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Fuel

David / November 3, 2010 12:32 AM

I'm surprised knowledgeable people are gushing about the special significance of losing President Obama's former seat for the next term. Surely there's a special symbolic value to the seat, but, otherwise, it's not a particularly distinctive loss. The seat was previously held by a Republican, and Obama claimed the seat in an usual situation following the implosion of the Republican candidates. It's a victory for the Republicans, but I don't think there's anything particularly special about it.

sbfren / November 3, 2010 12:59 AM

um... sadness? and just very tired.

vise77 / November 3, 2010 9:03 AM

Just a general feeling--and this applies to both parties--that this is NOT one of those times in American history in which a great leader seems likely to emerge in a time of (prolonged) crisis. Instead, I see a collection of wimps, village idiots, political narcissists and other useless assholes instead of anyone with great leadership potential who has both the skill, courage, toughness and smarts to craft policies that will really help the country even if those policies piss off the various bases.(Again, this applies to both parties.)Sorry, but Obama ain't it. And neither is any current elected official from the GOP as far as I can tell. Get ready for another two years of nothingness.

As an American citizen approaching her 40s, and worried sick about her country and how her life will be, this makes me both sad and very, very angry.

TheSassQueen / November 3, 2010 9:29 AM

I thought Giannoulias' speech just before midnight was exactly the heart that Kirk was missing. We need someone to be the face of the people- humility, dignity, candor, poise. Kirk and his ego are not the face of IL but I am eager to see what he makes of his time in office. I'm ready for unemployed friends of mine with Masters Degrees to finally find work that fulfills them. So, alright Kirk... let's see what you've got.

Side Note- Glad to see your first line of business is to start drinking on the job, Kirk…

Z / November 3, 2010 9:31 AM

Well, the Obama agenda lasted two years before being rejected. Thats not really surprising. He'll be looked at as an accident of history.

Now the focus is on to the Fed announcement this afternoon. If Bernanke announces more "Quantitative Easing" (nice branding for printing money), the global market will trounce the US dollar.

If the US dollar loses its value, then we will see the price of commodities rise sharply, in fact we have already seen this over the last months. When commodities prices rise, this will result in higher prices for simple items like bread, meats, clothes, and energy. These are items that people cannot live without and the effects will be felt most by the people who can least afford it.

If the leadership of both parties do not cooperate to stop the tax increase that is schedule for January, then even the lowest tax bracket workers will face a 5% increase in their income taxes. Add that to rising prices on essential items and we will experience another era of stagnated growth (all the while the TV idiots will point to higher consumer spending as "green shoots")

flange / November 3, 2010 10:18 AM

meh, things turned to shit when reagan stole the election and haven't been any good since. yesterday? just another statistical fluctuation.

jjj / November 3, 2010 11:28 AM

Mixed feelings.

I wasn't a huge Giannoulias fan but I still voted for him (lesser of two evils). So I was a little disappointed but not devastated by his loss.

I'm glad Quinn is still hanging on to his lead. But I fear there will be a long recount.

I'm really glad Angle lost in Nevada. That was the one non-Illinois race I was watching closely. I can't believe how close that scary woman came to being a senator.

I would have preferred the House remain in Dem control, but at least now the Republicans will have to take responsibility for some things. It's not the end of the world.

Overall I'm just happy the election is over.

jjj / November 3, 2010 11:32 AM

vise77,
Are you saying that you're angry about the outcome of the elections or just angry in general? Would a different outcome have made you less angry?

Mucky Fingers / November 3, 2010 11:55 AM

There's absolutely nothing 'historic' about this election. Eisenhower, Truman and Clinton all saw mid-term elections with equal or greater changes in Congress.

It looks like the oncoming 2012 Republican campaign of Fuck That Nigger is taking shape.

I'm glad it's over. The politicians - and the people who invest in and believe in them - are ugly, misguided fools.

