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  • The Great Japan Debate  [View article]
    Japan won't default because they have complete control of their non-convertible fiat yen as the sole source supplier, and it's most unlikely their government officials would "vote" to default with no logical or rational basis upon which to make that decision.

    Additionally, based on Mr. Morton's assessment above, the odds of hyperinflation anytime within the next 20 years would appear to be very low indeed.
    Jan 23, 2012. 02:55 PM | Likes Like |Link to Comment
  • Stock Outlook: It's Not The Economy, Stupid  [View article]
    My intuition is that the European QE will continue to support a melt-up for a while.
    Jan 22, 2012. 02:18 PM | 1 Like Like |Link to Comment
  • U.S. Recovery Producing Unexpected Results  [View article]
    Hey SanDiego.............

    How dare you ask someone to actually use logic and consistency in their talking points! :-)
    Jan 22, 2012. 02:10 PM | 1 Like Like |Link to Comment
  • The pay restrictions GM agreed to as a condition for receiving government aid in 2009 could hurt its ability to retain top employees, claims North American chief Mark Reuss. 13 months after GM said it would seek a relaxation of some pay restrictions, many remain in place. (earlier)   [View news story]
    Yep, only the "top" employees are valuable. The workers (the "bottom" employees) aren't worth a dime and should be paid as such....
    Jan 11, 2012. 01:58 PM | Likes Like |Link to Comment
  • Wall Street Breakfast: Must-Know News  [View article]
    It is ridiculous to think that one arm of government will be allowed to maximize the fines/penalty to banks when another arm of government is furiously trying to pump money into banks at the same time?
    Dec 15, 2011. 11:05 AM | 3 Likes Like |Link to Comment
  • Wall Street Breakfast: Must-Know News  [View article]
    My understanding is that regulators have found where the funds went, but that does not mean that all the funds will be recoverable.
    Dec 15, 2011. 07:48 AM | 5 Likes Like |Link to Comment
  • Market Outlook 2012: Seeking The Holy Grail  [View article]
    "Corporate profits, retail sales in 2011 were very strong. And still the market didn't get nowhere."

    Maybe he is saying the markets will catch up to your chosen economic indicators sometime in the first quarter.
    Dec 13, 2011. 10:57 AM | Likes Like |Link to Comment
  • Wall Street Breakfast: Must-Know News  [View article]
    We can debate whether runaway printing is good or bad 'till we are both blue in the face.

    The bottom line is that saying "we don't have it" is not correct. We DO have it. I was not addressing the amount of currency in circulation... only that we do, in fact, have unlimited cash available because the government creates it.

    We're talking 2 different issues. I have $100 in my pocket. Whether or not I should spend it is a different question. The $100 bill is still in my pocket.
    Dec 13, 2011. 10:34 AM | 1 Like Like |Link to Comment
  • Wall Street Breakfast: Must-Know News  [View article]
    ".... Spend trillions we don't have....."

    Actually we DO have it. The Treasury + Fed created it. The United States is it's own monopoly sole source supplier of our US dollar denominated currency.
    Dec 13, 2011. 07:54 AM | 2 Likes Like |Link to Comment
  • 5 Terrifying Charts Driving Me To Gold  [View article]
    The government (Fed+Treasury) actually create money. It is the sole monopoly supplier of US currency...... and therefore can never run out of money. It prints and can create out of "thin air". Bonds do not need to be "issued" for the government to spend money or pay it's bills. Just say'n.

    Debating the amount of money created at any given point of time (too much? - not enough?) can be debated forever. The point is that the US does not really need to borrow money. When I buy a US Savings Bond as an investment...... is the gov't borrowing money, or am I saving for the future? Think about that.
    Dec 9, 2011. 08:25 AM | Likes Like |Link to Comment
  • Monday Market Movement: Do It Again  [View article]
    I love it when so-called "smart" people think they can reduce the size of government by reducing taxes. "Starve-the-Beast". Ha Ha

    You can't starve the beast when the beast makes it's own food. The government is the creator of money. Taxes don't fund spending, you silly rabbit.

    Until people wake up and start understanding how our fiscal/monetary system actually works....... they will have no clue about what it is they really want.
    Dec 5, 2011. 01:11 PM | Likes Like |Link to Comment
  • We May Be Much Closer To A Defining Moment Than Monday's Market Rally Would Suggest  [View article]
    My guess is that Monday's action demonstrates what is going to happen (on a larger scale) when everyone finally realizes that Europe is not going to collapse.
    Nov 29, 2011. 08:06 AM | Likes Like |Link to Comment
  • The 5 Most Important Political Trends Investors Should Watch In 2012  [View article]
    Supreme Court and Obamacare are 2 very small grains of sand relative to a very, very large beach.
    Nov 25, 2011. 10:48 AM | 7 Likes Like |Link to Comment
  • Wall Street Breakfast: Must-Know News  [View article]
    Thanks for the link, robert.

    I would fully support the Tea Party proposal if the economy was overheated, employment was at 4%, and inflation was on the rise.

    Unfortunately, that is not the case at the present time..... so that plan (medicine) does not fit the situation (illness) that we have at the current time.

    Two or 3 or ? years from now when/if the patient is in full recovery mode, then I would fully support those recommendations.

    The hard part is to separate the "politics" from the "purely economic".
    Nov 22, 2011. 04:39 PM | 2 Likes Like |Link to Comment
  • Wall Street Breakfast: Must-Know News  [View article]
    robert -

    That sounds like a very reasonable suggestion until you realize that the trade deficit and population growth requires an increase in the US currency base. As more people inhabit the US, and as more dollars leave our shores due to trade imbalances, then the government must deficit spend dollars into the economy to off-set these losses. Otherwise, there would be fewer and fewer dollars for commerce to take place.

    Have you ever tried to use the barter system to buy a house? It's pretty hard. Most people want to be paid in dollars. The bank won't even take my gold bars as payment...... I have to convert them to dollar bills before the bank will take payment. We have to sustain a certain amount of currency to keep the system moving.
    Nov 22, 2011. 02:05 PM | Likes Like |Link to Comment