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  • The Wilshire's March 2009 To October 2011 Monthly Confirmation Of The Lammert 2005 Saturation Macroeconomic Fractal Pattern 0 comments
    Jan 29, 2012 9:28 AM
    Lammert's Identified 2005 Fractal Pattern

    The Wilshire's or SPX's empirically observed March 2009 to October 2011 5/13/10/7 month :: x/2-2.5x/2x/1.5x-1.6x pattern.

    What causes the Saturation Valuation pattern?

    From 2005....

    An October 2006 Final posting of the Economic Fractalist In response to:
    Adamsmithee | August 24, 2005 at 11:53 AM

    ....... More nutty-theoried pseudo-scientific gobbledygook......

    From The Economic Fractalist.. 25 August 2005 posting...

    " Saturation Curve Fractal Analysis - A Real Science?

    In order to qualify as a true science, the subject entity must be testable by scientific method and have underlying laws that operate in the real physical environment. These laws must be repetitively provable and have reasonable predictability for different applications. Scientific testing in college biology, chemistry, and physics laboratories usually results in experimental values that roughly support the underlying mathematical equations and theoretical constructs. If indeed complex economic systems travel by the simple quantum laws that observational fractal analysis suggests, a similar validity should be testable and provable, retrospectively and prospectively, in the great laboratory of readily obtainable asset valuation saturation curves.

    Valuation fractals represent a composite integration of primarily six elements in the complex economic system: cash and savings; total private, corporation and governmental debt load; ongoing wages; assets; lending practices; and prevailing interest rates. Each of these six broad parameters has its own complex internal dynamics and summation
    characteristics. In a very mechanistic fashion, following simple near-quantum numbers, valuation fractals 'grow' to buying saturation levels and thereafter 'decay' to lower selling saturation levels. The fundamental point to this new potential economic science is that the daily, weekly, monthly, and yearly valuation fractals represent the sum total integration of those six elements and their complex interactive relationships."

    Lammert's Identified 2005 Fractal Pattern


    The Wilshire's or SPX's observed March 2009 to October 2011 pattern is

    5/13/10/7 months ::


    What causes the system's self-organizing Asset Saturation Valuation Pattern?

    It is generically as stated above....

    But why so perfect a self-assembly pattern from March 2009 to Oct 2011?

    It is because of the global macroeconomy's saturated condition. The global macroeconomy is saturated with overvalued, overproduced housing assets - the common large denominator unit of citizen wealth - and cosaturated with mortgage debt that exceed current housing value.

    Global debt load has reached an asymptote and is poised for default implosion...... This debt load is bad debt that will not be repaid and is decidedly disconnected from the artificially elevated on-the-book's asset valuations against which it is based. Global jobs are not needed in an asset saturated environment. Debt repayment is dependent on wages from those unneeded jobs and from further expansion of debt to inflate asset valuations and wages.

    The East has risen as an organized manufacturing power with wages that undercut the needed western wages to meet western debt repayment. The elite bondholders control the European and both US political parties. The sham polarized opposition of the former people's party, the now Goldman Sach's owned Democratic Party - and their bread-and-circus reputed nemesis: the Rentier, Bond Holder, Inheritance-Advantaged, Tax-Advantaged, Lawyer-Advantaged, Lobbyist Advantaged, Rule Advantaged, Petty Cash to Historian and Politician Advantaged : Republican party has created a gridlock of inaction. There are no political moderates left to compromise.

    The powerful world central banks have occupied the political vacuum and provided not only a zero interest rate policy but an absolutely necessary money creation scheme buying ex nihilo their own bonds and each other bonds to support the necessary debt creation to continue the system.

    But necessary Keynesian QE3 debt creation is tenuous in the politically gridlocked system. In 2012 the US collective government, corporate, and private citizen groups - even with corporate and bank bail-outs and with QE1 and QE2 - have fallen ten trillion short of new debt creation that is needed to sustain a historical 9 year debt doubling time.

    This debt doubling time is needed in a forward debt based economy to ensure job creation and inflation of assets and wages to retire previously accumulated debt..

    The debt dependent macroeconomy has reached a 70 year asset supply, asset valuation, new debt creation, and jobs creation saturation area. It is this saturation time area environment supplimented with QE1 and QE2 that created a perfect self-assembling Lammert March 2009 to October 2011 x/2-2.5x/2x/1.5x :: 5/13/10/7 month fractal series.

    But the nodal low Wilshire monthly March 2009 to October 2011 Lammert saturation fractal series is an interpolated fractal series of a larger fractal pattern ....

    The creation and acceptance of the Euro for 500 million people was promoted by providing easy nearly unlimited credit to poorer countries in the union - in a literally too good to be true fashion.

    European banks have lended money with abandon in an historically extreme leveraged manner.

    The resulting economic boom period has ended and short term sovereign debt of weaker Euro countries are reaching interest levels indicative of imminent default.

    AntiKeynesian retrenchment reducing governmental services and worker promised entitlements is the solution theme on both sides of the Atlantic by and for the Rentier bond holding class. The triple A rating of their held IOU's are apparently the deciding factor.

    It is time.... for the debt dependent system to unravel ... expect nonlinear devolution - in traditional tax advantaged equity and commodity asset classes.

    The operative peak interpolated fractal series for commodities and the Wilshire is 9/22/17 of 18/13 weeks - all included in the 1982 x/2.5x :: 9/23 year fractal.

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