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Load up and check out. Take the towels and the little shampoos as well.
I'm maintaining my 800+ credit rating so that when the ramparts start to fail I can borrow to the hilt (they will be seeking me out) and check out with a few precious metals purchases to supplement my income in my old age. I'll have created my own little Poinzi scheme to remove my brick in the wall from the bigger Ponzi.
So the American peoples are following their debauched leaders in squandering their debauched currency and more...? Sounds like a plan.
You goddam right. They showed us how the game is played by giving us hands-on training as well as a plethora of tools. This is gonna be fun.
See this link posted at another article:
Make special note of chart #3.
"They showed us how the game is played by giving us hands on training as well as a plethora of tools"
Damn skippy they did..Everybody is not alseep, I can guarantee you that..Patience is the virtue and there will come a time to take advatage of the situation at hand...
Be prepared, it wasnt raining when Noah built the Ark..In fact, it hadnt rained for years...
s i m p l i c i t y
p a t i e n c e
c o m p a s s i o n
w a s that a h a i k u ?
Actually they are instructions on how to be a decent human being. Probably why they are not recognized...
t a o te c h i n g
I've got my towel, do you.
Skippy...BOING, BOING, BOING!!!.
Yeah! And thanks for all the fish.
lol silly prof's and it needs back up
power of the, t o w e l .
i have great respect for my towels. very feng shui.
In fact it had never rained. All water was sub terrain. That's why no one believed Noah and thought him a fool...
Happy days Rocky. I am keen on Marc Faber`s analogy of how we each need to be our own central bank. Reserves in PMs, hard assets, fx to protect your fiat requirements and by the looks of it, the masses welch on certain liabilities...
"I am Tyler's central bank."
Peter Schiff also takes note:
walstreetpro2 was way ahead of you guys with the buying silver with credit cards that will never get paid back. Enjoy this blast from the past (June 09):
Some were doing this in 08. I thought about it myself. Of course, now I wish I had.
Thanks for posting that link. Very interesting commentary and data.
Didn't anybody take cash advances on their cards to short bank stocks in 2008? What a terrific account payable call. "Sir, you are 90 days late on your credit card payment. " "Yeah, hey sorry about that and I also would like to thank you for the 6 figure line of credit that I'm currently making a bloody fortune off of shorting your stock. If you could wait about 15 days , I'll pay you when the calendar year passes. ok?" "You are using our cards to short our stock...I ah....click...bzzzz.
...just a friendly reminder that you allocate a bit toward the purchase of ammo and a few of the tools that it is used in...good time to be brushing up on your skills at the local range....Front Line and Thunder Ranch offer some useful educational courses, especially if your liberal arts degree did not include marksmanship...it was lacking at Harvard.
Bet my FICO (820) is bigger than yours. I plan to do the same thing if the Fed will let me. Due to the current admin's bailout policies the responsible are being fucked into paying for the irresponsible; but that cannot last long. Yes, I think they will come to us.
Well, as my second wife once said, "It's not the size of the wand, it's the skill of the magician". My skills at maneuvering thru the credit world and finessing the system are pretty good after all these years. Betcha I can amass a larger fake fortune!
I agree with what I read here today. The next bubble, the great inflation, QE2...whatever you want to call it...any access to credit in the future will not spur growth, it will precipitate a desperate on credit, a last grab mentality. Of the many fatal mistakes being made today by our political and economic leaders, perhaps the greatest is the belief that they can reverse the current bust mentality that is moving the herd toward desperate and dramatic measures. AND, with the middle class increasingly caught between the metaphorical rock and hard places of massive COST inflation while access to money and credit contracts (Deflation), ANY and all crexit that somehow trickles down to the middle class will be gobbled up and used NOT to reconstitute the consumer economy, but to prepare for the tidal wave of systemic dislocation that people now unconsciously feel is inevitable.
Desperate RUN on credit
Lest we forget or ignore our sordid and sorry past, ALL credit expansions ends in busts. All of them. And the current credit bubble, the one that has been building since Tricky Dick defaulted on our gold obligations in 1971, is by far the largest and most systemically malignant expansion in the history of humanity.
What we will expeience in the years to come vis credit will be pretty frightening, as ANY access to new credit that makes it's way down to the tens of millions of middle class citizens will be treated like truck loads of food are treated by starving Ethiopians.
Brilliant Rocky. I have a question however, did you get your idea from the Federal Reserve charter?
Nah. I'm just naturally sneaky. I've paid attention to the machinations of the credit ramped economy and savored the possibilities. You could say coon curiosity.
something like that here too. critical path part of survival based exit strategy. bang them fico scores higher then use them to finance carefully camoflagued escape routes............
I've been doing this as well; it's a game of chicken right now, and I think we'll bring them to their knees before they get to fleece any of us again.
I understand the temptation but I wouldn't do it.
