'I Am Dr. Realist'

Ron Paul predicted everything that is going on right now. Google his videos if you like. I think China will dump dollars in Sept 2009, then all hell is going to break loose.

This guy may have predicted the downturn right before we went into it, but if he's predicting a recovery then he doesn't understand how the massive inflation of money creates runaway inflation that is extremely unpredictable and can create in hours. Panic feeds panic and the whole system caves in because it will expose how paper money really has no worth.

Wow! Someone ourt there shares my opinion -- in part.

This was a great article. I actually found about about it from a blog I read on a regular basis called bearonbusiness. The author thought it was really important for his readers to understand the deep waters we are currently swimming in. To read more on his opinion go to http://bearonbusiness.com/i-am-dr-realist-newsweek-article

Hey I control the interest rate. I did put the oil to $147, then $40,
not $200 -it was a choice I made.

Kristina Brooker (126 395 086)

The bottom is at least a year off and more likely 2-3 years off. Being a realist is NOT being Dr. Doom. Denial doesn't change reality. HOPING for a miracle doesn't make it happen. CHANGING for the sake of change does not fix anything and in fact can make things worse as we see with ScumBama's spending like a DRUNKEN sailor.

In so many comments I read about the bad economy they always come down on Walmart as being the cause. I shop at Walmart in order to stretch our income. The items I buy are the same brands as those sold in any supermarketor drug store. I always buy American made products if they are available, If you shop for clothing or shoes in any upscale department store or boutique it is all made in a foreign country regardless of price. The same with name brand toys, hardware, etc., so where does all this bashing of Walmart come from? No one I know has ever worked at Walmart, so I have no allegiance to them, only trying to make a dollar stretch as far as possible so I can pay other bills. I think you need to find someone else to blame for our problems, Most manufacturing has gone overseas thanks to policies of our political leaders of the past 20 or 30 years.

Don't be fooled, Dr Doom says he is really just Dr Realist, mild mannered Nouriel Roubini. He is really Lex Luther, the leader of a group of supervillians known as the Legion of Doom. He is trying to spread world wide panic so he and his cohorts can profit from the economic instability.

At the end of the current business cycle we will have a much different world economy than even what we had last year at this time. The world economy has been built on most of the developed world exporting more than they import, their citizens saving at a high rate and our people not saving and purchasing their exports while spending more than they earned for the last couple of decades. The trillion dollar question is how will the world cope with the US no longer over-consuming because we no have a bubble to fool everybody else with? What happens to a China that has grown by selling to the US and Western Europe when we're all tapped out? The only thing there is ever a real shortage of in the end is customers and China is about to find out that you can't replace the world's wealthiest one billion with the poorest three billion.
I don't have much of vision for how this will end up, but one good guess is that China won't be able to keep growing at the 8 or 10 percent per year that they need to keep their people pacified. We on the other hand have had a large number of our most productive people retire with 10 or 20 years of peak productivity; those people have now seen their wealth cut in half or less and many of them will probably go back to work and will probably be putting many other people back to work as they build their new businesses with the products of the future. We also will have our smartest and hard working young people going into fields other than mergers acquisitions, and wealth creations for themselves by taking a commission for every dollar that they lose from the rest of us.

We could turn the economy around very quickly with enhanced profitsharing.
A profitsharing tax credit could save the economy by allowing a tax credit for every dollar returned to workers, up to 20% of net profits. This would increase household income quickly and would be a built-in stimulus. It would pay for itself with a widened tax base and increased productivity. This is a politically neutral solution, dovetailing "supply-side' theory with liberal "economic democracy". It is the missing link that capitalism desparately needs. see www.profitsharinguprising.com for a free online treatise outlining the strategy. Darian Lance Smith

We could stimulate the economy immediately, without a bailout with enhanced profit-sharing.
A profit-sharing tax credit for businesses that regularly return up to 20% of net profits to workers,
would increase household income quickly and would be a built-in stimulus. It would pay for itself with
a widened tax base and increased productivity. This is a politically neutral solution, dovetailing conservative 'supply-side' theory with liberal "economic democracy". it is the missing link that capitalism desparately needs. See
www.profitsharinguprising.com for a free online treatise outlining the strategy, Darian Lance Smith

