The Joblessness of August: 9.7 Percent [View article]
lots of contradictory opinions out there...but you can't compare 1982 to 2009. A 9.7% unemployment rate in 2009 is much worse than 1982...how does anyone expect companies to hire? There is no credit available, so they can only hire people with cash. But their sales are down...this is why this talk about the end of the recessions is foolish
Tony, yes, very well said as a business owner there is no incentive to hire anyone. My business is located in New York City. What incentive does anyone have to start a business here? All your money goes to the city, state, and federal government, and it is almost impossible to hire anyone with all the regulation.
Money Supply: The Myth of Hyperinflation [View article]
while it might be true that the Fed is not printing money 24/7 now, we have tens of trillions of dollars in unfunded mandates, and government programs that have yet to be paid for...there is only so much money to be sucked out of the banking system, until we will need to print money or raise taxes. this is why inflation is much more likely
According to Bloomberg this week, banks are now just as levered as 2007. Have they not learned their lesson? Or do they just not care anymore? I think its the latter
the moral hazard problem could have been brushed aside if we would have done the right thing and let all these banks go under...instead we are re-inflating the bubble that got us here in the first place, and hiding the systematic problems with our economy
Paul Tudor Jones: Gold's Undervalued and Bonds Are a Curve Flattener Play [View article]
saying gold is undervalued by about 20% over the next 2 years is not exactly going out on a limb, gold has annualized at about 20% over the last 5 years
Well, I think you are making a different point than me...I agree that the meddling into our currency by the Fed is a disaster...but a weak currency is a sign of a declining economy- just ask Argentina, or Italy about that
On Sep 10 08:58 AM chap08 wrote:
> "Is a declining dollar good for the long term? Of course not" > > Yes it is! The dollar has been held artificially high for too long. > This results in trade deficits, unemployment and deflation. It also > encourages budget deficits as a result of foreign governments looking > to keep their funds in dollars. This drop in the dollar is good - > but not enough. We need a sustained devaluation (ideally gradual) > which rebalances the global economy.
Tony, good points. The U.S. cannot become the Chinese. The dollar will be worthless on its own, because of our irresponsibility, trying to prop it up will lead to more problems.
On Sep 10 10:02 AM Tony Petroski wrote:
> I always look at the economic impact of a fall in the dollar (for > the American) like a man would look at a fall in the purchasing power > of his income. All men would consider this to be a bad thing as they > now have to "export" more (their labor) and can "import" less. On > the other hand, like chap 08 points out, it's not all bad news. The > man is more employable and attractive to other employers. Perhaps > he stays employed longer rather than earning high pay for a little > while only to suddenly lose his job. > > At the national level, the falling dollar is a sign of weakness, > but it's certainly better to adjust to reality on the fly rather > than to prop up a currency like the Chinese do only to experience > that sudden loss that comes with a massive devaluation similar to > the high pay-earner getting fired.
Gold Above $1,000: Indicative of an Imminent Market Fall? [View article]
I never got the hangup with $1,000 gold (or other psychological investing barriers)...adjusted for inflation its a tiny number...Gold can easily hit $1500-$2000 over the next few years
The Joblessness of August: 9.7 Percent [View article]
Scary Drop in Velocity of Money: Is Deflation Knocking? [View article]
V-Shaped Recovery? Try M-Shaped Meltdown [View article]
Less Government or Lower Wages? You Choose [View article]
Money Supply: The Myth of Hyperinflation [View article]
Sure It’s Legal … But Is It Right? [View article]
Sure It’s Legal … But Is It Right? [View article]
Paul Tudor Jones: Gold's Undervalued and Bonds Are a Curve Flattener Play [View article]
The Deficit Rally [View article]
On Sep 10 08:58 AM chap08 wrote:
> "Is a declining dollar good for the long term? Of course not"
>
> Yes it is! The dollar has been held artificially high for too long.
> This results in trade deficits, unemployment and deflation. It also
> encourages budget deficits as a result of foreign governments looking
> to keep their funds in dollars. This drop in the dollar is good -
> but not enough. We need a sustained devaluation (ideally gradual)
> which rebalances the global economy.
China vs. the U.S.- Who Will Blink First? [View article]
Raising the Debt Ceiling - Again [View article]
Barron's' 'Miller Time' Completely Misses the Math - and the Mark [View article]
The Deficit Rally [View article]
On Sep 10 10:02 AM Tony Petroski wrote:
> I always look at the economic impact of a fall in the dollar (for
> the American) like a man would look at a fall in the purchasing power
> of his income. All men would consider this to be a bad thing as they
> now have to "export" more (their labor) and can "import" less. On
> the other hand, like chap 08 points out, it's not all bad news. The
> man is more employable and attractive to other employers. Perhaps
> he stays employed longer rather than earning high pay for a little
> while only to suddenly lose his job.
>
> At the national level, the falling dollar is a sign of weakness,
> but it's certainly better to adjust to reality on the fly rather
> than to prop up a currency like the Chinese do only to experience
> that sudden loss that comes with a massive devaluation similar to
> the high pay-earner getting fired.
Gold Above $1,000: Indicative of an Imminent Market Fall? [View article]
What's Wrong with Market Speculation? [View article]