 If We Blow It Up Again It Will Blow Up Again |
Back
in 2007 when I was speaking of the crash to come I noted that we really didn’t
have to worry because our fearless and infallible leaders intuitively know the
remedy. When the bubble bursts they will blow up another bubble.
The
absolute triumph of Keynesian economics in America and the West has never been
more on display than during our rocky journey through the Great Recession. An
economic contraction which our leaders say is over and those of us who work and
live in flyover country know is still grinding us down to the new normal. TARP
was going to save the economy. It didn’t. President Obama’s porkulus stimulus
was going to save the economy. It didn’t. QE 1 and QE 2 were going to save the
economy. They didn’t.
Then
along comes QE 3 with an open ended commitment to pump 85 billion per month into
the economy, and presto-changeo alakazam and miraculously the stock market is
breaking new highs and the real estate market is beginning to revive.
Unemployment keeps inching down and even the Neocons over on Fox are telling us
the cratered economy is showing signs of life. It turns out if you magically
create trillions of dollars and drop them from helicopters across the country
there seems to be more money blowing in the wind. As one very profitable
prophet once said, “It doesn’t take a weatherman to know which way the wind
blows.”
Hang
on to your hats because a booming economy has to become part of the Obama legacy
so that the transition to a centrally-controlled economy can ever be hailed as
the prescription for success. Just as the booming economy of the 90s is
constantly brought up as “The prosperity we experienced during the Clinton
years” so to if any politician ever attempts to restore economic freedom, or
when there is another crash it can be blamed on too much regulation, a
pathological fear of deficits, and return to the old days of greed and
avarice.
Those
of us old enough to remember the Clinton years should know that it was the peace
dividend and the Tech Boom Bubble which fueled the prosperity of the 90s. We
should also remember that it was a phony peace dividend since our military was
engaged in interventions around the world during Clinton’s depredations in the
oval office. We should also remember that the Tech Boom flew through the air
with billions in stock values for companies that made no profit and eventually
delivered not prosperity but the crash of 2000.
Our
Constitution was not written to be not a living document that evolves over
time. The words were never meant to take on new meanings with every passing
generation. The accumulation of case law and judicial proclamations was not
meant to supplant the written political contract that the Sovereign States
individually decided to ratify. However, contrary to the oft stated desires of
the Founders of our nation and the Framers of the Constitution the United States
has evolved into a behemoth bureaucracy. In all bureaucracies instead of the
best and the brightest rising to the top those who learn to pull the levers the
best end up controlling the machine. Often the official leaders are merely
telegenic front men for the powers behind the throne. The grifters who have
gained power through elections filled with ineligible
voters,
outright fraud, gerrymandering,
and a two party system where-in Progressives control both parties use the living
document ruse to turn the Constitution into a dead letter.
Crony
capitalism has replaced free enterprise. Just watch the big gaming table at the
New York Stock Exchange. Its volatile swings are dictated not by innovation,
profits or production they are instead moved by real or projected government
actions. Will the Fed keep creating money out of thin air? Will the EPA impose
Cap-N-Trade? Will the imperial presidency use a foreign adventure to grasp more
power? The banks act as willing accomplices
of the Fed borrowing money at 0% interest and buying Treasuries at 3% helping to
maintain the fiction that we aren’t monetizing our debt and printing our way to
prosperity. The foreigners who
used to crowd the treasury auctions know what is going on. Today the biggest
purchasers of American debt are American banks using the Fed’s funny
money.
How
many times must this Ponzi scheme economy show itself for what it is? How many
times must this self-serving Progressive cabal be exposed for the hypocritical
central-planning neo-fascists that they are? How many articles like this must
be written before enough people wake up and do something? We glory in the
American Revolution. It overthrew tyranny and established personal
independence, individual freedom, and economic opportunity on a scale that had
never before been seen in the world. This is something worth celebrating.
However, the counter revolution has been in progress since Hamilton founded the
first bank and John Adams threw his opponents in jail. The cost of freedom is
eternal vigilance, and today’s generation may be too busy watching the game to
notice their country is being transformed into something
they won’t recognize by the time they get up for their seventh inning
stretch.
Any
semblance of a freely functioning economy has vanished since Progressive leaders
like FDR, LBJ, and BHO birthed government control and intervention as an 800
pound gorilla on steroids. The mirage of false prosperity is once again raising
its crowned head out of the sea of financial calamity it created with the last
bubble. A new bubble is forming and happy days will soon be here again with a
chicken in every pot and a flat screen in every home. How many of our fellow
citizens will be swept up in the coming Obama Boom? How many will be devastated
when it all comes crashing down again?
The
too-big-to-fail friends of the government will be made whole. The perpetually
re-elected and their handlers will have their golden parachute pensions and
plush jobs on K-Street
and at Fannie,
Freddie, and crony filled board
rooms across the country. The only ones hurt will be those who do the real
work, those who play by the rules. When the new bubble blows up the remedy is
ready made: we’ll just blow up another bubble. How could this ever go
wrong?
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