Spook / November 3, 2010 1:06 PM

I think almost every person who's had to deal with a bank( for foreclosures to
refinances to small business loans) in the past two years either voted green, voted republican, or didn't vote.

Obama's Tarp program expansion followed by his half-assed and tepid stimulus, cost us the U.S. house, the economy, and next the Presidency. And will be remembered as two of the worse decissions of any President behind LBJ's decision to escalate the Vietnam War and Bush invading Iraq.

As the scientist with the eye patch said in the extended version of George Romero's Dawn of the Dead, " They've got us in a hole economically, only were in another war and were down to the line folks, down to the line!"

R / November 3, 2010 3:21 PM

I still have faith in Obama's second term.

vanessa / November 3, 2010 4:05 PM

In my precinct where I am an election judge (in Berwyn), 25% of my registered voters turned out to vote. 25%. That is an awful turnout rate.

It's a privilege to vote and not enough people give a rat's ass about it and that makes me sad. Also, many of those same people that do not vote are the ones that bitch and complain the most. Which just pisses me off.

Maybe if some of those people voted, we wouldn't be in this position.

fluffly / November 3, 2010 7:33 PM

What R said. Only in America do people become so disilusioned so soon. Everyone wants instant relief.

2nd Term?!? Ha ha... / November 3, 2010 9:55 PM

What is the root of disillusion?

Are you saying only Americans fall for illusions?

Spook / November 3, 2010 10:30 PM

Wrong Zzzzzzuffy, Americans are long suffering victims of blind American Exceptionalism.

I'd chop it up with you, but It's clear like with R, it's just more typical "I need to believe" vs a need to understand what's going on and I'm sure your apple hasn't fallen to far from that American cherry tree, unless you're ready to back dat thang( your opinion) up!

I also reckon yall aint heard tell of no Barbara Ehrenreich!

Yea fo show, I'll be ya huckleberry, but you can be ya own Candide, ya heard?

David / November 4, 2010 9:16 AM

The Republican Party is ascendant to power again, based on a carefully coordinated and disciplined campaign of disinformation, misdirection, xenophobia, and outright lies.

This is not surprising. In a way, I respect them. They made a plan, stuck to it, and it succeeded beyond their expectations.

But I see a couple of bumps in the road ahead. For one, an utter lack of a credible presidential contender could prove a problem. And I still don't think the Republicans have figured out a way to co-opt Tea Party sentiment and still push a responsible economic agenda. That's why, frankly, they seem to be pursuing such a wildly irresponsible economic agenda.

The thing that people across the country, regardless of political persuasion, HATE, is gridlock and a Congress that can't pass even the most basic bills. If the Republicans continue to stonewall and oppose and divide, they'll be voted out in far worse numbers than the current turnover we just saw.

Mike / November 4, 2010 9:20 AM

The United States is a giant gas-guzzling ocean liner with lots of entertaining distractions aboard, fattening food, etc.

The top tier of the ship is small and exclusive, and contains luxurious rooms for a select number of wealthy passengers who mostly lucked into the rooms via family or connections. There is a moderately-sized middle tier for people of some means and a larger tier for steerage passengers. Although these rooms cost less they represent a much larger percentage of the average income of middle and steerage passengers. So they work hard to stay in the rooms but still have a hard time getting by. Things are made worse by the elite passengers who divide and conquer middle and steerage passengers with dishonest rhetoric that appeals to their darker sides.

All of the people on the boat serve collectively as the captain by paying surrogates to steer the boat. The more you can pay, the more likely your steering requests will be considered. Although the boat turns very slowly because it is so big, and it can sometimes take a while to see the consequences of a steering request, everyone insists of jerking the wheel back and forth wildly, out of unashamed self-interest and shortsightedness, which basically wastes a shitload of time and money and serves very few people on the boat, except the people residing in the elite tier.

We make it hard for people from other ships to visit, and we rarely leave our ship. So over time, we become more isolated. Conflicts on our own ship escalate. We build an onboard jail and house more and more people there.

