I read in a UK publication this morning that Paulson will not get his free reign over the money and that lots of amendments to the bill are for sure .
This may mean he gets the money too late to save the world .
Gold is up to 888 and fluctuating wildly
But he'll probably get it in time to save Goldman. Maybe that's just one of several cracks in the idea of "hyper-inflation" for the U.S? I'm not saying we won't get more of it; but we have plenty right now. The governments inflation figures are the biggest joke since Baghdad Bob stumbled around outside the gate. But there does seem, at least to me, to be a couple of major deflation factors in all this.
Like the world, which has been loaning us money for the last 25 years not minding if that money slowly turns into wall paper and that there isn't anything they can do about. I don't know what countries like china and Japan will do about it, but I think they *can* will do something.
There's world bond markets who, thus far, have been a bunch derelicts instead of the vanguard of finance. It's going to get messy if the vanguard remembers what they're suppose to do.
Another problem: In the 70's people let their unions and COLA clauses deal with the inflation issue. In the 80's and 90's people let their credit cards deal with declining wages bought on by the same globalist puke bags that no longer care for the same "capitalist" arithmetic they used to make American labor feudal serfs to Korporate Amerika. I wouldn't make the assumption that Americans can support high prices for a long time with hefty pay checks, strong unions, or home equity lines. I doubt most even have the resources to buy a brick to throw in a riot--or the energy to pick up a rock. Even the riots will have to be "off-shored" presumably to angry Dali Lama monks if Adam Smith's "division of labor" is correct.
Another problem, the biggest IMO: The economic torch is leaving the U.S and looks, so far at least, to be going to china. It was uneventful when it passed to us in 1914 from England. We choose to finance the war for them because we held more of their IOUs than Germany. And because Woodrow Wilson guzzled some bath tub gin or something one night and decided he was the Great Holy Angel destined to save Europe. Still, England could no longer kid themselves that they were the economic giant with their little weenie cousin there loaning them money. But the U.S and England have the same language and similar cultures, so the "transfer of power" was uneventful. We're ain't kissing cousins with china. And they have no reason that I can think of for wanting to decorate their living room walls with expensive Treasury bonds. In fact Paulson better chill out or they just might stop shipping wax. What then will he he use to buff his head with before going to the pimp and whore party on Halloween?
