What separates the U.S. from developed nations is its willingness to exploit its own people. The exorbitant cost of being "exceptional". The Banana Republican party has a special predilection for preying on their own dementia'd hillbillies. After all, who wouldn't fish at their own trout farm. Hard to believe, but taking from the poor to give to the rich, is never "reflationary", any more than a bank robbery is accretive to GDP. The problem with the Darwinian model is that eventually you run out of people to use up. And that's when Wall Street's Magic 8 Ball-derived forward earnings estimates turn back into a pumpkin.
America is becoming blighted by self-inflicted stupidity and denial. These are the back to back headlines in my newsfeed:
First article:
"First came Hurricane Irma, which clobbered the Florida Keys and parts of Lee and Collier counties last September. Then came the toxic red tide and blue-green algae on both coasts. Now Hurricane Michael – a near-Cat 5 storm that pounded Panama City and reduced Mexico Beach to rubble – is again testing the state’s tourism industry. Can it recover?"
In the second article, Larry Kudlow, like so many other industry-owned bukkake whores fashions himself a climate scientist now. He's not even competent in Economics. However guess who is finally coming around. That's what a good ground and pound will do for you.
"Sen. Marco Rubio (Fla.) acknowledged the scientific consensus that humans are the chief contributor to climate change."
Speaking of sleazy Larry and a good ground and pound, what happened this week is that the global liquidity crisis that has afflicted the rest of the world since the tax cut came into effect, finally reached U.S. shores. Catalyzed by a "better than expected" jobs report. The tax cut inflated the fake wealth bubble via the stock market, and the tax cut is now imploding the bubble via the bond market. Case closed. The casino is up a mere 2.5% on the year, despite an asinine trillion dollars down the stock buyback shit hole. Four percent of GDP. Now the only global dollar "liquidity" is in the Cayman Islands.
The biggest theft in human history without any comparison:
But don't take my word for it.
"What roiled the stock market this past week wasn’t the short-term rate targets set by the Fed, but the longer-term yields set by the bond market"
“European banks are running out of borrowing capacity,” Goldman writes. “After five years of negative short-term rates, their profitability is low, their stock prices are falling, and their credit is deteriorating. They can no longer borrow the dollars required to construct the hedges that local investors need.”
ZH: Ground Zero Liquidity Crisis
“Putting it simply – the soaring U.S. deficit requires an even greater amount dollars from foreigners to fund the U.S. Treasury"
Getting back to the bigger picture, the U.S. has become a Third World nation as indicated by George Orwell in 1984. The Inner Party consists of Bill Gates types who say the world has never been better, while making it their life's mission to justify their obscene wealth. If it's so obviously better, then why does it require you to prove it? What technique will you use, Jedi Mind Trick?
Then, there's the Outer Party, the Brett Kavanaugh's of the world. Privileged frat boys protected by other privileged frat boys. Whose life mission is to ensure there's always plenty of (other people's) skin between them and the dirty work.
Alternatively, there's the developed world model. Which is waiting for those who aspire to be something other than a lying sociopath.