Eventually, the steerage section gets to be so big that it sinks the ship. All the other ships in the ocean by this point hate us so they watch us all drown, shaking their heads in bemusement.

madachode / November 4, 2010 9:24 AM

Keep voting democratic, keep watching your taxes go up, keep watching companies go under because of union wages for half assed work. gov does not need to tell people what to do , how to spend, it needs to stay out of people's pockets.

What a joke / November 4, 2010 10:00 AM

"a carefully coordinated and disciplined campaign of disinformation, misdirection, xenophobia, and outright lies."

Now that is funny. I wasn't aware that the Republicans were responsible for my healthcare premiums going up since Obamacare passed. Nor were they responsible for blowing $1 trillion that resulted in nothing (how's that green economy working out? What has come about from that $8 billion for high-speed trains in IL?)

"dishonest rhetoric that appeals to their darker sides"

You mean like Obama asking latinos to vote against their "enemies"?

"an utter lack of a credible presidential contender"

Umm, look how many governorships have been won by the Republicans in recent years. You do realize that this is where most presidential candidates come from, right? Did you notice that the most recent generation of Democratic candidates were just wiped out? Beyond Obama (who is one and done), who is a Democratic rising pol? I can't think of one.

Mike / November 4, 2010 10:29 AM

Choad and Whatajoke are in steerage (or will be when they try to retire) but fancy the myth of being able to get into the elite cabins on the top floor.

madachode / November 4, 2010 10:55 AM

Mike, i work for my income and was taught not to expect anything from anybody, you want something work for it. I don't have change and hope sleeping in my basement, taking my hard earned money, and clogging my toliets full of hope everyday. You want health care, get a job that provides it , can find one that does,not my problem but yours.

MT / November 4, 2010 11:10 AM

Have you seen this yet?

http://whatthefuckhasobamadonesofar.com/

I've never had much faith in politicians, and it has been a nice change to actually like the president. I'm really stumped by the backlash against Obama. Really, spend two minutes on this website.

Spook / November 4, 2010 11:11 AM

Mike,

Aye Matey,great analogy,
but along with the onboard jail class who aint steering at all, you need to add a larger class in the hull of the ship that also aint steering but are directly connected the growing onboard jail.

Spook / November 4, 2010 1:08 PM

MT,

Thanks for extending to us the Red Eye version of Democratic talking points.

All fluff, no substance designed for moronic cheerleaders.
Any one else would be appalled
that they dare mention the (failed) stimulus and the tarp program that did little to nothing for people losing their homes while being a windfall for the banks and insurance agencies. Almost every point listed, besides for healthcare, is like dodo under a nice pair of shoes. And lots of Progressive people are pissed off about Obama's civil liberties policies, but I don't want to push you off your pedestal talking points.

And the fact that you're "stumped" shows the total disconnect between liberals and the poor and working poor. It must be nice living in the Land of Nod that has no food pantry lines extending down the street, or two foreclosure on every block. And do you hear those planes above? That's the CEOs from Citibank and BOA flying in their new fleet of jets
purchased with bailout cash,
while you're scratching your head being all "stumped"

Yea, Screw actually holding Obama accountable to the people, let's just circle the wagons while the Tea Party covers America
like Hurricane Katrina.

Will liberals ever wake up?

Mike / November 4, 2010 1:49 PM

Oh Choad, I know, I know. I was just kidding. I'm sure you pulled yourself up by your bootstraps and are entirely a self-made asshole. Enjoy your miserable, negative little day. Looks like you got me to feed you.

Guess / November 4, 2010 1:49 PM

Glad to see rabid, blind partisanship is alive and well.

Here's a fucking wacky idea: how about we work to abandon the ridiculous liberal/conservative, Republican/Democrat binary thinking that's infected this country and maybe try to think in terms of good/bad governance?

That's right, I forgot. As long as there are a cadre of devoted morons out there who believe Obama enacted the first stimulus plan, or that TARP didn't get any Republican support, not much is going to change.

