Analysis Topic: Economic Trends Analysis
The analysis published under this topic are as follows.Thursday, December 04, 2008
America's Second Great Depression Has Started / Economics / Great Depression II
Martin Wiess writes: On this first weekday after Thanksgiving, it's time to take a moment, look at the changes swirling all around us and think about the tasks we must achieve together in the weeks ahead.
After more than six decades of growth, America is sinking into its Second Great Depression of modern times. The place is every home, business, and community.
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Thursday, December 04, 2008
U.S. Economy Downward Revision to 3rd Quarter GDP / Economics / Recession 2008 - 2010
The National Bureau of Economic Research finally admitted the worst kept secret on Monday. The US economy fell into a recession in December 2007. Drilling down into the 3 rd quarter data can lead us to some interesting details.Read full article... Read full article...
Thursday, December 04, 2008
50 Ways To Beat Deflation / Economics / Deflation
With thanks to "Stonewall" for posting this as a comment, it's time for a little sing along with a Paul Simon Song called50 Ways To Beat Deflation
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Wednesday, December 03, 2008
Bankrupt G7 Print Money to Reflate Economies / Economics / Fiat Currency
As the G7 economies plunge over a cliff, the governments and central banks are taking turns at fire fighting in their respective economies. With each new initiative the Crack-Up Boom creeps closer and closer on the horizon as G7 public servants and central banks attempt to RESCUE foolish lenders and borrowers from their approaching demise and insolvency. The attempts will fail and insolvency will be brought to the entire G7 financial systems. Never before in history has more been borrowed and printed to rescue global banking and corporate elites from their hubris and stupidity. Mal investments are crumbling to their REAL value, not their inflated NOMINAL value, and as they do, the banks, financial systems and real economies shudder under the repricing. As reality supplants the fairy tales the greatest opportunities are presented to you!Read full article... Read full article...
Wednesday, December 03, 2008
Impact of Deflation and Death of the Economic Decoupling Theory / Economics / Deflation
In the panic following the 1929 stock market crash, bank runs led to bank balance sheet contractions and bank failures, which led to money supply contraction and by definition, deflation. “Trust” had become a fleeting ideal in the early 1930's, and the suspension of the gold standard during WWI was a fresh memory. Americans of that era learned rather quickly that the maintenance of wealth in tangible form was preferable to paper wealth, so as bank runs became more pronounced, they rushed into and hoarded gold, since a growing distrust of banks meant an equal distrust of paper money.Read full article... Read full article...
Wednesday, December 03, 2008
What the Government's Keeping Secret about the Financial Crisis / Economics / Credit Crisis 2008
Editor's Note: This article has been excerpted from a free issue of Robert Prechter's monthly market letter, The Elliott Wave Theorist .
The full 10-page market letter, Be One of the Few The Government Hasn't Fooled , can be downloaded FREE from Elliott Wave International.
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Wednesday, December 03, 2008
What's so Paradoxical about Thrift? / Economics / Recession 2008 - 2010
The term "paradox of thrift" is being bandied about these days. This refers to the notion that if one person saves, this is good for economic activity but if we all decide to save, this is bad for economic activity. Firstly, what do we mean by "saving"? For the sake of argument, let's define saving as spending on physical goods and services less than one's income. If one spends less than his income, what happens to the "saved" part? Does it get buried in the back yard in the form of coin and currency? Perhaps. But there are other alternatives.Read full article... Read full article...
Tuesday, December 02, 2008
Deflation, Nowhere to Hide for Investors / Economics / Economic Depression
“I've been in the market 50 years...(back in 1974) there were 40 people in the (London) office...I had to take it to half a dozen...there was a very severe downturn in equity markets but credit markets were still working. That's what is different this time. There's nowhere to hide .”
Terry Campbell, senior chairman Goldman Sachs JB Were. (by Ingrid Mansell, Australian Financial Review 21 Nov. 2008).
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Tuesday, December 02, 2008
The Current Global Financial & Economic Crisis / Economics / Credit Crisis 2008
Due to my unique service, I have numerous sophisticated and savvy investors among my subscribers. Some have become friends and supporters of my work.
Recently, Arnold Bock, a Canadian living in Mendoza, Argentina and Lorimer Wilson of Toronto, Canada, have agreed to become part of my editorial staff at Precious Metals Warrants and will be providing content from time to time.
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Tuesday, December 02, 2008
Economic Restructuring, Recessions and Politics / Economics / Recession 2008 - 2010
Recessions impose economic discipline and punish everyone, including those that have taken advantage of the system. Companies seeking to survive look for ways to restructure their operations, with many going out of business or using Chapter 11 bankruptcy proceedings to help them break their bad habits. Politicians, ever mindful of their reelection, tend to use the public coffers to help mitigate the impact on key constituencies. This is where we are today.Read full article... Read full article...
