Yadda wrote:
on 11/7/09 3:31 PM James A. Donald said the following:
On Sat, 07 Nov 2009 06:57:23 -0600, Yadda<yadda at (no spam) nospam.net> wrote:
Looks like a big crash is coming across all asset classes. The
tsunami will be Option ARMs, Commercial Real Estate, and Leveraged
Commodity and Carry Trade. Probably not until early next year as
the FED/Treasury will be propping up the economy on funny money
until the moment of reckoning. I am wondering if money market
funds will be safe in this forthcoming storm...
Money market funds will be fine in nominal terms, unless you have
long term bonds - but inflation is starting to accelerate. I
predict the next cpi report, due out in a week or so, is going to be
a shocker. Long term bonds will take a beating when inflation starts to bite.

Many are predicting a run on money funds.

Many predicted a full depression.

Didnt happen.


YET...

Yadda wrote:
on 11/7/09 3:31 PM James A. Donald said the following:
On Sat, 07 Nov 2009 06:57:23 -0600, Yadda<yadda at (no spam) nospam.net> wrote:
Looks like a big crash is coming across all asset classes. The
tsunami will be Option ARMs, Commercial Real Estate, and Leveraged
Commodity and Carry Trade. Probably not until early next year as
the FED/Treasury will be propping up the economy on funny money
until the moment of reckoning. I am wondering if money market
funds will be safe in this forthcoming storm...

Money market funds will be fine in nominal terms, unless you have
long term bonds - but inflation is starting to accelerate. I
predict the next cpi report, due out in a week or so, is going to be
a shocker. Long term bonds will take a beating when inflation starts to bite.


Many are predicting a run on money funds.

Many predicted a full depression.

Didnt happen.

Rod Speed wrote
Michael Coburn wrote
Phlip wrote
Anarcissie <anarcis... at (no spam) gmail.com> wrote

Looks to me like spreading funny money around can't generate employment.

Aaaand once again we twist around and stick our head up our ass to avoid blaming...

--> rich people
--> Republicans

The former are holding onto their money, waiting for
someone else to stimulate the economy for them.

So the solution is quite simple.

Nope.

Your bring back the very progressive tax code of 1941 and you print
more money and blow it into the bottom of the economy with stimulus.
The money held in the mattresses of the rich will decline in value

Nope, they just move it out of the country where its not affected by that.

and they must find ways to actually _INVEST_ or
see their wealth eaten by the inflation monster.

Nope, they just move it out of the country where its not affected by that.

It really is a no brainer.

Your approach is completely brainless and wont work. Plenty of
countrys have tried it an they get that result of the rich moving
their money out of the country where its immune from inflation.

Or just put it into gold etc etc etc.

Moving the money to Kooka-Monga is not going to preserve its value

And who you traded with for the gold now has the money.

No matter where the money tries to hide or who owns it
the money will be devalued by the creation of new money.

On the subject of taxation you have a leg on which to
stand in that it might be possible to move yourself outside
the tax jurisdiction in order to evade an income tax.

But in the larger scheme of things it is government
that protects all assets and all ownership.

If the rich attempt to escape to a jurisdiction that is untaxed by
the US government then that jurisdiction should be unprotected.

In other words, if the Chinese wish to nationalize your factory and your trade
names and tell you to suck eggs then you can sue them in a Chinese court.

How's that "capital flight" workin' out for ya?

Rod Speed wrote
Yadda wrote
James A. Donald wrote
Yadda<yadda at (no spam) nospam.net> wrote

Looks like a big crash is coming across all asset classes. The
tsunami will be Option ARMs, Commercial Real Estate, and Leveraged
Commodity and Carry Trade. Probably not until early next year as
the FED/Treasury will be propping up the economy on funny money
until the moment of reckoning. I am wondering if money market
funds will be safe in this forthcoming storm...

Money market funds will be fine in nominal terms, unless you have
long term bonds - but inflation is starting to accelerate. I predict
the next cpi report, due out in a week or so, is going to be a
shocker. Long term bonds will take a beating when inflation
starts to bite.

