Wednesday, August 30, 2017

Darwinian Nation State. Darwinian Ending

When a Republican President can't even pass a tax cut - the holy grail of Supply Side Voodoo economics -  after 7 months in office, despite having control over the House and Senate - you can assume the game is over...

Henry Ford II: "Walter, how are you going to get those machines to pay your union dues?"
Walter Reuther: "Henry, how will you get them to buy your cars?"

Whether these quotes are authentic is not the question - they pose the very relevant question as to what rate can "creative destruction" proceed before it kills the host.

It's too late of course to ask the question, because an Idiocracy has no questions, they only have answers and massively misallocated capital.

"how will you get them to buy your cars?"

Unfortunately, by the time everyone is on the same page, it will be too late. Because this is a society that never learns. It's a 100% pure Idiocracy, accept no substitutes. 

And the generation that led us down a blind alley will not be the one that gets us out.

One thing we know with certainty, is that machines don't sleep and they don't get Labour Day off.

Which means that this will all end "overnight", as global risk gets imported via S&P 500 futures:

"August jobs data due on Friday will be the first potential catalyst of many in September that could either revive a sliding U.S. dollar or clear the way for further weakness, analysts said. The dollar on Wednesday registered some gains, thanks to a weakening euro and supportive U.S. data on Wednesday, including ADP’s private-sector employment numbers and revised second quarter gross domestic product data. And while economists warn of reading too much into ADP numbers as a bellwether for other data, they have set a positive tone ahead of Friday’s nonfarm payroll"