Tuesday, October 6, 2015

America's Economy Is A House Of Cards............THE DECLINE OF AMERICA!

America's Economy Is A House Of Cards

Once again via a stunningly dismal monthly "jobs" report we were shown just how inept the Federal Reserve is in its ability to deliver a qualitative as well as quantitative resolution to one of its core mandates. Only if you use the "math" now prevalent as well as rampant within economics can one look at any part of it and say "the economy is creating jobs" without bursting out in laughter, or, busting out in tears.


The markets are beginning to show just how tall and flimsy this house of cards built on QE quicksand has grown. 

And the coming shifting sands have only just begun with onerous consequences for everyone involved. And this all could have been avoided if the Fed. had relinquished its insertion into the markets back years ago and had let the markets rise and fall on their own to find its equilibrium.

The problem that's taking place right now within the economy is exactly what you get when you take a free market economy and try to impose a command and control blanket over it: you smother it.

The Ivory Tower academics have no real understanding of what "free" actually entails when it's expressed through the economy as a whole. The ability to build a better mouse trap, or, solve a previously unsolvable riddle all while charging a price two parties can both bear, profit by, and have satisfaction in the transaction does not, nor ever will take place within a command and control base. Ever.

Ivory Tower academics, intellectuals, and economists are not only clueless, it's their wanton indignation of these facts that move their policies beyond destructive right into outright dangerous territory for any free market based economy.

The only one's that can benefit from such a business environment are those that gorge and reward themselves via the availability current Fed policy fosters. And the name for it is: crony capitalism.

The Fed's QE program has adulterated valuations so much it will be a wonder if we ever get back to a more normalized set of business values let alone their valuations and away from this calamity.

The Fed needs to stop its meddling. Stop trying to add one more extension to their already over extended Rube Goldberg inspired monetary policies and get the hell out-of-the-way.

Markets only 
right themselves with economic pain… That's Capitalism. Back room manipulation to avoid that pain only increases the severity of it down the road.

If one cares to see just how much pain might be in the near future, all one needs to do is look at a chart of one's favorite major index. For it's not a pretty picture of health by any stretch of the imagination even if viewed through rose-colored glasses.

The Fed has created a playing field where now even their economic 
Unicorns are going to come up lame only to limp right past the illusionary greener pastures and straight to the glue factory.

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