Comments on: The Inevitable Fate Of Our ‘Zombie’ Economy http://www.contrarianprofits.com/articles/the-inevitable-fate-of-our-zombie-economy/9233 Access market-beating ideas from the world's top investment gurus on stock market investing, the gold market, ETFs, Forex trading and real estate values. Thu, 19 Nov 2009 15:59:58 -0500 http://wordpress.org/?v=2.8.5 hourly 1 By: bpg131313 http://www.contrarianprofits.com/articles/the-inevitable-fate-of-our-zombie-economy/9233/comment-page-1#comment-7614 bpg131313 Sat, 29 Nov 2008 05:09:06 +0000 http://www.contrarianprofits.com/?p=9233#comment-7614 Ryan, you're right for right now, but not for much longer. Presently, we are borrowing our money rather than firing up the printing presses, but that's not going to be the case for long. When every dollar we borrow has interest attached to it, we accrue debt on a massive scale. That debt must be paid. When lending seizes up (like what's happening right now) there's no more money to borrow to pay off debts. That's when Mr. Burnanke walks in and fires up the printing presses, inflating the dollar, because we're going to pay those debts, no matter what, on the Federal level. We'll just be doing it with paper that decreases in value with every sheet of dollars printed. The US is by far, the most in-debt nation on the globe, if our currency becomes worthless, we'll be unable to purchase oil, which means we'll be unable to operate the machinery that runs on oil products. The military will always get their fuel, but don't think the average guy on Main Street will be so lucky. When oil becomes difficult to obtain, fuel will become difficult to obtain, and then the products in the planes, trains, trucks, and ships running on that fuel will become difficult to obtain, it's a downward spiral that's unpleasant to think about, which is exactly why most of the main-stream-media refuse to discuss it. I think the article summed it up well. As the Federal Reserve continues to take us further and further into debt through these bailouts, it's only going to make things worse. Ryan, you're right for right now, but not for much longer. Presently, we are borrowing our money rather than firing up the printing presses, but that's not going to be the case for long. When every dollar we borrow has interest attached to it, we accrue debt on a massive scale. That debt must be paid. When lending seizes up (like what's happening right now) there's no more money to borrow to pay off debts. That's when Mr. Burnanke walks in and fires up the printing presses, inflating the dollar, because we're going to pay those debts, no matter what, on the Federal level. We'll just be doing it with paper that decreases in value with every sheet of dollars printed.

The US is by far, the most in-debt nation on the globe, if our currency becomes worthless, we'll be unable to purchase oil, which means we'll be unable to operate the machinery that runs on oil products. The military will always get their fuel, but don't think the average guy on Main Street will be so lucky. When oil becomes difficult to obtain, fuel will become difficult to obtain, and then the products in the planes, trains, trucks, and ships running on that fuel will become difficult to obtain, it's a downward spiral that's unpleasant to think about, which is exactly why most of the main-stream-media refuse to discuss it. I think the article summed it up well. As the Federal Reserve continues to take us further and further into debt through these bailouts, it's only going to make things worse.

]]> By: ToneyBrooks http://www.contrarianprofits.com/articles/the-inevitable-fate-of-our-zombie-economy/9233/comment-page-1#comment-7597 ToneyBrooks Fri, 28 Nov 2008 07:18:12 +0000 http://www.contrarianprofits.com/?p=9233#comment-7597 Interesting discussion. I agree, inflation certainly is not a problem either now or will it be in the immediate future. That dubious distinction belongs to deflation, which will be around for quite some time as the global asset bubble is unwound. Meanwhile, the mass liquidation of assets assures us of a strong dollar. The government is printing money like there's no tomorrow (and there may not be). The worldwide demand for these dollars permits the Fed to loan them for 3%. One day, these chickens also must come home to roost. Mr. Kunstler envisions one plausible scenario. Interesting discussion. I agree, inflation certainly is not a problem either now or will it be in the immediate future. That dubious distinction belongs to deflation, which will be around for quite some time as the global asset bubble is unwound. Meanwhile, the mass liquidation of assets assures us of a strong dollar.

