BI April 10, 2015
This is the 6th longest US economic expansion since the 1850s
Make that the fifth longest as of today, all compliments of borrowed money...
The borrowed money "expansion" visualized
GDP-debt (year over year change, $billions):
The Idiocracy has stumbled upon the new El Dorado aka. "effortless wealth".
To paraphrase:
"David Rosenberg argues that expansions don't just die arbitrarily of old age"
"Extend and pretend can go on forever. It has no preset time limit. Our forebears had no idea that this was even possible. We've discovered the motherlode"
"According to the logic that the economy is in no way improving with respect to employment and capacity utilization, therefore the measures taken not to improve it can continue forever"
"The problems with the economy and the stock market don't start with the first rate hike, but rather the last one. So as long as you never have a first rate hike, you never have to have a last one" [Holy fuck, we're doomed]
"Even if the Fed were to begin tightening as early as September, the historical record would suggest that the next downturn would not start until the third quarter of 2018. Worst case scenario..."
Since we've skipped the whole "first rate hike" formality, I counted the duration in months from peak interest rates to when the stock market became as weak as it is now:
9 months in Y2K. Two years in 2007. And since interest rates (black line) just peaked in August: one month:
This can't all end as more of a shock to Econo-Dunces and their greater fools that follow
