Article

2013-04-01 Economy

State-Wrecked: The Corruption of Capitalism in America

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Posted by DarthVader 2013-04-01 09:39|| || Front Page|| [3 views ] Top

#1 "When the latest bubble pops, there will be nothing to stop the collapse. If this sounds like advice to get out of the markets and hide out in cash, it is." - David A. Stockman

Thanks Mr. Stockman. I'll sleep well tonight.

Posted by DarthVader 2013-04-01 09:41|| 2013-04-01 09:41|| Front Page Top

#2 The state would need to get out of the business of imperial hubris, economic uplift and social insurance and shift its focus to managing and financing an effective, affordable, means-tested safety net.

R&R would have begun the above process. As it is, we have another 3.5 years [at the earliest] to wait.

Posted by Besoeker 2013-04-01 10:00|| 2013-04-01 10:00|| Front Page Top

#3 Cash is devaluing at 10% per year so over the last five years you'd have lost half your value if you held cash. Is it NOW time to bail out of stocks or will the system continue to devalue cash in order to maintain stock prices?

Posted by Glenmore 2013-04-01 10:06|| 2013-04-01 10:06|| Front Page Top

#4 If you really worry about inflation Get out of paper and into farm land and enough firepower to protect it.

Posted by Bright Pebbles 2013-04-01 10:15|| 2013-04-01 10:15|| Front Page Top

#5 Please bring plenty of cash to those farm land auctions. Prices are skyrocketing.

Posted by Besoeker 2013-04-01 10:28|| 2013-04-01 10:28|| Front Page Top

#6 Yep, we are Argentina under Peron.

Of course Stockman conveniently forgets that Bush had a Democratic Congress for most of his second term. Further he does not mention that Clinton was the one who defanged Glass-Stegall which started the entire housing mess.

And the current administration could call all of the loans to Wall Street tomorrow since they are not loaning out the money to main street but playing monopoly on the international money markets with it.

Stockman is right the Wall Street advances are a mirage, if stock valuations were based upon revenues, assets, and inventory as they should be, the stock market would be in the tank.

Lastly, the grand service based economy to get all of those nasty manufacturing jobs out of the US does not provide the high paying jobs or the engineering demand to give consumers the purchasing power necessary to keep a consumer based service economy afloat. Most service sector jobs are one jump from minimum wage and minimum wage doesn't buy cars, houses, jewelry, or expensive vacations. Increasingly only the very affluent can afford to consume...the rest of us middle class and former middle class can only afford to survive.

One last thing, Reagan never said deficits didn't matter, it was all of the democrats in Congress screaming when Ronnie started cutting the pork.

The only reason this article was published in the Times is because it in part blames the current economic mess on Bush. (the TARP was created by the Obamanistas in Congress in the period after the election)

Posted by Bill Clinton 2013-04-01 10:37|| 2013-04-01 10:37|| Front Page Top

#7 One last thing, Reagan never said deficits didn't matter, it was all of the democrats in Congress screaming when Ronnie started cutting the pork.

Yeah, and George Bush Sr. said no new taxes, then the Donk bargained spending cuts for a tax increase playing their usual 'Lucy-Football-Charlie Brown' strategy getting the old fool to kick and then saying afterwards they couldn't/wouldn't deliver the cuts. Of course he became a one term president for being "bi-partisan".

And, yes, TARP was passed by a Congress controlled by Nancy Pelosi (D) and Harry Reid (D).

Posted by Procopius2k 2013-04-01 12:19|| 2013-04-01 12:19|| Front Page Top

#8 There has not been true capitalism in the US for more than 100 years. This is crony capitalism. The government holds all hands and forces all else to sink you ignorant fool.

Posted by newc 2013-04-01 12:28|| 2013-04-01 12:28|| Front Page Top

#9 Stockman's been ranting like this for a while and has a new book to promote. Meanwhile were witnessing the economic destruction of future generations of Americans.

Posted by Anguper Hupomosing9418 2013-04-01 13:21|| 2013-04-01 13:21|| Front Page Top

#10 "were witnessing the economic destruction of future generations of Americans"

More like ALL Americans. ALL Americans.

Posted by newc 2013-04-01 22:09|| 2013-04-01 22:09|| Front Page Top

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