I'm lookin' right at you, Spook, you partisan hack. Give up your ridiculous posturing and shit-throwing and maybe we can work together to clean up the mess of the past decade.

Put up or shut up.

spook / November 4, 2010 4:10 PM

Sure Mike( which ever Mike you are) of course logical critique is "negative and miserable" and yea it's only kidding when you get called out on your wolf tickets! Shhhhhiiiiiiiiiit!

Now onto something more important!

Guess..... yea, I see you!
And like Omar with the shotgun,Oh I will put up,
now that I've been insulted!

Obama enacted this stimulus plan and yes a few
repubs. voted for. But it was HIS plan and he was warned by countless progressive economist including Paul Krugman, that it wouldn't be nearly enough to stimulate the economy. Actually, Krugman predicted this whole scenario( including this election) a year and a half ago!

But Obama( surrounded by an economic team of only big bankers) was too busy stimulating the banks, who are now like Prince Prospero, smiling from atop his well fortified castle looking down us, who are outside the walls

Yea, some brave progressive democrats voted against
the extension of the Tarp program, including Sen. Feingold who unfortunately fell on his sword yesterday.

No,Spook aint no partisan!!!!
Truth be told, I've more respect for the Tea Party than I do for the Democratic Party, because at least they're not afraid to grassroots organize and fight in the trenches. Unlike the Democratic party who will ONLY throw money at the unions,poverty pimping ministers, and those shucking, jiving, always grinning and laughing when it aint funny politician plantation overseers, dressed in bright peacock suits, matching socks and alligator shoes, who are responsible to "get out the vote" in the inner cities!

Come on yall, I thought Obama was an organizer????
How we gone move forward if we keep telling lies to each other?

Now pounder on this for a spell, Guess!

Did your adopted Obama
Rhetoric of let's
"abandon the ridiculous liberal/conservative, Republican/Democrat binary thinking that's infected this country and.. think in terms of good/bad governance", work for Obama?

Hell No! Cause let me tell you something Soda Pop, "Power concedes nothing without a demand. It never did and it never will!" That's Fredrick Douglas!

And a certain group of people in The United States of America ( who are a lot closer to Obama than we can ever be) have 86% of that POWER and will by any means necessary, fight to keep it and grow it. This is what it's all about. And Either we learn to fight and organize like to Tea Party or, We are Rome, and the sound that you're hearing now is the crumbling of Constantinople.

Tout à l'heure!

X


David / November 4, 2010 4:46 PM

Bush enacted TARP.

I don't know what this other guy is talking about.

No, seriously, this reads like a manifesto you'd see scrawled with a Sharpie and posted on the door of an abandoned gas station, signed with feces.

Spook / November 4, 2010 6:03 PM

Dear Dave,
I really dig
the visual of a note written in sharpie posted on an abandoned gas station , it's like dark mind poetry. Actually I'm really into abandoned & derelict buildings. Gary Indiana has a lot of them. But be sure and mark them because you might never find them again.

Of course the "feces" comment ruins it, while providing a clue to who you are, as in not the brightest bulb on the block. This is why you can't "get it" my boy.
Also your not a big reader( which is why you didn't read that I only said Obama expanded Tarp) so these concepts
are foreign to you.

But no biggie Dave, cause as the late great Michael
Jackson sang "You are not alone"

And I'm sure they're things you know that I don't care about, like who won the World Series and how the Bears are doing.

So, so long Dave and thanks for the fish!

Kevin / November 4, 2010 6:28 PM

Spoo,

That's a surprisingly cogent analysis for someone who can't correctly spell "Frederick Douglass" OR understand the difference between "your" and "you're."

So, you ever do any book learnin'?

Jon Stewart / November 4, 2010 8:04 PM

You mean we can't just mock our way out of real issues?

Did you all learn nothing at the Restoring Sanity Rally?

