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David Mcwilliams - We Are At A Global Tipping Point

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David McWilliams

If there is one thing this crisis has told us, it is that “serious people” — the establishment figures rolled out to defend the status quo — have no idea what they are talking about. They were wrong in the boom and they are wrong again in the bust. The pattern over the past few years is with every new crisis, what was extreme becomes consensus and what was consensus becomes redundant. It is time to think the unthinkable.

When the very rich in the US are saying “tax me more”, it is not unrelated to the 47 million people who are below the poverty line. When the price of gold is sky high, it is not unrelated to the poverty of EU leaders’ ambitions or vision. And when the interest rate on Greek two-year bonds is above 50pc, it is not unrelated to the fact that the country is bust.

We are at a global tipping point.

Things do seem to be coming to a head (again).

I wonder if this can all be defused with more 'stimulus' and kicked down the road a bit more or if this will be the point when the issues can't be dodged. I'm guessing that there's still a bit of rug left to push everything under for the short term.

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David McWilliams

Things do seem to be coming to a head (again).

I wonder if this can all be defused with more 'stimulus' and kicked down the road a bit more or if this will be the point when the issues can't be dodged. I'm guessing that there's still a bit of rug left to push everything under for the short term.

...his awareness is about 9 years too late.... :rolleyes:

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Misdiagnosis is fatal. A patient is described over the phone as very weak, unable to walk, unable to do any work and at deaths door. Must be highly malnourished so lets give him loads of calories. Unfortunately they didnt see the patient who was 35 stone, and what was required was a balanced restricted diet and exercise. The 'medicine' makes him feel good, but its killing him even faster. So does QE and money printing. It fans the inflation flames which robs purchasing power and confidence in the system and in money, forcing people to take positions (like in gold) they would otherwise not take, and misdirecting capital. No wonder the banks are starved of capital.

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When the system fails, we can look forward to a new beginning. It's rotten to the core anyway.

They need to have a bit more imagination than just returning to punts too. You don't need bits of paper with government stamps on to use as money.

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It's more likely to end in revolution the longer this continues.

What the current elites need to do is round up and try the past elites for treason, and then reset the system. However that won't happen as the elites cannot have moral hazard that they might be held accountable for their actions.

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When the system fails, we can look forward to a new beginning. It's rotten to the core anyway.

It's been rotten since the beginning of time. I don't see why this time it's going to be different.

Plus ca change ...

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...his awareness is about 9 years too late.... :rolleyes:

McWilliams called the Irish bubble in public debate about 9 years ago. Seriously, there's a youtube vid and it's quite impressive. There was always lots of handwringing in Ireland about crazy property prices, but the evil prime minister famously declared that such doom mongers should commit suicide. You have to laugh.

But in 2009 McWilliams gave thumbs up to the blanket guarantee for Irish banks. Never recovered from that!

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  • 336 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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