The government is printing money like there's no tomorrow (and there may not be). The worldwide demand for these dollars permits the Fed to loan them for 3%. One day, these chickens also must come home to roost. Mr. Kunstler envisions one plausible scenario.

]]> By: ryan http://www.contrarianprofits.com/articles/the-inevitable-fate-of-our-zombie-economy/9233/comment-page-1#comment-7593 ryan Fri, 28 Nov 2008 05:04:04 +0000 http://www.contrarianprofits.com/?p=9233#comment-7593 They are doing it now with the bailouts, wake up. Inflation? Pal, people don't have dollars, dollars are scarce, if people don't have dollars to buy goods you don't have inflation, furthermore we are not printing money we are borrowing it. You are remiss in assuming inflation and the US being forced to finally make things again is our only fate. WRONG. Work camps and work programs for those starving and unable to eat will come back JUST LIKE IN THE GREAT DEPRESSION. The only good point he's made is the Title of the Article and that we need to make goods again instead pretending we are arabs sitting on the worlds oil. They are doing it now with the bailouts, wake up. Inflation? Pal, people don't have dollars, dollars are scarce, if people don't have dollars to buy goods you don't have inflation, furthermore we are not printing money we are borrowing it. You are remiss in assuming inflation and the US being forced to finally make things again is our only fate. WRONG. Work camps and work programs for those starving and unable to eat will come back JUST LIKE IN THE GREAT DEPRESSION. The only good point he's made is the Title of the Article and that we need to make goods again instead pretending we are arabs sitting on the worlds oil.

]]> By: ryan http://www.contrarianprofits.com/articles/the-inevitable-fate-of-our-zombie-economy/9233/comment-page-1#comment-7592 ryan Fri, 28 Nov 2008 05:03:51 +0000 http://www.contrarianprofits.com/?p=9233#comment-7592 He's right that we have a zombie economy but his idea that the only consequence of, 'the incredible fate of our zombie economy' is Inflation? hahaha. It AIN'T happening that fast there ARE MANY MORE THINGS TO COME FIRST. We still have 10 battle carrier groups, that is the U.S. battle ship groups. We control the sky and the air, we are supreme when killing people. No I am not bragging nor am I happy about that, it is fact. We will continue to borrow money and when and if that becomes a strain on the US system, the government will take the dollars it needs from YOU by nationalizing the banking and pensions systems like we have seen done in every other country that has had similar monetary problems. He's right that we have a zombie economy but his idea that the only consequence of, 'the incredible fate of our zombie economy' is Inflation? hahaha. It AIN'T happening that fast there ARE MANY MORE THINGS TO COME FIRST. We still have 10 battle carrier groups, that is the U.S. battle ship groups. We control the sky and the air, we are supreme when killing people. No I am not bragging nor am I happy about that, it is fact. We will continue to borrow money and when and if that becomes a strain on the US system, the government will take the dollars it needs from YOU by nationalizing the banking and pensions systems like we have seen done in every other country that has had similar monetary problems.

]]> By: ToneyBrooks http://www.contrarianprofits.com/articles/the-inevitable-fate-of-our-zombie-economy/9233/comment-page-1#comment-7589 ToneyBrooks Fri, 28 Nov 2008 03:48:56 +0000 http://www.contrarianprofits.com/?p=9233#comment-7589 A fascinating, far-looking piece. The Phoenix rises from ashes. The reason for this, I suppose, is because the Phoenix is unable to reinvent itself. The American Eagle has the same distaste for self-immolation and pain. So, like zombies, we play out the hand we've been dealt. A fascinating, far-looking piece. The Phoenix rises from ashes. The reason for this, I suppose, is because the Phoenix is unable to reinvent itself. The American Eagle has the same distaste for self-immolation and pain. So, like zombies, we play out the hand we've been dealt.

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