of the most famous quotations of Austrian economist Ludwig von Mises is that “There is no means of avoiding the final collapse of a boom brought about by credit expansion. The alternative is only whether the crisis should come sooner as the result of a voluntary abandonment of further credit...
Posted to
Hera
by
Ron Hera
on
Wed, Jun 2 2010
Filed under:
Filed under: US dollar, deflation, debt, inflation, GDP, M3, Hyperinflation, Ponzi scheme, unemployment, mortgage delinquencies and foreclosures, U-6
Ben Bernanke, Chairman of the US Federal Reserve, faces a Sisyphean task because US banks are experiencing debt deflation and, because lending is now at much lower levels, monetary deflation is encumbering the domestic US economy as existing debts continue to be serviced. Government deficit spending...
Posted to
Hera
by
Ron Hera
on
Wed, Mar 10 2010
Filed under:
Filed under: Federal reserve, US dollar, CPI, deflation, debt, inflation, GDP, central banks, money supply, US economy, central bank, M3
The US economy has been in crisis since 2008 and despite optimistic statements by officials and commentators there are no fundamental signs that the crisis will end in the foreseeable future. Current economic data suggests a number of diverging and unsustainable trends. The US economy has suffered a...