The United States Treasury still runs the largest Ponzi scheme ever concieved. The same people whose nausiating greed got us here are setting the next vast scam in the financial world, using their "educations" to come up with "sophisticated" "technical" "brilliant" "focused" plans to GAME the system and TO ROB US ALL BLIND AGAIN. The lack of confidence that collapsed the market was among the banks, funds etc when they all realized how bad they'd snookered eachother.
Entitlements are going to kill us. Another scam, hand in the cookie jar, reason to fire the bums in Washington just as we should fire the bums of the Finacial community. But we won't.
The Obama administration much or more in bed with the same people. Structural changes? Hell no.

The United States Treasury still runs the largest Ponzi scheme ever concieved. The same people whose nausiating greed got us here are setting the next vast scam in the financial world, using their "educations" to come up with "sophisticated" "technical" "brilliant" "focused" plans to GAME the system and TO ROB US ALL BLIND AGAIN. The lack of confidence that collapsed the market was among the banks, funds etc when they all realized how bad they'd snookered eachother.
Entitlements are going to kill us. Another scam, hand in the cookie jar, reason to fire the bums in Washington just as we should fire the bums of the Finacial community. But we won't.
The Obama administration much or more in bed with the same people. Structural changes? Hell no.

More than anything, I am concerned with Roubini's last statement about the Chinese seeking to establish the yuan as the preeminent currency. Why would this occur? This would occur when the rest of the world believes that the symbolic value of the yuan is linked to something of more true value than that which the US dollar is linked. This underlying value is the ability of each country to produce and return real goods, manufactured goods, in exchange for their currency. We are giving away our preeminent position in manufacturing much in the same way we have been seduced by the series of bubbles Roubini listed in this article. In each case of these unsustainable bubbles, we have been seduced by our own short term greed and the huckstering of the captains of finance. We denied our own common sense in hopes of cashing in.

We are doing the same with the bubble of low priced Chinese goods. We as a country are denying our own common sense. We are deluding ourselves to believe it is a good thing in the long term for the US to give away our markets en mass to another country, a ruthless one at that, in exchange for low priced goods at Wal-Mart. The metaphor for this unsustainable course may not be a bubble. Perhaps a black hole is better one, because China will gladly suck the last drop of manufacturing blood away from the US if we continue to voluntarily expose our veins to them at the blood bank of cheap goods. We are anemic already from our own stupidity and lack of national discipline with regard to a reduced manufacturing capacity. But much like a junkie in need of that next fix, we continue to exchange something of long term value, markets and manufacturing ability, for something of short term value, trinkets from China.

Seems like the guys on Wall Street would have figured this out. After all, Wall Street is on Manhattan Island isn't it? But to understand what I am alluding to requires a modicum of historical knowledge, something not taught to, or valued by, the best and the brightest of our myopic MBAs who have vision only as far as the next quarter spreadsheets and their annually bonus dreams can see.

Hopefully, our heads will clear before the last of nation's manufacturing life juices are transfused across the Pacific. Let us hope so, because once they have been, China is peopled with a will that would never be as foolish as the materially dazzled junkies here in the US. China will push our unrespectable carcass into the river of history and never look back, and certainly never relinquish what was so easily stolen.

It is quite clear to me that any recovery will be a jobless one. The principal reason is that we are victims of our own creation...globalization. It's simply too expensive to manufacture here mainly because of health care costs, general compensation, worker protection, and environmental law. What amazes me still is the size and speed of the transfer of wealth from the US to China and how we were and continue to be willing participants in all of this. I personally feel that we've been sold out by our elected officials and by corporations like Wal-Mart with more allegiance to the bottom line than to country. And our service sector, particularly financials, has been decimated. No one wants to load up on American financial products and services as we no longer have any credibility. Someone has to find a way to bring back manufacturing. Perhaps small business will lead the charge.