Spook / November 4, 2010 9:17 PM

Kevin;
just imagine the mischief
I could make with you as my recording secretary!

jon Stewart........ what a succinct parry, thrust, and prise de fer straight into the smug tiny heart pumping thin blood to the insular liberal brain!

Hazzah!

Not that it matters as they will continue down the same old path.

Spook / November 5, 2010 10:06 AM

Hello all and happy Friday!

In todays NY Times there is a Op-ed entitled "The Focus Hocus-Pocus" by a fellow named Paul Krugman.

I know, I know I know! He's not a Bear, or a Cub. He's never been on a reality TV show nor does he play for a indie band. But he does have a beard if that well lend him some cred. He's just an economist who I wish had been appointed to Obama's economic team two years ago. But I guess not being connected to a banking conglomerate ruined his chances.
Now be forewarned, unlike the Red Eye, the NY Times aint free, but it can be purchased in Chicago, or you can actually pull up the piece online for FREE!

Pauly K / November 5, 2010 10:48 AM

Krugman? Seriously?

He's the pop-economist that people like to cite when they need to sound intelligent. In the real financial world, he's the butt of many jokes.

vise77 / November 5, 2010 12:12 PM

"Krugman? Seriously?"

Except he's been proven right about more than a few significant things over the past three years. Only a handful of other economists with such a high public profile can say the same.

Just because Spook backs someone--god, I will need a shower here for defending that tool--doesn't mean that person is wrong.

spook / November 5, 2010 12:45 PM

Yea, Pauly K-Mart, and I'm damn sure the "the real financial world" is still Owwing and Ahhhing and drooling all over your Nobel Peace Prize in Economics! Wake up sucka!


Visebeer;

Goahhhlly lee!

That's the nicest thing any one on this Max. Security G- Block has ever said about me, even when Scuffy( sorry I mean Fluffy) aka "Crazy A*s Sybil" made that stupid crack about my amazing All Souls tribute to Papa Legba being a "costume at Party City", in Franklin Park of all places!!!!! Yea I didn't forget.

p.s Vice beer is for losers, consider switching to a stout


Pauly K / November 5, 2010 1:01 PM

Yes, he is quite good. In fact he's predicted 7 of the last 2 recessions.

And it really is about his high profile that gives people the false sense that he knows what he is talking about. The great thing about economists is that their reputations are their capital. They don't have skin in the game, so they are free to opine on theory rather than result. Where an investor can only make poor decisions until his money is lost, an economist can bet on poor theory in perpetuity. His value is derived from the number of individuals who pay attention to him.

Since Krugman's value is tied to keynesian spending, he has little risk in doubling down, time after time, hoping that the leveraged position will pay off at some point.


Pauly K / November 5, 2010 1:09 PM

...its the Nobel Prize in Economic Sciences.

They hand out the Nobel Peace Prize for contributions towards peace... or being Obama (whatever is closer)

vise77 / November 5, 2010 2:38 PM

Well, Paul--and believe me when I share your apparent disdain for considering economics a science--I guess I will take the guy who predicted, as you say, 7 of the last 2 recessions (he really didn't; that is merely a cliche that you have put into his mouth) than the people who thought our current situation, built on massive credit and a housing bubble, and taxes far too low for the big military and entitlment programs that voters want would magically continue without pain. That's rtaher uptopian and unicorn friendly, don't you think? And now many of those types of people are months away from being sworn in. Hence, my sadness and anger.

Whew, lots of words and too few periods.

Anyway, yeah.

Spook / November 5, 2010 3:21 PM

"...its the Nobel Prize in Economic Sciences."


Totes,Pauly,

Your logic totally prevailed, you really proved your point and then some about Paul Krugman.

But, I'm gonna need to shower myself, because, yea the award was devalued greatly when it was given to Obama.

p.s. for the record, I don't dislike Obama, I'm more pissed a the goo goo libs for going immediately to
sleep right after he was elected while the other side organized, just like I predicted.

I think I'm gonna skip thanks giving dinner because I know I'm gonna be inundated with "it's not President Obama fault, it's his evil aides who are responsible!"

