Quote from Dr. Zhivodka:
I'm not a liberal, nor do I hate America, Capitalism or Christianity.
But the point was that the pooch is being screwed by wildly-insane-liberal- type-of-spending undertaken by this republican administration during "war-time." That is a fact that cannot be denied.
For me to defend deficits is a real devil's advocate position. It's apparent we're going to need amend the Constitution to eliminate deficits. And yes I agree Doc, Bush is the Republican's LBJ. The GOP in Congress mourns the loss of "Contract" players from '94 like Armey, Barr, Largent, Watts etal. The Republican's lost focus but the Democrat's are fiscal death.
IMO, Bush's Keynesian approach to the 2000-2002 economic collapse was proper and needed. I believe too much in randomness to accept a lot of cause/effects but logic says cutting taxes, spending shitloads and cutting rates to nearly zero was the right move. 99% of us thought in 2002 that a MASSIVE depression was months away. It was averted.
The problem is that while rates have moved up and tax receipts rebounded, the upward spending adjustments keep on going. The cost of Iraq is insane, CPI bumped entitlement payouts are criminal and the interest cost on the debt is a few hundred billion a year.
Just the same though, as a % of GDP it's not the end of Rome. Shit I'm trying to build a short position in Bonds and the market acts as if we're running surpluses with $20 crude being pumped.
With regard to the USD....it's obvious by your post that you have not been to Europe lately. Try $12 for a mug of warm swill. A couple of those and fish and chips sets you back $150....for a cheap night out.
If you convert EUR into the old DM you're on those 80's dollar lows. No further than that. And GP was over two bucks (pre Soros trade) in 1992. Nothing new under the sun. Where's the Yen?
Funny story Doc: I got away from the screen this afternoon to lunch with a visiting Chicagoan at his hotel's poolside. He brought along a late 30's German couple staying in the room next to his. We started talking about cars and exchange rates. The German said many older 911's are disappearing from the U.S. and being repatriated into Germany! He said a $20k Porsche here is 20k EUR in Germany. A freakin' reverse grey market!
Asia....that's too funny. The majority of Chinese in the east have a better standard the do most in southeastern part of the US.
Liberals may suck...but in the last several years it's the republicans that have ruined this country.
You haven't visited the Southeast recently. It's booming. Even Jax.
The country has certainly changed. Big time. I'm not so sure though to say that it's declined. It's darker, more urban, more in flux but down here in third world SoFla it's 2.9% unemployed and in the past month FOUR homes out of 150 in this enclave have been torn down in separate McMansion flurry. And none are on "spec." So we can both be negative but the tape disagrees. Out of my vast circle of friends how many are truly suffering financially? Only the one's who've gotten clocked trading. Every 40 something guy I know with a normal job or business is doing ok. People 40 or older own their homes at good levels, own appreciating stocks and are pretty well set. So I'm not ready to make the "easy trade" and say death to America because of illegal immigrants, deficits, Iraq blah blah, blah.
We've chugged through bigger things than this....
