I was using hyperbole to make a point that there are only a handful of corporations that are behaving like they're "running out of time and they should steal as much as they can before the cops arrive." It absurd to conclude that the US does not produce "viable and profitable" corporations but Eonron-like corporations. Your ad hominem arguments ending with silly smilies are very mature as well.
How about you learn to read balance sheet and financial statement and study some of the companies that today are pushed through stock market as investment grade stocks and then we can discuss. Look at myspace, face book, ... do you really think that any of these companies have a chance in hell to make any money based on today's valuation? You can have your money in bank and make more money than most of these type of "investments". Do you really think that the money managers in different funds don't know what a junk most of these companies are? Have you ever seen the internal memos from investment firms and their experts who were making fun about companies and stocks that they were recommending to people to buy?
Ha, too bad that I am a securities analyst; I go through many financials. What do you mean by "most of these type of 'investments'"? Are you talking about mega-caps bidding for social networking sites like Facebook, or the general public investing in certain companies?
You are right, it isn't the United States itself which is the problem, but the people who run it. The politicians don't follow the laws, they break it all the time. The Constitution is violated so many times that its a wonder it hasn't already been dismantled. The central problem in America is that the people no longer make the rules. The government and corporations which control it make the rules. This is precisely why the country is in a decline.
One thing the Ron Paul supporters seem to be missing here is that electing Ron Paul will not change the activities of the Fed. The Fed is an independent organization. The President does appoint the Chairman, but the Chairman does not report to the President. He does not take direction from the President or Congress. The Fed is independent to prevent the goofballs in politics from manipulating the US currency.
If Ron Paul became president, getting rid of the Fed would be simple. Here is how it would work: 1. Ron Paul states his case before the American people, and explains how the Fed is destroying the economy. 2. Americans agree with Ron Paul, and urge Congress to Shut down the Fed. 3. The Fed gets shut down, at gun point if necessary. There you go, problem solved........all you need is a consensus, and I would be the first one to vote for the Fed to be destroyed. Umm, the Fed is manipulating the currency, that is the precise problem. We don't need a central private bank loaning money to the government, because that bank then controls the government. The Fed doesn't fix problems, it causes problems. It causes problems by printing so much money into circulation that inflation eats up the wealth of the Middle Class. The Fed also causes problems when they loan money to the use government. When you're in debt, you have a tendency to be controlled by those who owe money to you. This means that the U.S. government is controlled by the Fed. A lot of people don't realize this, but Ben Bernanke is FAR more powerful than George W. Bush. He is powerful precisely because he controls the money supply, and is the chairman of the bank that loans money to Bush. When Bush needs more money for his quagmire wars overseas, he looks to the Fed, the Fed doesn't look to him. All the shareholders and members of the Fed are not made known to the public. If these shareholders are foreigners, that means foreigners are in control of the Fed, and thus the U.S. economy. This is why only the U.S. government is supposed to be able to regulate and coin money via the treasury.
I mean both, there are so many of these "investment" jokes that is not even funny. They just depend on never ending inflow of capital to the stock market to push up the price of stock, who cares that the rate of return in their business is 0.5%. Look at the management of these companies. Have you lost couple of billions of shareholders money? No problem, here is 200 million for you, so you won't feel sad because you have to leave for having been a total failure. After all who cares, hundred million here or there? It is not our money, it is the pension funds and other suckers money. It is very hard today to get money for manufacturing or any type of real business since the return is not sexy enough. Make a BS company or a financial product, fool the people to part with their money by making them believe that they have found the next gold rush and you will have a home run.
I highly respect Jim Rogers but he is wrong when he says that Bernanke cut interest rates to bail out the stock market the reason Bernanke cut interest rates was so that the money would start flowing back to the credit market, in August and September unless you were the government no one wanted to buy your debt which is bad for the economy that’s the reason he cut interest rates. Also he talks about the US economy being in recession, if the economy was in recession then oil wouldn’t be at $94 a barrel and other commodity prices wouldn’t continue to keep going up.
There is a difference between being profitable and the valuation of the company. Facebook will be profitable this year but is it worth $15 billion that's a different question. Myspace was bought by New Corp for about $600 million they sold 3 years of advertising to good for $900 million, did google overpay for advertising? Maybe but let the market decide what the value of companies are.
That is exactly the problem. Market is not buying these companies with it's own money, it is the money of all the suckers who are putting money in pension funds or are fooled by other means to buy in to the hype. What is a value of a company if not based on it's profit. The company should not exist as tool to rob people but to produce a value. Would you like to invest your money with me when I will pay you 0.025% in interest and I don't even pay it out to you the money that you earned in interest until one day may be I decide to pay you?
Actually the market is buying these companies. Its not pension funds who bought myspace it was News Corp and I say they stole Myspace for $600 million. No one forced Microsoft to value facebook at $15 billion but they did and gave them their own cash as an investment. Maybe you don't see the value in these companies but others do that's what's great about our economy and market.