View Single Post
Old 12-10-2018, 04:58 AM
Danny B Danny B is offline
Platinum Member
Join Date: Oct 2012
Location: L.A. Ca.
Posts: 4,849
People = the economy,,,, bubble inflating

"High income nations saw peak total energy consumption in 2007 and are still below that peak almost decade later."
"Annual 0 to 64yr/old population growth among the consumer nations double peaked at +38 million. That was annually 38 million more potential employees, homebuyers, consumers, tax payers, etc. By 2008, annual growth was down to 20 million, and as of 2018 annual population growth of those aged 0 to 64 is just 5 million."
The banks (effectively) cut back our earnings by front-running everything we buy,,,,using our savings OR, wet-ink money. There is no possibility of growing the economy while the population is shrinking. Maybe the Greens want population reduction but, the finance system can't survive it.

"Note the potential workforce is growing at just one quarter the peak. But worse still, the pace is now less than half that of 2008...and by mid 2020's, the potential workforce will begin outright shrinking (and yes, the UN data includes and relies upon ongoing immigration just to maintain the below curves...absent that, the falloff is much sooner and steeper)."
The mantra is that; we need immigration. Bringing in 3rd world garbage with no skills means that they won't be productive and must be supported by the State for their whole lives. This implies a belief that the sovereign bond market will grow forever. It is already growing faster than exponentially. So, the State will have to support them cradle-to-grave.

But, the way that automation is growing, there will be many more millions of native born who will join them. Finance is focused on; a continuing supply of warm bodies to grow consumption.
Side note,
"the childbearing population peaked about 2010 and is now falling. "
"Again, despite all the debt, central bank "support", and interest rate consumption (and more broadly consumption, period) is tracking the changing population...down."
The CBs are "pushing on a string"

"2011 to present is the period with the greatest wealth creation growth in the nations history, yet during this period of economic strength, growth in federal tax receipts has been consistently decelerating...and even prior to the Trump tax cuts had already turned negative. Since the tax cuts, tax receipts are collapsing while federal spending is surging...hallmarks of what typically takes place during a recession, not the greatest wealth creation in this nations history. "
That was debt creation, NOT wealth creation.
"The already swollen issuance of public (marketable) debt since 2007 is about to move from a steep angle to an exploding vertical upward trajectory"

"Yet percentage growth rates donít do justice late in a Credit Cycle. Outstanding Treasuries expanded $1.187 TN over the past four quarters (7.3%) "
"Itís also worth noting that Federal borrowings this year have accounted for in excess of half of Total Non-Financial Debt growth (Q3 SAAR $1.180 TN of SAAR $2.228 TN)."
The bubble has a lot of leaks and, needs constant pumping. Trump and Powell are trying to make a soft landing. It's never been done before.
" Total Treasuries and Agency Securities ended the quarter at a record $26.439 TN (up $1.450TN y-o-y), or 128% of GDP."
80% is the death cross.
"Debt Securities ended Q3 at 215% of GDP, up from 200% and 157% to end 2007 and 1999. Equities Securities increased nominal $2.269 TN during Q3 to a record $50.602 TN (one-year growth $5.493TN). Equities Securities ended the quarter at a record 245% of GDP versus 172% at the end of 2007"
None dare call it a bubble.
" Total Securities ended the quarter at a record 460% of GDP. This compares to previous cycle peaks 379% (Q3 í07) and 359% (Q1 í00)."
"Household Liabilities gained $167 billion during the quarter ($539bn y-o-y) to a record $15.895 TN. "
"Household Net Worth ended the quarter at a record 528% of GDP, up from the year ago 514% and Q3 2016ís 498%. Household Net Worth to GDP set previous cycle peaks at 484% (Q1 Ď07) and 435% (Q4 Ď99)."

11 companies that control everything that you buy,
The British are out to prove that American politicians don't have a lock on stupidity.
Business Insider Magazine, Future of Fintech: How Fintech Is Taking Over The World and What Comes Next.
Finance produces not a single tangible thing out side of paper bills. In their hermetically sealed little minds, tangible objects don't matter.
Japan is shrinking and has a head start on America.

Congress is a big part of the deep state. Evidently, there is a problem with that arrangement.
Then, we get word from Berzezinski on how things are supposed to be.
Reply With Quote