Peter Wilby at The Age has come up with one of the most enraging reads ever read. There is so much wrong and outrageous about this article that we can’t even get to the point of analysing it. We have just provided some of the highlights, not that they do the article justice.
August 14th, 2010 | Nickolai Hubble | 3 comments | ContinuedAll Posts Tagged With: "government"
Bridging the Fiscal Gap of Unfunded Liabilities
The stock market took a tumble yesterday. The Dow fell 265 points after investors had a chance to ruminate about the Fed’s latest action. It wasn’t what the Fed did or said that discouraged investors. It was what it didn’t say and what it didn’t do. It didn’t say, for example, that it was going to “crank up the printing presses”.
August 13th, 2010 | Bill Bonner | 0 comments | Continued
A Moment in the Sun
If Goldman Sachs is publicly bullish on gold, is that a good thing or bad thing for gold bulls? Wall Street’s notorious trading house published a report on gold earlier this week setting a price target of US$1,300 in the next six months. The report cited several factors. But before we get into them, we’ll confess it made us a bit nervous. Whenever any broker is saying one thing, you have to wonder if they’re actually doing the opposite.
August 13th, 2010 | Dan Denning | 6 comments | Continued
More Debt to Fight the Correction and Other Absurdities
Federal Reserve officials decided to reinvest principal payments on mortgage holdings into long-term Treasury securities, making their first attempt to bolster growth since March 2009 to keep the slowing US economy from relapsing into recession.”The pace of economic recovery is likely to be more modest in the near term than had been anticipated,” …
August 12th, 2010 | Bill Bonner | 0 comments | Continued
The “Road to Serfdom”
The US government is pursuing the same misguided strategy that has failed for twenty years to revive Japan’s economy. This strategy consists of squandering taxpayer dollars on failed financial institutions, and prop up unaffordable federal and state spending programs. One key difference: Japan’s competitive export-oriented manufacturing base was…
August 11th, 2010 | Dan Amoss | 3 comments | Continued
Nine Meals From Barbarism
It’s always a fun week when the big banks report earnings. This week it’s Commonwealth Bank (ASX:CBA), with NAB to give a trading update later in the week. What will CBA’s results tell you? Over the next month you’ll get to see how much the banks are actually hurt by higher funding costs, whether bad debts are rising, and if the housing market is causing them any trouble (loan losses).
August 9th, 2010 | Dan Denning | 12 comments | Continued
Incredible Threat
Last week, Mr. James Bullard was being both cagey and clairvoyant. The president of the St. Louis Federal Reserve Bank noticed what everyone else has seen for months; the US economic recovery is a flop. GDP growth was last measured pottering along at a 2.4% rate in the second quarter, less than half the speed of the last quarter of ’09.
August 9th, 2010 | Bill Bonner | 3 comments | Continued
The US Government’s Secret Plan to Destroy the Dollar
Alright then. So yesterday we made a claim that the Fed has ways of causing inflation in the same way that the Gestapo has ways of making you talk. But it was merely a claim. We didn’t prove it. Today, we offer incontrovertible proof that the Federal government of the United States intends to inject money directly into U.S. households using an obscure provision of the recently passed Dodd-Frank shemozzle.
August 6th, 2010 | Dan Denning | 5 comments | Continued
Inflate Your Debts Away
You can recover from a fall. You can recover from a broken heart. You can recover from a head cold. You cannot recover from death. You can only become a zombie. The US economy merely became more zombified, after the crisis of ’07-’09. Houses are underwater. People are living on food stamps and unemployment compensation…
August 3rd, 2010 | Bill Bonner | 3 comments | Continued
Trader Vic Explains Hyperinflation
Hmm. If everyone, including the RBA, is so sure that a hyperinflationary depression is not likely, then what is legendary trader Victor Sperandeo doing saying the exact opposite? If you don’t have time to watch the four minute segment on CNBC, his point is simple: long-term structural deficits in the US make it nearly inevitable that bond investors will cease funding US deficits and yields will rise, forcing debt monetisation by the Fed.
July 30th, 2010 | Dan Denning | 38 comments | Continued
Hooray for the Economic Recovery!…of 2016
Each new government initiative – the latest being financial reform – that doesn’t decisively address the debt, but rather tightens the government’s around private enterprise, only serves to delay or prevent economic revival. And so each new day will bring more distress and bankruptcy to homeowners, businesses, and banks.
July 29th, 2010 | David Galland | 8 comments | Continued
Too Much Debt, Not Enough Oil
Because the government has been overpromising, overcommitting and overspending for decades, it is hurtling toward a fiscal train wreck. The numbers have stopped adding up. Looking out, there’s NO WAY that most Western governments can ever pay their ongoing obligations or pay off past debt.
July 27th, 2010 | Byron King | 0 comments | Continued
How One Local Government Cut its Expenses and Actually Gained Public Support
Nothing happened yesterday. The Dow rose 75 points. Gold went up $9. Here’s something interesting. Local government says it can’t cut expenses? The New York Times: A City Outsources Everything. Sky Doesn’t Fall.MAYWOOD, Calif. – Not once, not twice, but three times in the last two weeks.
July 22nd, 2010 | Bill Bonner | 0 comments | Continued
Money for Nothing and Cheques from Centre Link
High taxes are the main one. Low employment rates are another. Who works when you get your money for nothing and your cheques for free from Centre Link? Wait a minute. Low employment in Australia? Yup, “Australia’s employment rate – the percentage of the population with a job – ranks only 20th of the 27 rich OECD countries for prime-age workers” reports Tim Colebatch at The Age.
July 17th, 2010 | Nickolai Hubble | 3 comments | Continued
Iron Bulls and Budget Fudges
You can’t have steel without iron ore. And you can’t have a resource boom without an iron ore boom. Just ask the government. It’s counting on soaring prices for iron ore and coal (along with soaring volumes) to deliver an extra $6 billion windfall to Federal coffers, according to today’s Australian Financial Review. The government cutting its deficit next year and returning the nation’s finances to surplus by 2012-2013 when the new bill of attainder becomes the law of the land.
July 15th, 2010 | Dan Denning | 10 comments | Continued