A person I believe had an inside track with God and who predicted the destruction of the World Trade Center, the economic problems we are having now, along with future hyperinflation also predicted that the coming times would be extra difficult for people who were in debt.
seems I am playing this game as well, RR. Seems you have generated a bit of response, I wonder sometimes how many have figured out the "game" and are running with it...and that's all it is, in reality, a "game". I could blow it all, now, and be okay with the results. I have a happy, frugal, life. A few additional luxuries, though old and not valued, I have. They are good enough...my wife, children (non-public-schooled-training-for-Matrix-insertion, they are learning flexibilty in thought, critical thinking, useful skills for the next paradigm) are my base, growing good food, building new things, saving $$$ by DIY and thift stores (and no taxes).
If you are ever visiting the intermountain NorthWest, let me know, gotta homebrew waiting and we can stratergize (apologises to Bush the 2nd)....:)
Fabulously on-target re the American mentality
One last rodeo, one last grab at the brass ring, one last day of luxury ... because they know it will never be there again.
The way Americans were coached by advertising all these years, this behaviour is no less another creation of New York's Wall Street and Madison Avenue.
It's a society without any morals or culture. No one cares about tomorrow or the next generation. It's all about me, Me, ME!
Great point. With this culture, no wonder the US is going down the tubes!
I can't speak for anyone else, but I have a kid. I care about the next generation. On the other hand, once it becomes clear that the system is rigged and everyone else is cheating, there is no incentive to play by the rules.
But the fault for this sad state of affairs lies with those who rigged the system, not with "regular" people who got fleeced.
Note that I am not suggesting that people should cheat each other. I am only commenting on the relationship of individuals to large banking organizations.
Just my $0.40. (2 cents, adjusted for inflation).
you're both right and wrong. it is a society without morals or culture. but, the rot is clearly a head down phenomena.
i'm more than willing to play the game the way it's supposed to be played, but when the insatiable trash at the top of the food chain reneges on the social contract and changes the rules to suit themselves, i have no choice but to pay attention and act accordingly.
as for me...me...me, that's their game plan not mine. money, living large, expensive toys, binging on wretched excess....none of that has never meant anything to me.
finally, those in power who were truly in a position to provide for the future well being of coming generations abdicated all responsibilty for the general welfare when they decided that their individual private interests trumped those of the public at large.
by doing so they set in motion the forces of destruction that now threaten us all............
Speak for yourself!
gives a whole new meaning to ' shop til you drop '. the drop means ' to another scocial status '. among the destitute.
"shop til you drop"....excellent!!!! ...buy til your bankrupt....spend til your sunk...
...if I were the Chinese I would be very worried about what this might foretell for their factories producing all of our future land fill....
Event horizon, bitchez !
Great post, I somehow found it hard to believe that rational behaviour had been widely adopted...
Rational behavior? To act rationally people need to know the story. Just keep telling the story, people will hear and respond. We need to go through a reset financially, it's going to be a bitch. We'll have to figure out how to respond, be prepared as much as possible. We're going to learn to be neighbors now.
The captcha must be for stoned people tonight.
Starting to save rather than max out credit would be rational. Hence me not being surprised that this has NOT happened. Get it ? Can assure you I'm not stoned.
It does seem like the PTB would rather close the gate to the rational path of caution and have us continue spending. Their "success" may not so much be a reaffirmation of the great American way, so much as the signal of an animal no longer caring because there's nothing left to lose.
And as far as being stoned, everyone knows since that first jr, high joint that regaining the high is a mugs game.
the game will provoke an extreme irrational response which will give TPTB the justification for a police state and world government.
Tyler, I'm missing the part of your analysis that documents the hyperleveraging by the "irresponsible."
I don't see how to accurately reach that conclusion from the coarse aggregate data here--I know that many (I believe most) of the charge-off's are people whose lines of credit were cut off long ago. It takes time for creditors to finally charge bad debt off, especially with, as we all know, the lengths the banks have gone to over this period to keep bad debts falsely valued on their books to maintain the illusion of solvency.
My guess is that there have been additional confounding increases in credit/debt taken out by the credit-worthy as well as concurrent deleveraging by significant numbers of the same group.
I just don't see how you can authoritatively reach the conclusion that you did based on the data presented.
Not that Deadbeats Prosper! doesn't make for a wonderfully provocative headline.
I agree, funny number interpretation going on here.
Great point. What we failed to mention is that long before the credit contraction inflection point was reached, the charge offs were long-averaging about $50 billion per quarter. You are absolutely correct that the actual charge off number is a leading indicator to the credit collapse. Also, the fact that it just hit a fresh record in Q2 2010 is likely not good then. Furhtermore, as I am confident you will agree, all that matters is the marginal move, and as such a ratio of $590 billion to $20 billion of forced versus unforced credit contraction tells you all you need to know. (And yes, that $20 billion may consist of $1 quadrillion in new credit issuance... the problem is that it is offset by a $1,000,020,000,000,000 contraction on the other side). Lastly, please point out where in the post are deadbeats singled out? For all we know Lloyd Blankfein has maxed out his 10 Centurions to buy gold and have it shipped to Bora Bora.
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