United States Heading towards a Depression?

I never said those are the same.

 

Schiff "predicted" the housing crash after the housing market was already showing signs of slumping.

http://www.usnews.com/usnews/biztech/articles/060613/13housing_bubble.htm

http://www.bizjournals.com/washington/stories/2006/10/02/daily45.html

I've heard him say that he wasn't the only one who "predicted" it. Well, out of the 100 or so videos I've watched with him in it, I heard him say it once.

I'm sure plenty of people made huge fortunes shorting financials and housing from 2006 or maybe even earlier, they just weren't all over tv and at every other media outlet blabbing about it.


Also, has the austrian school of thought actually been implemented anywhere in real life?

 

It hasn't exactly had the chance - however in the 1900-1928 period it was almost allowed to - but government still kept its black hand of death close by.

In 1919 we had the fifth biggest market crash and instead of "OH SHI-" we had "OH SHIT!" and by 1921 "Hot Damn!" when we recovered because we alloed for the elimination and liquidation of bad assets through natural market means. I.E. bad companies died.

In the 1929 fiasco and throughout the 30s it was meddled with... and thus the depression lasted well into the 50s until a full recovery was made. Sure, people like to say the war changed it - but the recover actually took until the 1950s. Our brand of capitalism has never really been capitalism. Its best days were in the 1900s to 1910s before really hardcore meddling began. They (Roosevelt and Taft) did a good job of trust busting in those days, and insured fair market practices.

Unfortunately that all died and we got the Income Tax that never went away. Since then it has been controlled, and when something is controlled in our congress - lobby groups change how it works. It change from then, when everyone had a chance, to now, when mostly big companies with friends have a chance.

 

Interesting subject to me, Jackuul, but I'd amend a bit - I don't think it was ever close to truly being implemented, anything approaching Smith's invisible hand, and free markets.

I've spoken on this before, so don't want to engorge the thread with my usual - just to say that as America grew up late, as was historically customary for the late-bloomer western states during the period of intense industrialization (see Bismarckian Germany, for instance), it grew up fast, furiously. That meant heavy state collusion with concentrated capital; zero sense of a "free" labor market, as only one aspect.

 

It was during the era of Teddy Roosevelt that we made much of our labor advancements though. Child labor laws, illegal monopolies busted, a crusade against corruption, and the first realizations that some nature needed to be preserved and protected. Besides the fact that TR was the most badass president to have lived since Andrew Jackson (McKiller Express - He liked to duel people with guns, and had a bullet lodged in his chest).

TR was a man who read thousands of books, yet would go out and take on treks through South America, fight whenever he could (he went blind in one eye from a boxing match in which the nerve was detached) and was not afraid to speak his mind. He took a bullet by an attempted assassination when he ran for the Bull Moose party, which was slowed by a booklet he had and entered his upper chest close to his lung, but he kept on speaking anyways (having a great knowledge of anatomy he examined himself, and since there was no blood coming out of his mouth or having an issue breathing, he knew it did not hit a vital).

Honestly, if I was shot in the chest, even if it somehow didn't hurt, I doubt I would deliver my speech a few minutes later.

He was by no means anti-business. He was very pro business in policies, but hated corruption. Throughout his careers on his way up to the Vice Presidency he fought it wherever he went.

This is why I say we need to develop a technology to bring him back from the dead and make him president again. "In the news today the reanimated corpse of Theodore Roosevelt just ruined everyone's shit again, and new elections will be held for the seventeen now-deceased senators and thirty seven representatives. In related news the former upper echelons of Enron and Worldcom have vanished... and so has Ben Bernake. When asked to comment he only had this to say (quick wipe to clip) 'NYAAAAAAAAAARGHHHH!' That was President Roosevelt. God help us all."




Edit:
Except maybe Washington.
He'll save children but not the British Children.

 

YOu know, a great bio not long ago on public t.v. - missed it, unfortunately. Most of my interest and former study is pretty arcane, comparative historical political-economy of the Western European states (and U.S. industrial history, 19th cent., as only a comparative approach to the European stuff), and I have to admit my relative lack of knowledge of our own presidential history.

Basically, a thanks, Jackuul...piqued me to look more deeply.

 

Yes in 1913 the Federal Reserve was created, thats when the 'meddling began'. They removed the silver and gold money and replaced it all with Fiat money and started a paper ponzi scheme out of the world monetary system.

 

Gold was finally killed by Nixon.

 

Gold is rising.

This vid is for earlpearl http://www.youtube.com/watch?v=XOQe7wjEdy0


(pokes bubble and hides from the burst)

 

I mean backing - not the actual price of gold.