Many are predicting a run on money funds.

Many predicted a full depression.

Didnt happen.

YET...

Rod Speed wrote
Yadda wrote
James A. Donald wrote
Yadda<yadda at (no spam) nospam.net> wrote

Looks like a big crash is coming across all asset classes. The
tsunami will be Option ARMs, Commercial Real Estate, and Leveraged
Commodity and Carry Trade. Probably not until early next year as
the FED/Treasury will be propping up the economy on funny money
until the moment of reckoning. I am wondering if money market
funds will be safe in this forthcoming storm...

Money market funds will be fine in nominal terms, unless you have
long term bonds - but inflation is starting to accelerate. I predict the next cpi report, due out in a week or so,
is going to be a shocker. Long term bonds will take a beating when inflation
starts to bite.

Many are predicting a run on money funds.

Many predicted a full depression.

Didnt happen.

Wait for the second round.

Its actually added quite a bit of stimulus and THAT
has seen the GDP hike substantially.

Unemployment just rose 0.4% to 10.2% this month

A rate many other countrys would sell their first born
into slavery to get, fuckwit.

The number of employed people continues to plunge.

Another bare faced lie, you silly little pathological
liar.

Long term bonds will take a beating when inflation
starts to bite.

Many are predicting a run on money funds.

The default rate on CRA loans was no higher than
on non CRA loans until the fuckwit clowns completely
imploded the entire world financial system, again.

Rod Speed <rod.speed.... at (no spam) gmail.com> wrote

and they must find ways to actually _INVEST_
or see their wealth eaten by the inflation monster.

Nope, they just move it out of the country where its not affected by that.

Obama is starting an IRS task force to start tracking down those fun and games.

This is a _total_ change from 40 years of regulatory negligence.

The IRS under Republicans (and Clinton) audited the lower-middle
class returns much, much more often than they audit the people with
the means, motive, and opportunity to play financial hide-and-seek.

Your approach is completely brainless and wont work. Plenty
of countrys have tried it an they get that result of the rich moving
their money out of the country where its immune from inflation.

Or just put it into gold etc etc etc.

Note that we tax income, not assets. So if they work for a
publicly owned company, those numbers must be reported...

The crisis began in 2005 November,

Another bare faced lie, you silly little pathological liar.

The crisis was already reaching boiling point when Ronny Raygun slashed
taxes for the extreme rich, and started borrowing to buy huge death machines...

Yadda <ya... at (no spam) nospam.net> wrote

Looks like a big crash is coming across all asset classes. The
tsunami will be Option ARMs, Commercial Real Estate, and Leveraged
Commodity and Carry Trade. Probably not until early next year as the
FED/Treasury will be propping up the economy on funny money until
the moment of reckoning. I am wondering if money market funds will
be safe in this forthcoming storm...

Good. Looks like only the rich will get hit...

Oh, yeah, then they respond by firing as many people
as it takes to generate a tiny bounce in their shares.

All with the blessings of the finance industry & regulators.

Spread out the social safety nets, and tax them to pay for them!

In 1929, the government forbade the market to adjust prices and wages to
reality, causing the great depression.

That is an outright lie. The government failed to regulate credit thus
producing the crash of 1929.

It was not until the country was placed
firmly in the Great depression that government tried to intervene in any
positive way.

That is just because the government is manipulating the cpi, thereby
producing fictitious growth, as in Argentina

What a tin hat nut case.

What an idiot. The percentage unemployed may continue to rise, but the
number employed will typically keep pace with rising population.

on 11/7/09 6:27 PM Rod Speed said the following:
Yadda wrote:
on 11/7/09 3:31 PM James A. Donald said the following:
On Sat, 07 Nov 2009 06:57:23 -0600, Yadda<yadda at (no spam) nospam.net> wrote:
Looks like a big crash is coming across all asset classes. The
tsunami will be Option ARMs, Commercial Real Estate, and Leveraged
Commodity and Carry Trade. Probably not until early next year as
the FED/Treasury will be propping up the economy on funny money
until the moment of reckoning. I am wondering if money market funds
will be safe in this forthcoming storm...

