Silver as an investment

Category Archives: Keynesian economics

Un-Merry Christmas: The Perverse Incentives To Over-Consume And Over-Spend

Authored by Charles Hugh Smith via OfTwoMinds blog, Isn't it obvious that if we set out to design the most perverse, toxic and doomed system possible, we'd end up with the Keynesian Cargo Cult's insane permanent growth/Landfill Economy? Few topics are off-limits nowadays: the personal and private are now splashed everywhere for all to see. […]

Stockman: US Entry Into World War I Was A Disaster

Authored by David Stockman via The Daily Reckoning, 103 years ago, in 1914, the Federal Reserve opened-up for business as the carnage in northern France was getting under way. And it brought to a close the prior magnificent half-century era of liberal internationalism and honest gold-backed money. The Great War was nothing short of a […]

We Are Already In Depression (If Borrowing Money Is Not Income)

Via Baker & Company Advisory Group, The U.S. economy is not as solid as it appears. Statistical anomalies hide profound weakness. I will examine actual GDP and actual employment. Warning: not for the faint of heart. Do you consider debt as income? Before you answer that, let’s perform a thought experiment. Imagine that you had taken […]

If Economists Are So Smart, Why Are They Always Wrong?

When I took Econ 101 and 102 as a young college student back in antediluvian times the textbook we were assigned was Paul Samuelson’s Economics: An Introductory Analysis. This book is the all-time best selling economics textbook and is still around today (19th ed.). I had the 1961 edition. In it, Samuelson, a prominent Keynesian economist who won […]

How Much Is Too Much?

Authored by Michael Lebowitz via 720Global.com, The amount of monetary stimulus increasingly imposed on the financial system creates false signals about the economy’s true growth rate, causing a vast misallocation of capital, impaired productivity and weakened economic activity. To help quantify the amount of stimulus, please consider the graph below. Data Courtesy: Federal Reserve Federal […]

The Fed’s Monetary Tantrum Will Push The Economy Into Outright Deflation

Via MauldinEconomics.com, It is increasingly evident that the US economy is not taking off like some predicted after the election. President Trump and the Republicans haven’t passed any of the fiscal stimulus measures we hoped to see. Banks and energy companies have got some regulatory relief, and that helps. But it’s a far cry from […]

Ron Paul Warns “Cashless Society” Is About “Authoritarians Clinging To Power”

The global dollar-based monetary system is in serious jeopardy, according to former Texas Congressman Ron Paul. And contrary to Fed Chairwoman Janet Yellen’s assurances that there won’t be another major crisis in our lifetime, the next economy-cratering fiat-currency crash could happen as soon as next month, Paul said during an interview with Josh Sigurdson of […]

Soaring Debt = Slow Growth = Even More Debt = Systemic Crisis

Authored by John Rubino via DollarCollapse.com, It’s just common sense: Borrow too much money and the weight of this debt makes it hard to do things that used to be easy. This truism is now (finally!) hitting home, and blame is being apportioned. A couple of recent examples: Over The Last 10 Years The U.S. […]

Do Wars Help or HURT the Economy?

Does Defense Spending Stimulate the Economy and Create Jobs … Or Is It BAD for the Economy? Preface: Trump wants to drastically increase military spending.  At the same time, France, China, Japan and other countries are ramping up their military spending. An understanding of the effect on the economy is therefore timely. A number of […]

China Suffers Worst Start To A Year For Retail Sales Growth Since 2002

With its credit impulse wearing off (and inflation spikes stalling any hopes of renewed stimulus anytime soon), it appears China’s always-happy consumer is not so happy as 2017 begins.   Against expectations of a 10.6% year-over-year gain in year-to-date cumulative retail sales, February saw just a 9.5% rise – the weakest February since 2002. Presumably […]