U.S. Government's Road to Perdition [View article]
The sheeple get the government they deserve. Politicians will never do anything that might jeopardize their getting re-elected. So "the die is cast". The Fed/Treasury have only one choice. They need to keep the printing presses running at hyper-speed. Without inflation anyone who bought a home from 2004 on will be underwater. The politicians can not let 30% or more of Americans become homeless. Besides, the massive foreclosures would sink every bank in America. So the money will be poured into the FRE/FNM black hole with renewed vigor (another 5 trillion+ on our national tab). Social Security can not be ended, because there would be millions of older Americans dying in the gutters. But Social Security is a Ponzi scheme that make's Madoff's seem like almost nothing. Something has got to give, the only question is when, not if.
10 Technologies that Will Rock 2010 [View article]
All of these nifty products face the severe headwinds of dwindling disposable income. The next downturn in the stock market will only accelerate the trend toward consumers with little or no disposable income. Only 30 million people in the US make the majority of the money. As this market is saturated with gadgets, will the US companies be able to export these ideas/gadgets to growth markets like Asia and India? If you are on food stamps, you certainly aren't thinking about buying smart-phones or expensive tablet PCs.
Like the Mogambo Guru says; "we're all freakin doomed". He also says buy gold, silver, oil, weapons and ammo. If the dollar collapses it will trigger very high interest rates coupled with hyper-inflation (it will take lots more dollars to buy "stuff" (i.e. Gartman's definition: "things that hurt when you drop them on your foot").
The savings rate going up is BS. Most Americans are still in negative savings mode. As more boomers are forced to liquidate assets to survive, the retail buyers will become net sellers. I guess Wall St will just become a circle-jerk with black-boxes trading among each other. We're almost there now anyway.
U.S. Government's Road to Perdition [View article]
10 Technologies that Will Rock 2010 [View article]
TWO FREAKING TRILLION FREAKING DOLLARS [View instapost]
The savings rate going up is BS. Most Americans are still in negative savings mode. As more boomers are forced to liquidate assets to survive, the retail buyers will become net sellers. I guess Wall St will just become a circle-jerk with black-boxes trading among each other. We're almost there now anyway.