Dr.Jackpot

The Unsustainable Lie of Inflation

I have gone back over all the prices I have known about (cars, houses, movies, candy, cloths, etc) from 70 years ago and I have taken the 70th root of today's price divided by the price 70 years ago. The results are consistant at 6% compounded over the 70 year term.

The Unsustainable Lie of Inflation

IF inflation is a change in the spread between what you get and what you need to spend which of the following is inflation?

1. Your income stays the same but prices rise.
2. Prices don't rise but your fixed retirement income from savings plunges to .1 % due to Federal Reserve manipulation.

The Bond Investor's Dilemma

The story continues and is the same. Money has to come from somewhere so "shaft the savers" (but keep touting to save) and entice young spenders to buy, buy, buy. Give'em the free money you just stole from the savers. Don't pay any interest on the $250,000 the retiree has in the bank. He's old and can get by on beans. The young guy needs a new convert and look at the profit we will get. No one will challenge Greenspan or Bernanke since the 'take' is free.

Recession Is Over; Depression Has Just Begun

with all this thinking and study, why does no one mention the simple core problem that caused all this? That is the policy of Alan Greenspan to take from savers (no interest paid) and give to spenders.

On the Burden of Home Ownership

Years ago I tried living in the back of a VW bus and taking a bath using a cold gallon of water poured over my head while standing outside naked in the dark. But I have come to prefer my pristine acre of ocean view property in a heavenly surrounding. The fact that it is now only worth $2 million instead of $4 million doesn't worry me too much since I bought it 40 years ago for $39,000. My advice would be 'get one' and keep it and stop watching it like a stock every day. Not having a home is like not living.

Greenspan Yet Again Blames Others for Housing Bubble

At age 78 I am absolute irrevocable living proof that Greenspan's low (no) interest rate policy was and still is the greatest legal theft of all time. I entered my retirement with my life savings drawing what for years and years was considered reasonable interest returns on T bill, CD's, etc. As my retirement income steadily declined towards zero, low (no) interest rates fostered overspending by the young on all manner of purchases thereby driving up prices of homes, cars, food and about everything else. Banks had a field day on fees. Huge bonuses were paid to Wall Street clerks. It was if the Fed was saying to me----"You better buy stocks or we're gonna starve you out". And they could last longer than me. Who would complain? I wrote a letter to the Federal Reserve Board and received a reply that they realized my predicament but it "was for the good of the country". Since nobody has any sympathy for anyone who actually saved and 'has anything' my complaints have always fallen on deaf ears. Well, now the results are out and people are looking for the culprit. I think he's been found.

Bernanke Seems Clueless About the Real State of the Economy

Why isn't Greenspan being held accountable????

Financials Getting Slaughtered

Someone wrote this morning that Alan Greenspan favored nationalization of banks. Wasn't he the whole cause of this ripoff in the first place? Is there no justice called for here?

Stocks Are Doomed, Only Cash or Precious Metals May Survive

A friend went to buy a loaf of bread using a gold coin. He said he tried to bite off a small piece of gold from the coin but that broke his tooth. So he went to the dentist who used the gold to rebuild his tooth. Then the dentist pulled the tooth out to get the gold to pay for his service. This must be why paper money was invented.

Radical Solution to Housing Mess

I drove around southern Cal and noticed large areas of tent camps set up by foreclosed families. Naked kids running around in trashy waste filled fields. That sort of thing. Went over to Arizona and saw the same thing. Must have been hundreds trying to stay out of the wind. There's so many empty homes because nobody rents them. Everyone has moved into some kind of hobo tent camp. So this means there's no rental market and people don't actually NEED a roof over their head. This must be the reason all these homes are empty. I though that when someone moved OUT because because of foreclosure they moved IN somewhere else, thereby keeping the occupancy rate in balance. Obviously I was wrong so millions of homes will probably sit empty from now on.

The Housing Bubble Isn't Funny Anymore

90 % are paying their mortgage. The rest are deadbeats taking advantage of the situation to cop out at taxpayer expense.

The End of Gold, Part Two

I go by the rents in the Bay area. As long as a cubby hole apartment rents for $1,800 + there's NO deflation.

Preferreds Get Crushed Again

One reason could be that banks have the right to suspend preferred dividends for 5 years without your permission. However they must pay at the end of that time all back interest. Another is fear that GOV will demand no preferred payments for their help they're giving. Other than that, there are some great yields right now.

Is the U.S. Solvent?

I'm really scared. Will there be enough left over for me to get a new Apple laptop?

The Origin of Financial Crises

No-------it's not a mystery at all. Alan Greenspan's low interest rate policy was to boost banks at the expense of savers (who else had money ? ?) and it finally caught up with him. But at .00005% return our retirement has been confiscated. That double talking #%//>** !!!