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ECRI plunging but thats not the real story...


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#1 nimblebear

nimblebear

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Posted 17 September 2011 - 01:05 PM

http://www.businessi...negative-2011-9

The real story, is where we are in many other financial structural situations, versus 08 when the indicator was plunging at a similar rate.

The foundation is phenomally weaker, with the Fed having already shot its wad of $16 trillion back in 08 to now, to get the economy to this point at present. The next plunge will not only be far deeper and more protracted, but its unlikely we will see a v shaped recovery point as it plunges. Its going to be very very L shaped at best, and if there were an L with the horizontal bar heading down in a curved bowl fashion, that would be a more apt descriptor. Also this time, they wont be using the R word to box out the grey shaded area on the chart, but the D word. <_<

All those trillions dumped, have only served as more toilet paper to support a weaker set of company's, earnings, unsustainability, and further currency debasement. can no longer export our inflation either, so prices on everything will be doubling, tripling, quadrupling in fairly short periods of time. I'm not sure what part of that people in the markets now don't understand, but this is going to be pretty hysterical to watch people writhe in pain from the surprises. And surprised they will all be. One person who has this nailed is John Williams of Shadow stats. We don't need however hyperinflation to make it painful, it just can be inflation of 10% per annum, that makes things unbearable for this economy. The number of unemployed will make the 30's depression seem like a walk in the park. We have some of the most incompetent CEO's on record at a vast majority of companies, and MBA only trained sycophants who have bled their companies dry in terms of innovation, R&D, IP, and people talent. You can't pay that many people such low wages for decades as american companies have, and not expect to have a massive brain drain, or worse, not expect talented people to wither on the vine and not pursue their aspirations. The lack of motivation of most professionals, in science and math and engineering, is really going to be the killer. Everyone now, wants a free hand out, as the government has given so many handouts to so many undeserving walks of life, that everyone else is jealous or tired or unmotivated. Regulations too, have completely crushed the spirit of innovators. Fewer and fewer exist, and the few left all want to make their riches in a couple of years using the internet as their platform of choice. Get rich, get out, and no long term plan, and zero care of creating jobs. Yep, employment will be plunging along with tax revenues, and the dispirited who'd otherwise be quite capable of great innovation, will do the least possible, to earn only enough to avoid major taxation, and live out their lives in zombie like fashion.

We have an entirely disspirited, apathetic, unmotivated population, and the few who were are burned out, tired, exhausted, frustrated with the crap, the government, the unfairness, the pettiness, the dearth of leadership, the corruptness of those in power, and most MBA upper management and CEO types. The income gap disparity has reached epic proportions, and the best example is to simply see all the pro atheletes who keep commanding ungodly sums for rather mediocre play for only a few short years. Its a microcosm of the working world at large. The superstars are selfish in regular business, and will only put out the minimum, for max pay for shortest duration. That is not a job creating economy, but a downward spiraling, this-spirited, toilet flush of civilization. Much of its fostered by the internet as everyone knows what everyone else is doing now, and much of it serves as a demotivator. People spend far more time surfing, facebooking, tweeting, than they do even social communication which used to serve as the glue that kept communities together, and fostered mentoring, and an increase in spirit and motivation. Now everything out there only serves as vanity fair, and a reduction of motivation. People aren't motivated to do research on candidates, let alone vote, and if they do vote, its based on a media concoction of distortion and lies. Its why we keep getting worse and worse and less competent candidates, and presidents, and government. Our POTUS now is one of the most incompetent we've ever had, and its so bad, that people for his own party are screaming for him to fire his entire staff. But thats stupid too, because it was the incompetent POTUS who put his own incompetent buds in in the first place. Crap begets crap, and incompetency follows. Do that idiot screaming for POTUS to fire staff, expect he will find the right people the second go around ? Cant happen. No one with any credibility will want to get within 2000 miles of this POTUS, because the guy is such a screaming liar. He is so far in over his head, its a wonderment this country's foundation hasn't completely curmbled, and civil wars haven't broken out, or a revolution hasn't unfolded right in DC, with people literally bombing the white house.

Any way, that is the real story, and the truth, and ECRI plunging is only a confirmation of the ugliness under the surface.
OTIS.