The Path by Which We Got Here

The Path by Which We Got Here by David Haggish for The Great Recession

Support The Daily Coin

$
Personal Info

Donation Total: $50.00

It wasn’t just COVID that got us down the road to ruin. Because many think we are in what looks like a post-apocalyptic world of rubble only because of COVID or because of Trump, I decided now would be a good time to summarize how predictably the Fed’s Great Recovery and Great Rewind got us here.

Now that we see the Fed has become too impotent to even risk acting, lest it prove its impotence before the entire world, let us look at how predictable every step down our road to economic ruin has been. This blog has proven that by laying out each turn before we got to it so that, when we got where we are now, we could tell how we did and how one could see it coming.

Let’s not lose site of the path many never saw

Long before COVID blew a hole in the road, our present circumstances could be seen coming, and it didn’t take some conspiracy theory of smoke-filled rooms and scheming bankers in the 1920s to plot where our course was taking us — just an understanding of ordinary human nature when coupled to predictably bad philosophy.

We’ll look just at stocks because that is where the Fed was pumping all of its mojo, and looking at anything more would needlessly complicated the picture without adding value. Stocks are where most people think the Fed still rules and always will rule, as though the Fed is omnipotent and omniscient by virtue of infinite money, not human and fallible, limited in foresight, blinded by bad philosophy and, therefore, apt to fail.

In 2017, when the Fed’s Great Rewind (quantitative tightening) took us down a new trail from its decade of quantitative easing, I said stocks would not likely take any big damage that year. I mention that now to note I’m not a permabear who is right by accident because he always says the same thing, but mostly to note how accurately the path could be seen, even the times that didn’t blow up.

In 2017, I said stocks would wait to take their first major hit until January of 2018. Why? Did I say that based on some clandestine knowledge of when the Fed’s evil scheme had plotted to jog the world of finance? No, it was because many months before that the Fed publicly stated it would double down on its initial rate of quantitative tightening in January.

Continue Reading / The Great Recession >>>

Sharing is caring!

David Haggith

Knave Dave — vigilante against the false profits of The Great Recession Too many criminal CEOs still fill their porky bellies with the biggest taxpayer bailouts in the history of the world. These bailouts protect their reputations, saving them from the fall they should have taken. They continue to receive bonuses for having done an unparalleled job of destroying their companies! Many of their companies wouldn’t be making any profit at all if not for the interest they’re making off of nearly free government bailouts. Just this week Hewlett-Packard fired its CEO, but is still paying him a bonus of millions of dollars in exchange for a year of corporate wandering in the wilderness. Netflix’s CEO cost his company hundreds of thousands of subscribers and had to reverse his decision. Bank of America’s CEO launched a debit-card fee plan that was immediately stupid in the eyes of many, but greed an arrogance led him to think he could pass it by his customers, and he lost customers in droves and had to reverse his decision, as did the many major banks that followed him. Since these corporate leaders do things most of us can immediately see as being dumb, why are they rewarded with salaries a thousand times greater than many of us make?