Pauly K / November 5, 2010 3:58 PM

Vise -

When you are looking at massive credit and housing bubble, you do not allow for a correction by flooding the market with more credit. This is Krugman's ethos.

Its self defeating because for all of the debt that he prescribes as the solution, it only serves to devalue the currency. In reality, you can look at this devalulation as an additional tax that the fed puts on every worker in the country and every dollar-denominated investment.

Krugman is in favor of letting the Bush tax cuts expire, which amount to 5-10% income tax increase depending on the tax bracket you fall in, because in his world, the gov needs that revenue to continue the spending he recommends. However, because the gov does not have that revenue, it is all defecit spending, which has resulted in the value of the US dollar losing 15% over the last six months.

So every household loses its purchasing power by the level of devaluation, and thus tax receipts fail to be as large as needed for Krugman-level spending.

There aren't many people who just won their elections on a campaign of more Krugman-esque stimulus measures, so that shouldn't frighten you. Its the Fed that should scare the crap out of you because it is completely unnaccountable for its actions and seems to see the way to correct the economic situation is to make every US citizen poorer.

Spook / November 5, 2010 8:34 PM

Visebeer, so glade Romper Room Pauly
intentionally addressed
you even though I called him out. Which is good because the ten minutes it would've taken me to demolish his house of cards built on kinder- tea-garten party yellow crayola scribble attempt at economics, would mean ten minutes less of drinking. But I will say this, the above garbage makes 1980's Vodou economics look like a class taught by Prof. Alan Manning.

But I look forward to your reply sometime tomorrow.

p.s. while I do admire the grassroots organic organizational ability of the Tea Party, they should leave economics to learned adults.

Spook out

Z / November 6, 2010 10:31 AM

Yes Dr. Spook, please show us one instance in the past where wages have risen high enough and fast enough to offset a double digit debasement of the home currency?

What then happens to the prices of goods and services under extreme currency volality?

Please describe the notion of capital formation under a zero interest rate policy and high inflationary environment (precious metals, energy, and commodity prices all go up at the same time are inflationary effects)?

Please articulate something instead of the usual cheap ridicule...

Spook / November 6, 2010 6:30 PM


Brotha Z,

Not only will I, for you
discard cheap ridicule and cyber snark( and try my best to do so with politicians and bankers) for a macro and international economic substantive conversation, but I' m also honored to do so, especially in these dumb down times that leave a Spook starving for it.

But, I gotta be honest Z, you kinda caught me "short handed" so to speak, as I'm in mid preparation of a cauldron of Seafood Gumbo using my closely guarded secret Creole/ Cajun Gumbo recipe.

However, given the serious nature of your challenger Sir, I will give you a truncated macro explanation that should
suffice.

But as the sacred preparation of Gumbo always brings out a story or two, did yall know that Eliot Ness's intention was to tackle prohibition in Nola first? He wanted to truly increase his street cred. by ending the booze trade from the French Quarter to the deepest darkest back channels of the Atchafalaya Swamp.

Don't cha know old Ness lasted just one day before getting right back on that plane to Chicago. And the those Louisianan B'Hoy's N' Gurls, Bokors, Hounsis, Houngans, Musicians, Mafioso's and Shoulder Hitters who ran the the most swank bars and clubs to the most off the road and lethal Blind Pigs, downstairs Speakeasy's, and Block n' Fall joints, didn't even know Ness had come and gone. Cause they were deep in the third year of the ten year "Great Gumbo Wars" that only ended after being arbitrated by the Infamous Sheriff, Gumbo Chef and Blues man, Zackariah L. Baptiste, who I apparently favor in many ways. Sorry for the digression.


Any way, Z

it seems that the crux of your case is that the Fed's next monetary gamble ( please note that I recognize it as a gamble for other reasons), will devalue our dollar to
"double digit debasement"?

With all due respect Z, you're kinda lost in the forest on this.

