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Economy Heading For A Systemic Collapse Into Hyperinflationary Great Depression

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When Fed Chairman Ben Bernanke admits to seeing an "unusually uncertain" economy ahead, it's pretty terrifying to imagine what he's really thinking. What John Williams envisions – and he's by no means looking to the far horizon – is a systemic collapse, a hyperinflationary great depression and the cessation of normal commerce. Despite that bleak outlook, however, when the economist and editor of ShadowStats.com sat down for this exclusive Energy Report interview, he also had some good news. rest at: http://www.lewrockwell.com/spl2/hyperinflationary-great-depression.html

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Interesting article, thanks. Certainly one possible outcome. Interesting too that he feels the US will be the ONLY country to experience hyperinflation.

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The government is effectively bankrupt. Using GAAP accounting principles, the annual deficit is running in the range of $4 trillion to $5 trillion. That's beyond containment. The government can't cover it with taxes. They'd still be in deficit if they took 100% of personal income and corporate profits. They'd also still be in deficit if they cut every penny of government spending except for Social Security and Medicare. Washington lacks the will to slash its social programs severely, to change its approach to ever bigger government. The only option left going forward is for the government eventually to print the money for the obligations it cannot otherwise cover, which sets up a hyperinflation.

Well, that's ok then! :ph34r:

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Ne mind, there's a new series of X factor coming on soon

Even thats fiddled. Running voices through electronics to make them sound in tune. No one is too big (or small) to fail it seems :lol:

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will it be as hyperinflationary as the last one?

Depends how much they print, doesn't it? What if the BoE prints trillions to buy gilts and then the government uses the money to pay off every single mortgage debt and credit card debt in the country before defaulting on its debts to the BoE? I'm not convinced there is a point at which our esteemed rulers would say "enough is enough". The huge purple lump in the right hand graph below is gilts I believe, so we've already taken one step down that road.

liabilities_assets.jpg

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  • 145 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



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