Isn't that like using Jesse James as a reference for a teller job at WaMu?
I shouldn't bash the Republicans so much. The choices on the Democratic side are even worse and more socialist (Hillary and Hussain Obama).
Happy President's Day- may we remember the great ones.
The Home Of The Bruce Collins Show
Monday, February 18, 2008
Friday, February 15, 2008
News of Interest, 2/15/08
Scared? You Should Be Really? OK.
Gold rising in all currencies This is the dawning of the Age of The Yellow Metal
Ten reasons to avoid dollar-denominated bonds One through Ten: Because they are DOLLAR denominated.
Housing bottom nowhere in sight ...But housing's right foot spotted.
Loan crisis goes to college If we're going to have a loan crisis, it better be educated.
Green lawns could lead to brownouts Happens to me when I eat rich foods.
A Pretty Good Analogy Between Steroids And Government Monetary Intervention (Column by Peter Schiff)
February 15, 2008
Upping the Inflation Dosage
In perhaps one of biggest ironies to ever to come out of Washington, this week Congress simultaneously pilloried major league baseball players for using artificial stimulants to pump up their performance while passing legislation to do just that to the national economy. Am I the only one laughing?
In reality, the current slump in the U.S. economy is simply the come down from years of financial doping in the form of skyrocketing home values and easy credit. Rather than reaching for yet another syringe, Congress should ask Americans to do what it demands of ballplayers: play within their natural means. Unfortunately in the case of the economy, the patient is already so juiced up that further doses may not only fail to stimulate but may result in a trip to the emergency room.
As the widely praised “economic stimulus” bill was signed into law, the only dissent heard was from those saying the plan did not go far enough. Speaking for those unheard voices who disagree with the strategy entirely, I believe the most significant aspect of the plan is that it creates a new and improved method for delivering inflation.
Previously, the government has largely relied on interest rate stimulus to keep the economy humming. In this method, money supply growth, also known as inflation, is channeled through the banking system. The Fed makes cheap credit available to banks, which then lend out the new funds or use them to acquire higher yielding assets. As a result, asset prices, such as stocks, bonds and real estate, have been bid up to bubble levels. However, the inflationary impact on consumer prices occurs with a considerable lag.
Now that rate cuts alone are proving insufficient, mainly because banks are now so over-loaded with questionable collateral and shaky loans that few can consider acquiring more assets or extending additional credit (no matter how cheap such activities can be funded), the Government is opting for a more direct approach. By printing money and mailing it directly to the citizenry, the “stimulus plan” cuts out all of the financial middle men and administers the inflation drug directly to consumers.
If simply printing money could solve financial problems, the Fed could send $10 million to every citizen and we could all retire en masse to Barbados. However, more money chasing a given supply of goods simply pushes up prices and does nothing to improve underlying economics. Since this new money will go directly into consumer spending, without first being filtered thought asset markets, the effects on consumer prices will be far more immediate.
This politically inspired placebo will do nothing to cure what ails our economy. The additional consumer spending will merely exacerbate our imbalances, allow the underlying problems to worsen, and put additional upward pressure on both consumer prices and eventually long-term interest rates as well. The failure of the stimulus plan to cure the economy will cause the Government, and the Wall Street brain trust, to conclude that it was simply too small. Their next solution will be to administer an even stronger dose.
My prediction is that over the course of the next few years, successive doses of even larger stimulus packages will fail to revive the economy. As the recession worsens and the dollar drops through the floor and consumer prices and long–term interest rates shoot thought the roof, politicians and economists will look for scapegoats. Few, if any, will properly attribute the problems to the toxic effects of the stimulus itself.
However, like all drugs, the biggest danger is an overdose. In monetary terms an overdose is hyperinflation, which will surely kill our economy. It is my sincere hope that before we reach that “point of no return,” a correct diagnosis is finally made. When that occurs, the stimulants will be cut off, and the free market will finally be allowed to administer the only cure that works: recession. If that means we lose some speed on our fastball, so be it. Maybe we could use a few months in the minor leagues to get back to basics. While we may not like the economic side effects of stopping cold turkey, it sure beats carrying our money around in wheelbarrows!