Money market funds will be fine in nominal terms, unless you have
long term bonds - but inflation is starting to accelerate. I predict
the next cpi report, due out in a week or so, is going to be a
shocker. Long term bonds will take a beating when inflation starts to
bite.


Many are predicting a run on money funds.

Many predicted a full depression.

Didnt happen.



Wait for the second round.

Rod Speed wrote
James A. Donald wrote
Rod Speed wrote

We aint even in a technical recession anymore.

That is just because the government is manipulating the
cpi, thereby producing fictitious growth, as in Argentina

Another bare faced pig ignorant lie. Its actually added quite a
bit of stimulus and THAT has seen the GDP hike substantially.

If stimulus was working, we would see employment rising.

Instead it is falling,

and falling far and fast.

http://www.zacks.com/stock/news/27000/Weak+Employment+Report
The October employment report came in
weaker than expected as the country lost
190,000 jobs, rather than the 175,000
expectation. It was, however, an
improvement over the 219,000 lost in
September,

but worse than the 154,000 jobs lost in August.

How does gdp rise, when the number of people working falls?

Are those that remain magically becoming
a lot more productive all of a sudden?

To get the numbers to come out right, it is not
enough to suppose they fired the least productive,

you have to suppose that those that remained got better.

To make the figures add up, you need a sudden
and quite improbable surge in productivity.

Unemployment just rose 0.4% to 10.2% this month

A rate many other countrys would sell their first born into slavery to get, fuckwit.

Because they have long had the same policies as Obama is now introducing.

The number of employed people continues to plunge.

Another bare faced lie, you silly little pathological liar.

See the above link.

The mystery of the magical increase in productivity
comes from valuing stuff at what government pays for it.

Suppose, for example. the government was to buy one
thousand "green" cars from General Motors, guaranteed
to run on sunlight and water if you don't mind a top speed
of four miles per hour, a range of ten miles in the dark
or in cloudy weather, and tendency to fall apart after a
year, able to carry a maximum of one adult, one child,
two small dwarf children, and a small handbag of
luggage, at one billion dollars each.

Then our GDP would magically increase by a trillion dollars,
due to the amazingly wonderful productivity at General motors.

But, of course, this would not really measure
productivity, but waste and madness.

GDP is only meaningful and well defined in terms
of arms length transactions measured against a
standard of well defined and stable value.

Government fiat money is not a standard
of well defined and stable value,

and government transactions are not arms length,

thus heavy handed government interventions to "stimulate" the
economy are apt to "stimulate" the numbers rather than the reality.

Because government transactions are not
arms length, they often fail to reflect production.

If the government pays someone a billion dollars, it rarely means
that that someone has produced a billion dollars worth of value.

More likely it means that dollars are suddenly
worth less than they are supposed to be worth.

Thus, for example, much of the supposed increase
in GDP came from the "cash for clunkers" program,
which in reality reduced GDP by destroying value.

Hence employment and living standards continue to fall, while "GDP" rises.

The "cash for clunkers" program paid people to destroy perfectly good cars,

which was clearly destruction, not production,

yet because the government was paying, the GDP
calculation assumes that destruction was a benefit,

since it values actions at what is paid for them.

If the government paid a hundred million people a hundred
dollars each to each stick their heads into buckets of water,
while hitting their toes with a hammer, this also would be
counted as increasing GDP by ten billion dollars.

Since the activity is paid for, it is supposedly creating value.

If instead of paying people to destroy good cars, the government
had paid them to hit their toes with a hammer, the statistics would
have shown the same purported increase in GDP,

but we would not have suffered a real loss of cars.

Yadda
James A. Donald said the following:

Long term bonds will take a beating when inflation starts to bite.

Many are predicting a run on money funds.

The government has guaranteed the money funds - suddenly they also are too big to fail.

Of course, when the entire economy is too big
to fail then we have a fully socialist economy,

which experience has shown does not work well.