Sometime people do learn from history, though the number that intentionally do so are few. Perhaps one of the largest groups of people that seem to lack the ability to learn from history is composed of economists. The facts that they choose to intentionally ignore are near mind boggling. Two asset bubbles, technology and housing, were claimed to be non existent, until they collapsed. Now, that same group of myopic number crunchers believes that economic growth in Western economies is about to reignite. Is some skepticism appropriate?
Now again, in the aftermath of the Federal Reserve doubling its assets, we wonder if deja vu is not recurring. With Chairman Bernanke running for reappointment in January as Chairman, the Federal Reserved has launched Cash-For-Clunkers III, the monetization of the Obama Regime's massive deficit. With the Obama Regime in failing and fading mode, can any good come out of all this monetization. Easy money twice created asset bubbles that burst, so the Federal Reserve will try it again. Little wonder Chinese government condemns U.S. economic policy, and ignores the advice given by U.S. economists. (more)
No comments:
Post a Comment