Wednesday, November 11, 2009

Thoughts on a $1,118.00 Day

If it is always darkest before the dawn, daybreak must just be moments away. Because, on both the social and economic scales, it is a very dark time in America. Gold today hit a record high of over $1,118.00 an ounce as investors and governments around the world abandoned the US Dollar and other paper currencies in favor of the precious metal. Publicly and privately many say the see the collapse of the US Dollar and possible the collapse of the United States.

[Most Recent Quotes from]Misled and misguided by a President wholly unqualified and unready to lead this nation during an economic crisis, the United States is floundering. And the deaf, dumb and blind US Congress is leading the nation off the edge of the cliff as surely as the Pied Piper led the rats and then the children in the fairly tale to their potential doom. I'm not at all certain we can have a happy ending.

Clearly investors and foreign governments don't think a happy ending is in our future as they abandon on currency as if it were infected with Swine Flu (or, more likely, the Ebola virus). Death be to those holding US currency when the end times arrive.

President Obama's biggest mistake today is that he is ignoring the economy as he pursues a Health Care Restructuring Plan that is horrifically bad in its own right. He should be working on the economy and the deficit, but if, god forbid, he succeeds in forcing this Health Care Bill down the throats of a public that neither wants it nor needs it, it will bring on the collapse all by itself.

Poor President Obama has done virtually nothing right. Being naive in both the ways of Congress and in basic economics, he turned the Economic Stimulus Act over to Nancy Pelosi and give little or no guidance. Pelosi hadn't the slightest idea how to build a stimulus package, so she did what she does best, packaged up 780 billion dollars of pork and special favors for friends and supporters and called it stimulus.

Now some folks are surprised (or, at least, act surprised) to find the stimulus package isn't doing any good and the very slow economic recovery is exactly what would have been expected without a package.

The problem is the stimulus package is actually a time bomb and is ready to explode the deficit. Gold, therefore, is the safe haven for investors and other nations that are handling their economy correctly.

Three things need to happen. First, and perhaps most important, the Health Care Restructuring Bill must be stopped.

Second, the President needs a new economic team, a strike force if you will. He should ask Mitt Romney to head up this effort to, literally, save the United States.

Finally, Nancy Pelosi should step down as Speaker of the House and usher in a new spirit of true bipartisanship. Now is not this time to build walls and foster hatred. Pelosi isn't capable of anything else and she must go.


Chris said...

Only the first of those things is likely to happen.

Will "take no prisoners" Hart said...

Wizard, think about it. Do you really want President Obama to "work" on the economy again? I mean, seriously, I can see it now; stimulus junior.

Vigilante said...
This comment has been removed by the author.
Will "take no prisoners" Hart said...

I vote neither.

Kentucky Rain said...

Curiously, all the leading economic indicators show a recovering economy, thanks to the president's quick action. Last months job report showed fewer unemployment claims than in the last two years. Something is working but the Republicans and some of their followers will never admit that.

Bob Keller said...

MadMike: "all the leading economic indicators show a recovering economy"

That is great news! When are you planning to tell all the rest of America?

Mortgage delinquencies hit another record in 3Q For the three months ended Sept. 30, 6.25 percent of U.S. mortgage loans were 60 or more days past due, according to credit reporting agency TransUnion. That's up 58 percent from 3.96 percent a year ago.

New York Daily News: The worst is yet to come: Unemployed Americans should hunker down for more job losses Think the worst is over? Wrong. Conditions in the U.S. labor markets are awful and worsening. While the official unemployment rate is already 10.2% and another 200,000 jobs were lost in October, when you include discouraged workers and partially employed workers the figure is a whopping 17.5%.

New York Times: N.A.A.C.P. Prods Obama on Job Losses With unemployment among blacks at more than 15 percent, the N.A.A.C.P. will join several other groups on Tuesday to call on President Obama to do more to create jobs. The black unemployment rate has climbed above 20 percent in several states, reaching 23.9 percent in Michigan and 20.4 percent in South Carolina.

Chris said...

We're seeing a recovery in spite of the government's intervention, not because of it. The American economy takes a lot of punishment and keeps going. The massive deficits we're incurring are acting as an anchor on recovery, keeping unemployment high. The housing sector is still weak, and probably due for another massive bloodletting, because the underlying problems there were not resolved.

We did all this Keynesian crap in the 30s, and it did the same thing then as now; retarded recovery and masked the underlying problems. As usual, the liberal solution is to do what failed before, but harder.

Will "take no prisoners" Hart said...

Paul Krugman thinks that the stmulus was too small. He also thinks that Roosevelt didn't do ENOUGH! I mean, I don't know about you guys, but I think that his Nobel Prize is FAR more questionable than Obama's. At least the Obama choice was somewhat plausible.

Vigilante said...

I'll start worrying and counting pennies state-side when I see Republicans counting pennies in Iraq and Afghanistan. Until then, I won't take them seriously.

Kentucky Rain said...

Wizard I just noticed you changed your blog name. I like the new one and will change my blogroll accordingly.

Unknown said...

I corrected MM's comment to make sense:

Curiously, all the leading economic indicators show a recovering economy, inspite of the president's spending. Last months job report showed fewer unemployment claims than in the last two years (as people gave up looking).

Something is working but the Liberals and some of their followers will hang it on the failed stimulus.

Unknown said...

I was worried about Obama's lack of experience and several of his pre-election speeches and writings.

Certainly I was hoping to be proven wrong. His inability to lead and see past his own ego has caused his quick decent in the eyes of the electorate.

Despite having no loyal opposition, the chance to show how Democratic Ideals are so superior has, instead, proven the opposite.

You just do not put a neophyte into position of power.

Vigilante said...

Given a choice between the Welfare State and the Warfare State, I'll take the former. Every damned day.