Our dollar is overvalued, hence our beef with China over our negative BOT( around 300 billion), because of THEIR double digit undervalued yaun, at 55 f*cking percent! And don't get me started on the $800 billion we owe them! It's almost enough to make an internationalist like me become a Tea Party zenophobe, but don't worry, I was raised better than that, but I'm saying!

Now hear me on this. Obama and his economic gang of three, who pull his string, see you making me get all mad and ignorant like brothas with they shirt off on westside corners in the summer. So forgive me, but those three
HYPOCRITES( Geitner, Summers & Bernanke) didn't flood no market with credit or capitol!

What they did was flood the pockets of the silk stocking banker crowd. And WE both know what the Bankers did with our tax dollars.

They didn't lend it. Hell, I have A+ credit and a J.O.B that, yea, puts a "lil" money in my jeans, my saving, retirement, vacation and more importantly my one-day get-the f*ck-outta dodge-ex pat account! But I had to jump through more hoops than a low rate circus clown to refi last Friday! And, I had to bring a another grand and some change to close with a 13 hour notice!

Now if I had to do that then imagine what it's like for someone living paycheck to paycheck with an upwardly adjust interest rate!

Look around Z! Do you see your money flooding into the market? What you do see is a Foreclosure Zombie Apocalypse, due to the Lack of Liquidity and if I'm lying, I'm buying!

What the bankers did was take our money and pull a reverse Robin Hood, giving themselves huge bonuses!

And when Obama meekly raised his hand to object, the Republicans accused him of "class warfare" and he caved and shut up, while the Democratic congress turned their backs on us.

Then just to rub our noses in it, the Bankers lent the money right back to the U.S. Treasury,
but at a higher interests rate!!!!!!!!!! Like the Ghetto Boys rapped "Damn it feels good to be a Gangsta!"

So much for Obama's toothless Bank "Stress Test" and so much for our President's
promise to "to get credit flowing again on main street America"

I know, I got off track a scosh, but Capitol formation will happen only when small businesses are able to access capitol that is nearly impossible for them to get. And the major corps. which had no problem getting loans, actually start hiring people as opposed to just collecting the interest rates of the money that small business would actually put back into the economy. Can I get a witness?


And a devalued dollar will drive prices down or rather increase demand for our products abroad including for one of the fastest growing economies in the world, China!

Now as far as inflation, Z don't be the boy who cried called wolf, huh?

Now for all yall hatas, f*ck ah spell check yo or a grammar check, cause yall almost made Spook burn his Roux! And the Roux is the foundation and corner stone of any real kettle of gumbo.

Man, and had that happened, Oh it would have been on!

Now,
yall be careful out there, trust me this economy is making folks crazy out there.

Spook out!

Z / November 6, 2010 8:22 PM

Sorry Spook, access to credit is not capital formation. A loan from a bank is not capital formation.

Capital is formed by saving, but in a zero interest rate environment like we are currently in, there is no incentive to save (Bernanke's ploy to induce monetary velocity into the economy). Combine a zero interest rate environment with inflationary pressure and any capital saved is immediately devalued.

You're right that much of the treasury provided capital was to shore up bank balance sheets, but your description of the carry trade is backwards. Banks sell the low yield treasuries while buying assets with higher yields.

...still waiting for anwers to my other questions. I don't need a short story to go along with them. They're pretty simple.

Cheryl / November 7, 2010 1:14 PM

I don't mind the idea of Senator Kirk as much as I would have minded the idea of Governor Brady. So as long as he doesn't just vote the way Mitch McConnell wants him to, it's okay.

Saya / November 7, 2010 2:29 PM

I'm tired of choosing a candidate because he/she is not as bad as the other candidate, which is what happened this time around. So invigorating in '08 to be EXCITED to vote! And I wish third parties were allowed to be at the table with Democrats and Republicans. Would've been nice to hear their voices in the debates and other forums.

I'm hoping the mayoral race will have some more appealing options.

My blog post on the person I'd like to vote for for mayor

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