For a more in depth analysis of the tenuous position of the Americana economy and U.S. dollar denominated investments, read my new book “Crash Proof: How to Profit from the Coming Economic Collapse.”
Upping the Inflation Dosage
In perhaps one of biggest ironies to ever to come out of Washington, this week Congress simultaneously pilloried major league baseball players for using artificial stimulants to pump up their performance while passing legislation to do just that to the national economy. Am I the only one laughing?
In reality, the current slump in the U.S. economy is simply the come down from years of financial doping in the form of skyrocketing home values and easy credit. Rather than reaching for yet another syringe, Congress should ask Americans to do what it demands of ballplayers: play within their natural means. Unfortunately in the case of the economy, the patient is already so juiced up that further doses may not only fail to stimulate but may result in a trip to the emergency room.
As the widely praised “economic stimulus” bill was signed into law, the only dissent heard was from those saying the plan did not go far enough. Speaking for those unheard voices who disagree with the strategy entirely, I believe the most significant aspect of the plan is that it creates a new and improved method for delivering inflation.
Previously, the government has largely relied on interest rate stimulus to keep the economy humming. In this method, money supply growth, also known as inflation, is channeled through the banking system. The Fed makes cheap credit available to banks, which then lend out the new funds or use them to acquire higher yielding assets. As a result, asset prices, such as stocks, bonds and real estate, have been bid up to bubble levels. However, the inflationary impact on consumer prices occurs with a considerable lag.
Now that rate cuts alone are proving insufficient, mainly because banks are now so over-loaded with questionable collateral and shaky loans that few can consider acquiring more assets or extending additional credit (no matter how cheap such activities can be funded), the Government is opting for a more direct approach. By printing money and mailing it directly to the citizenry, the “stimulus plan” cuts out all of the financial middle men and administers the inflation drug directly to consumers.
If simply printing money could solve financial problems, the Fed could send $10 million to every citizen and we could all retire en masse to Barbados. However, more money chasing a given supply of goods simply pushes up prices and does nothing to improve underlying economics. Since this new money will go directly into consumer spending, without first being filtered thought asset markets, the effects on consumer prices will be far more immediate.
This politically inspired placebo will do nothing to cure what ails our economy. The additional consumer spending will merely exacerbate our imbalances, allow the underlying problems to worsen, and put additional upward pressure on both consumer prices and eventually long-term interest rates as well. The failure of the stimulus plan to cure the economy will cause the Government, and the Wall Street brain trust, to conclude that it was simply too small. Their next solution will be to administer an even stronger dose.
My prediction is that over the course of the next few years, successive doses of even larger stimulus packages will fail to revive the economy. As the recession worsens and the dollar drops through the floor and consumer prices and long–term interest rates shoot thought the roof, politicians and economists will look for scapegoats. Few, if any, will properly attribute the problems to the toxic effects of the stimulus itself.
However, like all drugs, the biggest danger is an overdose. In monetary terms an overdose is hyperinflation, which will surely kill our economy. It is my sincere hope that before we reach that “point of no return,” a correct diagnosis is finally made. When that occurs, the stimulants will be cut off, and the free market will finally be allowed to administer the only cure that works: recession. If that means we lose some speed on our fastball, so be it. Maybe we could use a few months in the minor leagues to get back to basics. While we may not like the economic side effects of stopping cold turkey, it sure beats carrying our money around in wheelbarrows!
For a more in depth analysis of the tenuous position of the Americana economy and U.S. dollar denominated investments, read my new book “Crash Proof: How to Profit from the Coming Economic Collapse.”
Tuesday, February 12, 2008
News of Interest, 2/12/08
Ron Paul refuses to back McCain... Good for him, there's no telling what will happen facing John McCain's back.
Teacher reveals he taught high school for 17 years without being able to read, write or spell... That expains my graduation.
Meth Deposited in ATM, Woman Jailed... Was she expecting interest?
Major banks unveil plan to freeze foreclosures Gee, I wonder what the banks are doing with the money I put in their vault?
