zugzwang

Minsky taught us that recovery can't happen until asset prices and current prices are brought back into balance. Current income has fallen sharply in the two years since QQE was introduced, so to the extent that Abenomics is making the Japanese poorer day by day it can be said to be working.

That's the plan. How else can the Tory intention to run up household debt from 150% to 180% of income over the next four years be understood?

How is the Tory plan to run up household debt from 150% to 180% of income over the next four years consistent with HPC?

The City of London and the BoE will never let an EU referendum take place. In short order Cameron will be replaced by Johnson and a final orgy of looting and scavanging will take place. There is no hope.

£10 trillion of debt and no possible means of rolling it over except via default or hyperinflation. There is no alternative but to short this shithole into extinction and then f**k off somewhere warm with your winnings.

Shoulder high the banksters and the corporate kleptocrats for another lap around the graveyard.

Local invariance and symmetry are the things which enable us to make sense of the world - translational, rotational, time translational and Galilean - if Nature were without these properties it would be impossible to isolate environment from observation, cause from effect, or to talk about 'change' in any meaningful way, as Eugene Wigner described beautifully in 'The Unreasonable Effectiveness of Mathematics in the Natural Sciences'. The absence of invariance principles in mainstream economics is a clue to understanding its predictive inadequacy.

Marxist leanings? We've had thirty six years of free market capitalism! And now the opportunity to enjoy another five. Even the pot we use to piss in will be sold abroad.

Mama Yellen complaining that stock market prices are too high. But Bernanke said the purpose of QE and ZIRP was to run stock prices up so everybody could get rich via trickle down!

The media have City of London Corporation has done a good job getting the Con scum elected, i'll give them that. Next task: replacing Cameron with Johnson.

National bankruptcy.

Solihull? Ten minutes drive from Coventry. Not much of a recommendation but I can't think of anything else.

An almighty stockmarket crash on polling day? I can't think of a more appropriate swansong for Giddy and Diddy.

UK recession before the year's out.

Stockman on Bernanke's selective amnesia, professional ignorance and profound dishonesty.

The unregulated shadow banking system/Eurocurrency deposit market is the world's No. 1 accounting black hole, conservatively home to the equivalent of $100 trillion in highly leveraged debt instruments and unreliable OTC credit derivatives. The 2008 Crash was first and foremost a dollar liquidity crisis in the shadow banking system - the German current account surplus is insignificant by comparison.

The Loonliness of the Long Distance Nutter.

http://blogs.independent.co.uk/2014/07/29/whats-really-happening-to-rents/

It's the monetarist charlatan and bankster slut Andrew Lillico, one-time Hpc posterboy. His chief claim to fame was forecasting 8% interest rates for 2012 or thereabouts. His argument viz rents applies only to long-term tenancies. New tenants and those who are frequently obliged to move have experienced rent inflation well in excess of cpi - itself an unreliable and hedonically adjusted metric.

Ed Miliband's promise* to eat the royal baby 'like a bacon sandwich' clearly won Brand round. * Must be true, I read it the Daily Telegraph, a newspaper of record.

The 'new paranormal' is defined by Jeremy Grantham as at least a two sigma (95%) deviation from the historic mean. Yellen's every bit as as bubble blind as the Keynesian jackass she replaced, and the Monetarist halfwit before him, which means she will do nothing until the market is indisputably in bubble territory, repeating the experience of 1999 and 2006. That being the case, 2250 on the S&P 500 is the Fed's implicit and unspoken target for Bubble 3.0. http://davidstockmanscontracorner.com/grantham-says-fed-bound-and-determined-to-engineer-full-fledged-bubble/

Yes, but its more nuanced than that. GDP growth is related to the second derivative of credit provision: credit acceleration, not credit velocity. A growing economy can be imagined as a car accelerating forwards, a deleveraging economy as one accelerating backwards. Now imagine the case where the car is moving backwards at a constant velocity but the brakes are applied momentarily: the result is a brief acceleration in the forward direction. Thus it is with economies: if the rate at which they are deleveraging slows sharply then the resultant credit acceleration will manifest itself as a burst of positive GDP growth. Spanish private sector debt stopped falling altogether at the end of 2013 and reversed direction. This, together with the exponential rise in govt debt since 2009, has generated a huge +ve credit impluse into the Spanish economy. However, given that Spanish private sector debt is still some 200% of GDP (below), any recovery is likely to be short-lived.

Off the sugar-rush? A gastric bypass is what we really need.

The next credit cycle? You mean, like this?

The UK is the biggest turd in the bowl. Everyone and everything dependent on the speculative returns from financial markets. Worse in every way than Greece. Worse even than Japan.