by Charles Hugh Smith
Of Two Minds
Only those know to swim parallel to the shore can escape the destructive rip-tide of debt and speculative risk pulling everyone to insecurity and impoverishment.
Longtime correspondent Kevin K. recently shared an extremely insightful analogy of our financial peril. Those of you who swim or body-surf in the ocean are familiar with rip-tides–strong currents shaped by the contours of inlets and bays that pull unwary swimmers rapidly out to sea.
Those with experience of rip-tides know that it is futile to swim against the tide–those who try will only exhaust themselves, and be carried away despite their exertions.
The only way to escape the rip-tide is to swim parallel to the shore. This succeeds because the rip-tide is like a narrow river; once the swimmer moves out of the strong flow, the current’s deadly pull quickly subsides.