Ron Paul says he's still in the race - even though the mainstream media never knew he joined the race.
Monday, February 11, 2008
News of Interest, 2/11/08
2 experts see housing slump just beginning No doubt those same 'experts' once said," Housing never goes down!"
Gold gains, platinum hits another record By the way, some stores in New York have started posting "EUROS ACCEPTED" in their shop windows. Ouch.
White House: Unemployment to stay near 5% 'Bush seen crossing fingers and toes'
Ford recalling 180,000 SUVs and vans Oh yes, I recall that gas guzzler.
And the top story from Raiders News today (Drum roll please):
Former Accountant Claims Over $1 Billion Annually Funneled Through ORU By Roberts Family & Conspirators Legal defense donations encouraged. Cash, please (or Euros).
I'm a guest on the 3 Kings Radio show
I think it can be accessed at wrestling-radio.com, I'm supposed to be on at 8:05pm Eastern time.
I'm pretty sure they are going to make fun of me... but that's fine with me.
I'm pretty sure they are going to make fun of me... but that's fine with me.
Friday, February 08, 2008
News of Interest, 2/8/08
The mother of all bubbles
Ron Paul Stabbed In The Back With Unscrupulous Back-Door Deal: Huckabee Delegate Confirms
'We Are Acting Too Much Like Democrats,' Paul Says Yeah, back stabbing is most definitely a perfected art in the Democratic party... but wait...there is more!
Chuck Baldwin On 'McCain Madness'
Iran starts second atomic power plant... US warns...
Ron Paul Stabbed In The Back With Unscrupulous Back-Door Deal: Huckabee Delegate Confirms
'We Are Acting Too Much Like Democrats,' Paul Says Yeah, back stabbing is most definitely a perfected art in the Democratic party... but wait...there is more!
Chuck Baldwin On 'McCain Madness'
Iran starts second atomic power plant... US warns...
Thursday, February 07, 2008
NO integrity: Huckabee stabs Ron Paul in the back!
Can't believe it! Even if it were your people and not yourself who promised the delegates, wouldn't you honor it?
Horrible example that Mike Huckabee is exhibiting- didn't he write a book on integrity???
(observation: If Moe Howard were alive today, he would have slapped that numbskull with a turkey leg).
Wednesday, February 06, 2008
Friday, February 01, 2008
And, just like that, it's over....
Well, The Big Finale was short lived this year. Sorry to disappoint but I was having a terrible time getting people to stay committed to their interview time. Not to badmouth anyone but I was also having some issues with my producer. He's a great guy but there were some issues there that do not need to be rehashed.
Leaving the show behind (at least for now), it's not something that I am feeling bad about, from a personal standpoint. It's just that I hate to advertise people and then not be able to follow through for those who listen to the program.
I hope to stay in touch with those who wish to and I will remain at raidersnewsnetwork.com, to submit book reviews and columns. Also, I wish to write some books. The first one is soon to be published, titled "The Coming Hyperinflation".
Thank you for all of your support, prayers, emails, etc. I thank you with all of my heart.
PS.- by the way, there are some 'plans' in the work for something big in the 'talk radio' world that may come to its' fruition. I can't say more than that but if it does come to pass....you will hear from me again.
I'll keep blogging here and bringing out items of interest on a much more regular basis than before....
Until then...
Bruce
Leaving the show behind (at least for now), it's not something that I am feeling bad about, from a personal standpoint. It's just that I hate to advertise people and then not be able to follow through for those who listen to the program.
I hope to stay in touch with those who wish to and I will remain at raidersnewsnetwork.com, to submit book reviews and columns. Also, I wish to write some books. The first one is soon to be published, titled "The Coming Hyperinflation".
Thank you for all of your support, prayers, emails, etc. I thank you with all of my heart.
PS.- by the way, there are some 'plans' in the work for something big in the 'talk radio' world that may come to its' fruition. I can't say more than that but if it does come to pass....you will hear from me again.
I'll keep blogging here and bringing out items of interest on a much more regular basis than before....
Until then...
Bruce
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