All Posts Tagged With: "Us economy"

The US is in Pre-Recession

The Commerce Department has released GDP data for the fourth quarter of 2012, and these numbers indicate a contraction of an annualized .1 percent, which wasn’t exactly a crash, but it was a contraction nonetheless.

If you read my work, you already know that I don’t think there was a real economic recovery, and that we are in a significant economic depression. If you pretend that people settling for part-time work when they used to have full-time work is indicative of job growth; and think the Fed ’s buying $40 billion per month in bonds with thin-air fun bucks is good; and ignore the college graduates who can’t find jobs because they hadn’t entered the “workforce” yet and were thus not officially unemployed – then …


Waechter’s Final Pre-Election Weigh In: No Matter How You Vote, the Economy Will Not Improve

I cast my ballot early. I didn’t vote third-party and therefore my vote isn’t being wasted. It also isn’t going to matter.

Since 1990, the United States has run aggregate trade deficits above $8 trillion. This is funny, because in 1990 the M2 metric of currency supply was only $3 trillion. There should be nothing but dust coming out of the ATM machines. We have purchased entire merchant-fleets full of foreign goods, and paid for it by quite literally printing money.

Foreign countries, being more blatant about their currency devaluation policies, have been willing to go along with this arrangement. The result is this dynamic: The US prints dollars to buy goods from China, and the Chinese central bank prints yuan to buy the dollars. …