Tuesday, December 02, 2008
Expect the Worst Recession Since WWII / Economics / Recession 2008 - 2010
This week we look at a short but excellent summary of the state of the current economic crisis. I always enjoy reading David Rosenberg, the North American economist of Merrill Lynch. He has a no-nonsense style that is refreshing from most mainstream economists. The reality is that things continue to deteriorate. Today's stock market action shows that we are not of the bear market woods just yet. Rosenberg gives us a few reasons why.Read full article... Read full article...
Tuesday, December 02, 2008
Destruction of Capital at an Ever Faster Rate, Workers Pay the Price / Economics / Credit Crisis 2008
Thou shalt not crucify labor on this cross of paper money, a message to American Labor Leaders
The “crime of 1873” - My title is a paraphrase of the 1896 battle-cry of William Jennings Bryan during his presidential bid. He was talking about ‘crucifying mankind on a cross of gold'. Bryan was protesting against the unconstitutional closing of the U.S. Mint to silver. Congress inadvertently suspended the unlimited coinage of the standard silver dollar, which it had no authority to do under the Constitution. Bryan called it “the crime of 1873”.
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Tuesday, December 02, 2008
The Neo-Alchemy of the Federal Reserve / Economics / Credit Crisis Bailouts
As the printing presses for the bailouts run at full speed, those in power are no longer even pretending that the new giveaways will fix our problems. Now that we are used to rewarding failure with taxpayer-funded bailouts, we are being told that this is "just a start," more funds will inevitably be needed for more industries, and that things would be much worse had we done nothing.Read full article... Read full article...
Monday, December 01, 2008
Bailouts Now Expanding to Consumers / Economics / Credit Crisis Bailouts
Keeping track of the ever mutating bailout debate is becoming increasingly difficult. With the Federal money spigots now thrown wide open, and with no one of influence advising restraint, the only debate is where to direct the torrent. During the past week, the talk began with Detroit and Citigroup, but by Friday had shifted to a massive "stimulus package" to bail out consumers. The early buzz includes some very large figures. But first, a bit of a recap:Read full article... Read full article...
Sunday, November 30, 2008
Inflate or Die Economic Policy to Drive Gold and Commodities Higher / Economics / Global Economy
Richard Russell (Dow Theory Letters): “Inflate or die, which one will it be?”“Suddenly, the whole investment world believes in deflation. The TIPS (inflation adjusted government bonds) have collapsed, commodities have crashed, gold goes nowhere, bonds remain near their highs, the dollar remains strong.
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Sunday, November 30, 2008
U.S. Fed Fighting Deflationary Credit Contraction / Economics / Deflation
Welcome to the Weekly report. There is much talk these days about the inflationary bias of the US Federal Reserve, the rationale being all that money being pumped into banks, brokers (RIP), insurance, car makers and so on (monetary inflation) will eventually flood into the economy and cause prices to rise as too much cash seeks too little supply of goods and services (price inflation).Read full article... Read full article...
Sunday, November 30, 2008
Bernankes Money Printing Helicopters are Here! / Economics / Money Supply
The US Federal Reserve is increasing the monetary base at an unprecedented rate in response to the present deflationary asset crunch, following the longest running inflationary boom in the country's history.Read full article... Read full article...
Sunday, November 30, 2008
The Hyperinflationary Depression / Economics / Economic Depression
Last June, Stephen Lendman published an article covering Walter "John" Williams's views on Future US Hyperinflation . These views are more relevant than ever today.(emphasis mine)
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Saturday, November 29, 2008
Economic Depression in 2009? / Economics / Economic Depression
After suffering through the biggest stock market correction since the 1930s, many are wondering if the market – that great discounting mechanism – foresees depression in 2009. The thinking behind this interpretation of the 45% correction is that the stock market envisions a collapse in GDP and the biggest downturn in consumer spending of the current generation. Could the bear market of 2008 in fact be warning us of economic gloom next year? Is the U.S. destined to start the path, in the words of one widely followed observer, to becoming a Third World country in 2009?Read full article... Read full article...
Friday, November 28, 2008
Retail Sales to Suffer in 2009 as U.S. Consumers Cut Spending / Economics / US Economy
Jennifer Yousfi writes: Retail experts are predicting one of the most dismal holiday shopping seasons in decades this year – a crucial stretch that will set the stage for poor retail sales throughout 2009.Read full article... Read full article...