Jimmy Neutron Posted March 22, 2009 Share Posted March 22, 2009 I think this guys is more correct about a couple of important things. These are two minute clips, jump ahead 15 secods to skip the ads. Part 1 Part 2 Part 3 Part 4 Part 5 I don't agree with everything he says, but he hits on a couple of key principles that are not being addressed by the government. One is manufacturing. We need to lead the world in manufacturing technology and innovation. We're never going to have the cheapest labor, so we need to incentivize business to keep manufacturing facilities and jobs here. I don't think Schiff could be more right about savings. The whole premise that our economy is driven by credit is just wrong. It's not inaccurate, but the concept is doomed to failure. Citizens and businesses need to structure their finances much differently to be viable in the future. We're being told to spend, spend, spend, and I think that will only prolong our economic woes. I keep hearing "we need to" "we need to" "we need to" "we need to" continue propping up failing businesses and states. There is no doubt any further crash will be painful. What scares me about all of this is that there is no mention of how we expect to pay off the debt we're accumulating right now. There is no forecast stating that government revenue will come close to paying off our debt. Like Schiff says, the day of reckoning is coming. There will come a time when China, Japan and the rest say, "Sorry, we can't sink any more into the hole." Given out current model of coping, where will that leave us? I don't know if Schiff is right about hyper-inflation, but he is right about our ability to borrow money forever. To use Muck's recent analogy, it's time to let the forest burn. It'll be ugly, I think we all know that. I think we're more likely to survive a forest fire than an economic nuclear bomb. Quote Link to comment Share on other sites More sharing options...
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