Rantings and tirades of a frustrated economist.
This is the recovery we paid for?
The problem is that not enough money was spent on the Stimulus. Paul Krugman already explained this in detail.
Whoops! Looks like growth was a third of what they thought it was. Give me a dart board and I'll do better. I'm not sure how much increasing food prices accounted for in GDP growth, but it might be enough to negate those gains entirely. Growth of 0.4% isn't exactly a huge hurdle to clear.So Captain, where are you putting your investments to hide from the dollar's decline? Is there a Rumpleminz and motorcycles fund I don't know about?Maybe I should just invest in hot dogs and off-brand toilet paper. Call it an inferior goods "We are so screwed" position.
Real Estate - it is cheap right now and traded in Dollars which will soon be obsolete the way they are printing it!Normally I would say Gold, but that ship sailed long ago and gold is too expensive now...
Anonymous, you think gold is too expensive now, our dollars aren't able to buy enough, just you wait...As the Cap'n keeps saying, "Enjoy the decline!"Bill K.
"The problem is that not enough money was spent on the Stimulus. Paul Krugman already explained this in detail.Man, I hope that was sarcasm.
CBMTTek - Nope. Krugman actually believes this. Like every Keynesian when a stimulus package didn't work, he assumes it wasn't big enough. Never mind that we've gone through the biggest stimulus package in history and got nothing to show for it.
What we are experiencing is what Japan did during the 90's. They had a bubble that popped in '91, resulting in a decade long stagnation. The Japanese even tried the same kind of Keynesian stimulus during the 90's that we are doing now. It had no effect on the economy. All it did was to increase their government debt from 40% of GPD in 1991 to 180% today. If you want to know what the U.S. will be like for the next ten years, look at Japan during the 90's.
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