Forum Post: Economy is in Severe Trouble-John Williams [by Greg Hunter]
Posted 10 years ago on Sept. 12, 2014, 3:21 p.m. EST by ButtonHGwinnett
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The air strikes against ISIS will not help the economy. The worst indication is that it is all Obama Administration will do before the November elections. His economic advisors have failed us. His choice for a cabinet speaks for itself.
On unemployment and the Obama Administration’s recent claim of creating “nearly 10 million new jobs in the last four and a half years,” Williams says, “If we were to go back to the levels before the recession, we would need at least 11 million new jobs. That’s 11 million more than we have now. . . . We are in serious trouble here.” You heard correct, the U.S. needs 11 million more jobs just to get back to the pre-2008 crash levels. . . . We are still losing jobs in this economic picture. That’s what the numbers are showing despite all the happy hype you get in the popular media.”
Williams is forecasting a possible dollar sell-off by the end of 2014. Williams predicts this will trigger the beginning of hyperinflation. Are we on track for this prediction? Williams contends, “Everything the Fed has been doing to pump this extraordinary amount of liquidity into the system since the panic of 2008 has been aimed at propping up the banks. . . . The banks are still in trouble. From here on in, it’s going to get worse, and as it does, the Fed is going to have to pump more liquidity into the system. . . . They will use the poor economy as a political shield. As the economy turns down . . . the Fed has to do more, and all these factors will come together in a great confluence, and that will give us selling pressure in the U.S. dollar. With this selling pressure, there will be upside pressure on commodity prices, and that will be the early trigger for hyperinflation.”
http://usawatchdog.com/economy-in-severe-trouble-john-williams/
What’s wrong with this picture? The same thing that was wrong with it in 2008.
Pumping liquidity into the system does not create jobs. Pumping liquidity into the system won’t save the economy. Millions of jobs needed to be created. Construction boom inexpensive and affordable housing, infrastructure, and the public sector, and incentives for the middleclass and poor would save the economy.
This is great Flip-I especially loved the part about Weapons Recycling-our taxpayer dollars at work! Maximum lulz-guaran-teed to drive the local ex-TPers into a frenzy when I tell them about it! Yes! They are still Right Wing Ding but because of me they now hate the Republicans and the TP! Bwa-ha-ha!
Because of the rich and their incredible greed, the US economy WILL TANK by 2020. It would have tanked already if it weren't for the ongoing government stimulus. In fact, in yet another event proving die-hard conservatives DEAD WRONG, the CBO just recently reported that government stimulus will be necessary, get this and get it good, FOREVER.
One of the primary factors confirmed by the CBO, again supporting this view and contradicting just about everything you have heard from public figures is, that's right, the HIGH CONCENTRATION OF WEALTH.
EVERYONE should understand this by now. It's not that complicated. Play a few games of Monopoly and you will understand. Believe it or not, the game is based on actual principals of economics. In fact, you can easily simulate government stimulus, welfare, and the potential for unlimited growth by adding fake money to the bank and distributing that money to the players. Get a bucket of gravel and allow unlimited property improvements as well. Regardless, the majority WILL STRUGGLE TO SURVIVE as the winning player gets richer and richer. Without that government stimulus and welfare to compensate, the economy simulated at that table WILL TANK EVERY SINGLE TIME.
Again, the game is based on actual principals of economics.
Say that reminds me.
"The income gap between the rich and the rest of the US population has become so wide, and is growing so fast, that it might eventually threaten the stability of democratic capitalism itself." -Allen Greenspan testifying before congress in spring of '05'.
"Private capital tends to become concentrated in few hands, partly because of competition among the capitalists, and partly because technological development and the increasing division of labor encourage the formation of larger units of production at the expense of smaller ones. The result of these developments is an oligarchy of private capital the enormous power of which cannot be effectively checked even by a democratically organized political society." -Albert Einstein 1949
"The profit motive, in conjunction with competition among capitalists, is responsible for an instability in the accumulation and utilization of capital which leads to increasingly severe depressions." -Albert Einstein 1949
"The United States economy is like a poker game where the chips have become concentrated in fewer and fewer hands, and where the other fellows can stay in the game only by borrowing. When their credit runs out the game will stop." -Mariner Eccles Chairman of the Federal Reserve under FDR
Robert Reich, Paul Krugman and a dozen more prominent economists have gone on record with similar views. The relevance has even been acknowledged by a few Republicans, under pressure to finally admit the ugly truth of course.
By now, you are probably wondering. If these guys were/are right and the wealth was heavily concentrated just prior to the Great Depression, how did we recover?
That's simple but not well known.
There was a partial redistribution of wealth (double digits) from the mid '30's to the mid '70's.
So why are we in this mess all over again?
Again, very simple. The wealth has become concentrated all over again. We have allowed the rich to become too rich. Now, we are paying for it.
So what's my bright idea?
Let me put it this way. If everyone felt the way I do about greed, and made a statement to that effect with their wallets, the wealth would be significantly less concentrated in one year. In 5 or 10 years, we would have the strongest middle class in American history.
Whats that you say? Massive job loss?
No. I'm not proposing that we stop spending our money all together. Just that we stop giving so much to the rich and their golden corporate geese. That we support small business more and big business less. The little guy more and the big guy less. Poor and middle class communities more and rich communities less. It's tricky but not impossible.
By the way John Williams, you're dead wrong about the dollar. There will be no sell-off. Only the usual fluctuations.
http://occupywallst.org/forum/porter-stansberry-is-about-to-be-proven-dead-wrong/
throw money into the money pit won't
the populace needs a guaranteed basic income
so the mat pay for goods and service
I think the public needs real work that will build a great and sustainable future. The liquidity should be provided in the form of loans, grants, and programs for a variety construction projects to create architecture promoting environment and energy conservation, schools, medical facilities, parks, entertainment centers not for profit but for the public good.
right
the loansharks need their cut
Is there still a huge income gap between the top 1% and the rest? What's being done about it?
Nothing is being done about it. It's designed that way. It started with Ronald Reagan. It is a shock.
Proof The US Is An Oligarchy, Not A Democracy
https://www.youtube.com/watch?v=JvJ1ZuJDNbQ
People are going to have to become political to bring democracy back.
Yes - Yes it is.
Now while I don't think this talk ( TED TALK ) is complete.
I do feel that it points out much common sense - not just for the USA - but also for the whole world.
So you may have seen it before - But - I think it is something that should be revisited/reviewed often.
So here goes ->
Plutocrat Predicts: The Pitchforks Are Coming
by PuddytatFollow
So what are the good Plutocrats doing? The$15/hour minimum wage has traction. It's disappointing that the federal government didn't figure this out by itself. Great for Washington State.
I posted the question.
DKAtoday @DKAtoday · 13s
Is there such a thing as - Good Plutocrats ? https://occupywallst.org/forum/economy-is-in-severe-trouble-john-williams-by-greg/#comment-1047215 … Are there Unicorns?
Good Plutocrats ?
Kind of a mythical beast - don't ya think?
At least one hears nothing of such.
Take a look at the world.
Why do you think Nick Hanauer is foreseeing the days of pitchforks?
You really think that the Fed Gov is unaware? No they are not clueless - they "are" ineffective and or bought.
Absolutely.