 

Back then, Gold and Silver was not priced in "dollars". They WERE the "Dollars". You will not see the real value of these timeless metals in fiat currencies. Silver for one is way under valued. Back in 60s not too long ago you could buy a Gallon of gasonline for 2 Ten cent pieces. (Silver dimes).
Today? Those silver dimes sell for 10x Face. So still $2. I think you can get a Gallon for 2 buck right? So the dimes never lost their value! You can still get a gallon gas with "20 cents" (If the the 2 dime your rubbing your between your fingers are silver. ).

 

TrimTabs has just published some truly terrifying data regarding the U.S. stock market. TrimTabs reports on insider trading by tracking federally mandated SEC reports filed by corporate officers, directors, and major shareholders.

These are the folks inside the big companies who really know what the economy is doing to their firms. In August, these knowledgeable insiders sold 30.6 times more of their own shares than they purchased — while the market overall is rising. This is the highest level since TrimTabs began tracking this data in 2004.

What this means is that your ordinary sappy investor is getting back into the market — an irrational action spurred on by a massive media blitz in support of the Obama administrations nationalization of key American industries. At the same time, knowledgeable investors are running away from the market as fast as they can.

In addition to these corporate insiders, the companies themselves have also been shedding their own stock holdings. In the last four months, public companies have sold off $105.2 Billion worth of their own shares. Companies do this when they believe that the value of their own shares will decrease. Who would know better about the results these companies are about to publish than the senior management of the companies themselves?

Don’t listen to the talking heads on the news who are trying to sucker you back into the market. Invest in paying off your existing debts. If you have money left over, put it in safe investments overseas. This is a good time to get involved in offshore banking if you can afford to put some money away to ensure your future.

 

Personally Im willing to stick my neck out and predict right here right now that there will be a MASSIVE stock market crash starting the 2nd week of september.

 

That's not really sticking your neck out.

On average since 1896, when the Dow Jones Industrial Average was created, September has been the worst performing month.

It's not even been close, in fact.

The Dow during the average September has lost 1.13%, which compares to an average gain among all other months over the last 112 years of 0.75%. That works out to an average spread between September and all others months of 1.88 percentage points per month -- which is impressively large.

Nor is September's awful record the result of just a few years in the sample. The pattern in fact is remarkably consistent: September was among the worst performing months in all but one of the decades of the 20th century. Only between 1911 and 1920 was its performance above par, when its average performance for the decade came in second. ​

Source: http://www.marketwatch.com/story/how-bad-is-september-for-the-stock-market

 

Thanks for sharing this wonderful information. Now, that we have learned some historical background from you about Dow Jones and September being the worst performing month, we must not get worried about it this month but get our attention to something else. Perhaps, some real solutions to help solve this economic downturn must be pinpointed immediately.

 

It is funny how they can use statistics to "tell" people to sell their stocks. Some of the big guys probably look forward to September.

 

Looks like it might have started early. Were down 160 points and the stock market doesn't close for 2 more hours.

 

Do we even need a stockmarket? If this thing is the source of our economic Woes and sudden cause poverty (For some). You would think we would get rid of it and replace it with something more stable. Seriously. Too many companies issue stock and bonds when they want capital. Want to build a new factory? No instead of using save positive capital, that they actually earned. They'll issue some stocks and bonds... and build it with borrowed money.It's not a surprise to find this is why when something goes foul in the Stockmarket that it ripples threwout the world causing poverty,hungry, and unemployment. God only knows what would happen if the whole thing bottomed out. We would be all screwed. The stock market its not a fun game anymore where you could gamble your money in like it used to be the whole state of the world depends on it, in fact maby even the whole surivial of civilation now so heavily depends on it that if were go really foul by some bad speculators on wallstreet millions of people could go out of work and die of hunger and the world could fall into anarchy. So it specially kind of ridiculous that when we hear of the whole gaming and corruption going on in wallstreet and the stockmarkt in general, how poorly managed this thing we created is being treated.

 

What happens with a companies money when a companies stock goes down? Does it mean that money they were using as investments they can't pay to their debtors or have to find the money elsewhere to pay them until it goes up again? or does it mean they can't take the money and build new projects? It just seems like the stocks fluctuate so much how could a company rely on the money if its constantly fluctuating. Thats what I don't get.

 

The only things that have ever worked to improve economies have been reduced government intervention in the economy and increased freedom for individuals.

But, those solutions are out-of-fashion right now. Stalinism is in. It's hip, it's trendy, it's new and retro all at the same time!

The U.N. General Assembly just awarded Fidel Castro a medal for being the “World Hero of Solidarity” and his butt-boy Evo Morales a medal for being the “World Hero of Mother Earth."

The unpleasant reality is that we're heading into a long dark depression which will impact not only the world's economies but also all other forms of individual freedom.

And the Alt-A Mortgage Crisis hasn't even hit yet.