In a nutshell...

Quoting a poster "Hermit" on a local forum:

"I think our economy's big problem is that it is built on the premise that people have to buy crap they don't need to keep the wheels of commerce in motion.

When people stop buying crap they don't need, the economy tanks. I'm not so sure it's a good idea for the government to pick up the crap-buying slack to get the wheels spinning again.

I never thought I'd see the day when the act of saving was considered bad for the economy."

Succinct!

I don't see a single business out there that is not living off of its balance sheet and loans. Nobody has a reserve of any kind -- why keep a reserve when money is cheap and you can funnel profit back into growth?

Well we just found out.

Used to be, if you borrowed money and couldn't pay it back, you went bankrupt and somebody who could do the job better (if it needed to be done) replaced you. Things rolled on.

But because our businesses and banking system have been centralized and have become under the FED so intertwined, and because our currency is continually manipulated by said FED, and isn't worth tissue paper, we are caught in this shell game of buying crap with borrowed s**t.

So, instead of letting things find a balance, and retreating to a point where our s**t might actually be worth something, we flood the system in a big ol' Keynesian fountain of ever more worthless s**t. The more of it there is, the more worthless....

But regular Joe Working Guy, he learns his lesson a little too late to save his bacon... and a little too soon for fake bailouts to work. Because the economy is mostly made up of Joe Working Guy, and if he decides not to play, then the FED can move those fake shells around in a frenzy all they want to -- Joe ain't playing now, and he ain't comin' back to the table soon enough to pull the FED out of its own fire.

Just wait until it gets out that most of the state pension funds are gonna go broke over the next few years. Wait until the infrastructure starts to go -- simply because we put fake money where good, hard, honest work should have gone.

We're all grasshoppers.

When the only thing your business has to weigh against your loans is a warehouse full of crap that Joe Working Guy isn't buying anymore....

There, I feel some better now....