Kick That Can

But monetary policy is not fixing the problem….only preventing the solution from taking place. Lines of unemployed in many areas are becoming less and less as the masses begin to just give up. Of course there are plenty of anecdotal examples of people abusing the system but more and more its becoming clear that the future for the millions of unemployed that truly want jobs is becoming dim.

Of course this doom and gloom is not what you want to hear and it is not what the government wants you to hear. Unfortunately the solution will be found ONLY when the problem is fully admitted and confronted. Therein lies a bit of a problem. The System would then open a massive can of worms. It would have to admit that there had been lies. Yes…..I know…its hard to believe, but there may have been a bit of state sponsored “deception”. Truthfully that doesn’t sound that bad. Just one little problem. Once you open that can of worms…….its just uncertain how many might crawl out and just what the consequences might be. It would be easy to throw a few Enron patsies to the masses but now you could open a massive tsunami that could expose the very puppet masters themselves eventually. Once that snowball starts to roll it just might create an avalanche.

Bottom line…. to fix the problem requires too much risk to the ponzi……so the solution will continue with the current policy of printing money…..and printing…and printing. Of course this will eventually roll back into the system with inflationary consequences but this could be several years down the road. Between now and then Bernanke has to fight deflation with the printing press and stagflation should be in full force before this year ends. The costs of essentials are about to rip the hearts out of the most vulnerable. This will put more pressure on the government to contain the disenfranchised as they become increasingly angry. Of course they will contain the  outcry. Don’t be deluded by your private gun ownership. That will be easily controlled. Guns will ONLY protect you from home invasions. Any posturing against the state will be dealt with easily and swiftly. So forgettaboutit and think about your family instead.

Here are the charts.

Read more at Great Depression 2