Rokjok777

When Central Bankers Clash, Stock Markets Can Crash

CLH - to say that the guys with all the guns will win does ignore plenty of history. The Romans had all the guns; so did the Dutch; then the Spaniards; then the English. For a brief time so did the Americans, but it seems the game is changing. Power follows money and the money gusher right now is flowing to those with oil. America's main asset right now seems to be entities that can borrow & consume: citizens and the government. Once that source is completely tapped (seemingly any day now), we will see how much Power remains under American control. And the Pentagon just announced they need $1.2 billion more this month due to rising oil costs...which of course the U.S. will need to borrow...

When Central Bankers Clash, Stock Markets Can Crash

I'm really starting to understand the problems with fiat money. There is just too much temptation by central bankers to run the printing presses and play other games. No matter what policies, charters, or mandates they have in place, the political pressures are just too much over time. On the one hand, fiat money allowed unprecedented economic expansion in the 20th century. In the end though it's a castle built in the air. Also liked the comment on energy being the linch-pin to our solution. It's the one input to the equation that can really allow ingenuity to triumph over these headwinds. We have the know-how. Unfortunately America is utterly hostage to Big Oil/Big Military/Big Pharma/Big Retail and let's not forget Big Wall Street!