Posted by
heresyarch's Contra Mundum on Wednesday, July 23, 2008 10:53:15 AM
This plot tells it all for all the Federal Reserve apologists. Those who defend the un-defendable should be ashamed of themselves. This plot represents the federal government rip-off of the American public. It represents the out of control spending, the massive debt build-up, and most of all, just about every financial crisis since 1913, and the present mortgage crisis. When will conservatives ever become economically literate enough to know that if you want limited government, you have to starve the beast.
Below plot borrowed from:
http://www.lewrockwell.com/sardi/sardi89.html
Update 7/25. Many so-called conservative Townhall columnists think things are just going along just fine. Concerns about the economy are over stated and over-hyped...e.g. Jerry Bowyer:
Here is for them (compliments of:
Foreclosures Double):
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Another Update: 7/31
Yet another update 8/5/08. The following graph is scary....yes that is an unprecedented spike in 2007. It represents the bailout of insolvent financial institutions. Guess who is on the hook for the bill if those financial institutions cannot repay? Fundamentally, financial stocks will be a mess for long while, and I suspect it will have a reverse multiplier effect. Just as money that is created out of thin air by the Fed has a multiplier effect. So, too is money that is erased from thin air have a multiplier effect. Worse yet, we still have to endure an negative amoritization loan implosion (which is coming to a bank near you):
Source:
Link to St. Louis Federal Reserve
The fact that foreclosures are still on the rise is cause for great concern. We are approaching another round of crisis due to negative amoritization loans. The government's solution is to delay the inevitable at taxpayer expense, using all kinds of gimmicks such as credit swaps, exchanging bad debt for US backed Treasuries . Its time to worry the empire is indeed crumbling from within. Even Obama the Messiah, is powerless to stop it.
Speaking of which: This is worth a read
: The Light of the World Is Pitching His Tent In Our Midst...and again we didn't know it
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