All Posts Tagged With: "unemployment"

A year ago, the RBA and the horde of market economists who hang on its every word expected interest rates to be higher by now. Even as late as September 2011 the RBA was sitting on its hands, unsure which way to move.

The nice thing about an economic depression is that it cures a depression. Stocks collapse. Businesses go broke. Speculators jump from tall buildings. Wages fall. Prices drop. Interest rates sink. And then, with the cost of assets, labor and credit at rock-bottom levels, the scrap dealers, recyclers and entrepreneurs get to work.

In 2007, just 10% of the unemployed had been jobless for 6 months or more. Today, the total is 40%. And with so little growth in the job market, many of these unemployed people will never work again.

The growth of the last 30 years came from the government spending money we didn’t have. In Europe, the government spent it. In America, households spent it. In Britain, both spent it.

While America’s super-rich congratulate themselves on donating billions to charity, the rest of the country is worse off than ever. Long-term unemployment is rising and millions of Americans are struggling to survive. The gap between rich and poor is wider than ever and the middle class is disappearing.

Gold is still getting up. Hemlines are going down. That’s all you need to know.
Gold rose toward $1,230 yesterday. Why? Reports said investors were worried about Europe.
Well…yes…Europe…and Asia…and North America…

…did you notice that nearly 45% of America’s 15 million unemployed have been out of a job for over six months?

Yes, we’re expected to believe that the bad news bears – Bernanke, Summers, Geithner et al – have now won the World Series…by not only preventing a depression…