tag:blogger.com,1999:blog-8358039.post8722930793350864604..comments2024-03-25T15:17:04.488-07:00Comments on Captain Capitalism: The "We're Americans" BubbleCaptain Capitalismhttp://www.blogger.com/profile/05620212946121617985noreply@blogger.comBlogger14125tag:blogger.com,1999:blog-8358039.post-55215036132474688372012-03-07T18:58:02.761-08:002012-03-07T18:58:02.761-08:00One thing which you should point out, Captain, is ...One thing which you should point out, Captain, is that because of interest, debt <em>grows</em> if left to its own devices. Of course you know that, and I know that, but I bet half of the people we talk to don't realise it. Not only does debt have to be paid back (by real people anyway), not only does it cost money to borrow, but the debt grows and grows all by itself.<br /><br />I learned compound interest in Grade 6. Our teacher was thorough (this was a long time ago) but he didn't mention that compound interest is the key to the universe.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-8358039.post-90640905977794679392012-03-07T16:30:09.522-08:002012-03-07T16:30:09.522-08:00This is a mistake many people make. They wonder &...This is a mistake many people make. They wonder "Why are Treasury yields so low when inflation is so high?"<br /><br />The reason is that the Federal government buys back its own bonds. Technically, the Federal government sells bonds to banks, and those banks sell them to the Federal Reserve for a profit. The Federal Reserve creates new money to buy the bonds.<br /><br />When trading Treasury debt, the Primary Dealers buy low and sell high. It's a practically riskless trade. That's one reason that big banks have "perfect trading quarters" making money almost every day.<br /><br />The Federal government buys back its own debt, in collusion with the Federal Reserve and Primary Dealers. Treasury yields have *ZERO CORRELATION* with inflation.FSKhttps://www.blogger.com/profile/11903396202330950362noreply@blogger.comtag:blogger.com,1999:blog-8358039.post-64547466578639710932012-03-07T11:33:51.566-08:002012-03-07T11:33:51.566-08:00Aurini,
I'd like to believe that, but the ave...Aurini,<br /><br />I'd like to believe that, but the average American is so satiated, and so ignorant, they're numbed to any concept of just how much trouble we're in. I really don't believe more than half of them understand the difference between a billion and a trillion and just write it off and "big numbers people in the government will take care of" and then go on their merry way.<br /><br />Besides, I still talk to people and they're just as dumb and clueless. People in my industry think I'm a "mean guy" because I get sick and tired of working out loans for dead beats and start demanding payment. The whole society is just so damn ignorant about what it takes to support themselves and never questioned how we've made it this far.Captain Capitalismhttps://www.blogger.com/profile/05620212946121617985noreply@blogger.comtag:blogger.com,1999:blog-8358039.post-29480094545306548042012-03-07T11:28:59.078-08:002012-03-07T11:28:59.078-08:00(Wishing I'd posted this somewhere, so I could...(Wishing I'd posted this somewhere, so I could prove it).<br /><br />I've been predicting since early January that 2012 was going to be a bubble year; not because of the economics, but because of the psychology.<br /><br />People are finally beginning to admit, subsconsciously, just how bad it is. In Nov Dec of last year the media finally started admitting that things are bad - really, really bad - and the the unemployment rate they were telling us was a lie.<br /><br />The direness is beginning to sink in.<br /><br />So what do people do? Well, hey, let's have one final party! We're all going to be laid off in 3 weeks time, with no plan, no idea how we're going to find a job - the economy's going to tank - why not party it up while we still have the chance?<br /><br />A mania born of hopelessness.Aurinihttp://www.staresattheworld.comnoreply@blogger.comtag:blogger.com,1999:blog-8358039.post-33884789592844786462012-03-07T11:20:13.002-08:002012-03-07T11:20:13.002-08:00Other goverments and nations are also culpable. If...Other goverments and nations are also culpable. If other nations actually expected fiscal responsibility from us, or each other, then we would have collapsed long ago. What's real sad is this is a coming global catastrophe. Most people don't realize that the third largest foreign debt holder is the UK, a nation also heavily indebted and that we purchase their debt as well, and that our FED gave their banks money. It's one giant cycle of fraud. And don't look to China since they are even in worse shape in terms of long term economic viability. The crash is going to hurt hard and its going to be global.