Here is an important graph, backed by commentary which must be considered ‘middle-of-the-road’ Standard consideration. I think maybe there might be some difference from the Standard View, mainly asking myself what happens as Energy inflation returns, and Banks go back to loaning the Funds which the Fed always wished they would Lend. I believe that the 4th Quarter will be a real Bounce, as Home heating and Christmas Gifts reach for the Sky. The Fed should be prepared to sell many Treasuries very rapidly. Larry Kudlow did not help by stating that Inflation could not affect Us this Year; he being Wrong so many times that he is almost the ‘Kiss of Death’.
Study this Article, and ask yourself if the current Administration is capable of either avoidance of a federal debt crisis, or safely handling an adequate Health Care system. They avoid any discussion of Tax Increases, though skipping realistic Taxation has not maintained the economy, or even has the support of the majority of Americans. Americans do not care about Taxes, if they come only with Lost Wages, and the later is coming anyway. Americans also want adequate health care; but marginally recognize this Country cannot survive under Conditions that only Health Care Provision exists under a Booming economy; the other Production sectors must pay for the Health Care increases, and cannot do so when in deep Recession. There has been absolutely no sound proposal for limiting Health Care Costs, basically blocked by the industry itself. They may think they can get a new source of Income without regulation of Costs; they not understanding that the Firing Squad is facing them. Mark my Words: if the Government screws it up, then Americans will have no Health Care, and no one to buy Treasuries; all meaning more Pressure to reform Government effectively.
I so rarely agree with Karl Marx, that the Reader must pursue this Post. I have real trouble with ideology, being an advocate of the old saying that Everyone has some link to some old economic concept, which has since been proven to be Wrong. Consider the position of both Democrats and Republicans. They both expound Ideas and Concepts first birthed decades ago, all disregarded previously in the political sense, because of the unworkability of the programs designed. George W. Bush utilized Republican concepts originating in Reaganomics, and loaded Us with huge federal debt and slow Growth if Inflation is accounted. Now the Democrats want to take back to the failures of the 1970s. I don’t know if I can survive another Heart attack; but I find no Threat in the new Old Plans, because if any are adopted, I am prepared to die a Pauper. It will undoubtedly be my fate to endure continued Survival with Money worthless, and Production in shambles. lgl