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-8358039.post-71837000681826826902012-03-07T10:44:57.064-08:002012-03-07T10:44:57.064-08:00I am from British Columbia in 1991 the NDP ( New D...I am from British Columbia in 1991 the NDP ( New Democratic Party) they are the socialist party of Canada. BC is where OWS started not NYC FYI.They are big into socialism up there. <br /><br />Anyways, when they NDP got into POWer IBM, Toyota and all of soon to be real companies backed up and left due to the high taxation. They took the jobs with them and the province has been lagging ever since. I lived there for 30 years . I was at expo 86 I know exactly what Im talking about. BC is the heart of socialism and it's dead stagnant placeAnonymousnoreply@blogger.comtag:blogger.com,1999:blog-8358039.post-16465617192180252132012-03-07T10:25:24.423-08:002012-03-07T10:25:24.423-08:00"They say the lion and the lizard keep
The co..."They say the lion and the lizard keep<br />The courts where Jamshyd gloried and drank deep."<br /><br />"The sun never sets on the British Empire."<br /><br />"The glory that is Greece, and the grandeur that is Rome."<br /><br />"It's not the end of the world, it's just the end of you."<br /><br />"'My name is Ozymandias, King of Kings. Look on my works, ye mighty, and despair.' No thing beside remains. Round the decay<br /> Of that Colossal Wreck, boundless and bare,<br /> The lone and level sands stretch far away.'<br /><br />America too, shall pass. Will anything be left? Of the present era, nothing.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-8358039.post-47407242313737793712012-03-07T10:08:40.281-08:002012-03-07T10:08:40.281-08:00Not so fast Cap. China is starting to forecast a s...Not so fast Cap. China is starting to forecast a slowing growth rate. Down to 7% from 9%. Yeah that's really nothing but China is also manipulating its currency, building its military, and looking at conquest abroad. Our bubble will collapse because of external pressures and forces that the Fed cannot make up for. Namely one where China stops buying our debt or forces us into a conflict in which we either stand up and fight or submit to them.Jimnoreply@blogger.comtag:blogger.com,1999:blog-8358039.post-12749594355143827992012-03-07T09:38:33.738-08:002012-03-07T09:38:33.738-08:00Oh, never underestimate American's ability to ...Oh, never underestimate American's ability to make a bubble last for years. Unless there's a major event (say, obama getting relected), it will be a slow gradual decline.Captain Capitalismhttps://www.blogger.com/profile/05620212946121617985noreply@blogger.comtag:blogger.com,1999:blog-8358039.post-74034457013903535872012-03-07T09:38:33.444-08:002012-03-07T09:38:33.444-08:00Not to mention the ever increasing diabesity epide...Not to mention the ever increasing diabesity epidemic among the young. This delusional thinking is a product of the American Dream and belief in him upstairs.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-8358039.post-26561735718027936812012-03-07T08:34:47.468-08:002012-03-07T08:34:47.468-08:00So what expiry date should our puts have? I am th...So what expiry date should our puts have? I am thinking October.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-8358039.post-31469612359290440502012-03-07T08:30:09.401-08:002012-03-07T08:30:09.401-08:00Debt? What debt? We can just print the money! 15 t...Debt? What debt? We can just print the money! 15 trillion dollars you say? Well, just print a print a piece of paper with a 15 and 15 zeros behind it, have the President and the Secretary of the Treasury sign it and you got yourself a paid off debt. Easy! :-DAnonymousnoreply@blogger.comtag:blogger.com,1999:blog-8358039.post-68324896947909363882012-03-07T07:20:51.666-08:002012-03-07T07:20:51.666-08:00What? You mean it is not Bush's fault?!?! :LOL...What? You mean it is not Bush's fault?!?! :LOL:<br /><br />Sadly, Americans are too stupid to implement this program:<br /><br />http://www.lewrockwell.com/rockwell/30-day-plan.htmlsth_txsnoreply@blogger.comtag:blogger.com,1999:blog-8358039.post-73793386625285730392012-03-07T06:21:07.698-08:002012-03-07T06:21:07.698-08:00I was watching the movie Duel the other night. Ame...I was watching the movie Duel the other night. America is the 18 wheeler that bullied the little Dodge Dart with reckless speed and doing things no mere truck of that size should do. High speeds, going around turns like a race car, flat out full on hardcore driving. So much so that at the end, the driver was so full of confidence that he forgot to hit the brakes and drove right over the cliff.Jimnoreply@blogger.com