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Marc Faber To America: "Listen You Lazy Bugger, You Need To Tighten Your Belts, You Need To Work More For Lower Salaries"
Once again, the latest fire and brimstone sermon by Marc Faber is absolutely spot on, starting and ending with his "policy" recommendation for what the US needs: "I will tell you what the US needs. The US needs a Lee Kwan Yew who stands in front of the US and tells them, listen you lazy bugger, now you have to tighten your belts, you have to save more, work more for lower salaries and only through that will we get out of the current dilemma that essentially prevents the economy from growing." No money printing, no extensive protests, no excuses. Of course, this would have to accompany a global overhaul of the system, something Zero Hedge has been advocating since day one, as it is impossible to reform this broken system from within: "The problem i have with the investment universe is that i find it difficult to envision how the US and western Europe can return to healthy sustainable growth without a complete purge of the financial system and some type of catalyst. Something that restores some measure of social cohesion among people; it could be hyperinflation, a complete credit market collapse, widespread sovereign defaults, civil strife, major military confrontation.” Alas, in that he is also correct, and as we said back in early 2010, when the current episode of extend and pretend ends and the can kicking exercise finally fails, next up is war.
It is refreshing to see that Marc is a reader of Zero Hedge, and specifically the post that we consider one of the most important of the year, namely that from BSC, which laid out in black on white what the next steps will be:
I tell what you to do. I think a flat tax on everybody would be actually a good measure and i think to reduce the regulatory environment in the US. We have expansionary fiscal and monetary policies. But we have restrictive regulatory policies. And it curtails any initiative by the small businessmen., and the large businessmen, he doesn't employ and invest capital in the US, he does he that in China or somewhere else in the world where the regulatory environment is more favorable. If you look at net investments in the US, it's gone down for the last 20 years, and it's now negative. In other words, basically the capital stock of America is not being replenished. It's being replenished somewhere else. And at the same time, the policies of the Keynesians have always encouraged spending. “We're not going to get out of recession by saving. Spend, Spend, Spend.” That is wrong. The lack of savings is the problem of the United States.
Faber on volatility and liquidity:
i think the volatility arises because we have the Nasdaq bubble and then we had the housing bubble and the stock market bubble and then a commodities bubble and usually when the bubble bursts like off the 29 or after the late '60s you have a period of very high volatility for about 10 to 15 years before the markets settle down and then reignite the uptrend. As far the dollar is concerned, the reason i'm actually quite positive is that global liquidity, despite of the fact that the ECB and the European governments will flood the market with liquidity to pay the sales out, that global liquidity is tightening. And whenever global liquidity is tightening, it's bad for asset prices but good for the US dollar as was the case in 2008.
On what the true target of #OccupyWallStreet, whose otherwise noble intentions are unfortunately being abused by higher powers, should be:
Basically we have the Keynesians and the Democrats and I'm not saying that all democrats are equal, but they want interventions and we have far too many interventions in the western world where the share of the total economy that goes to government and is government- sponsored has grown. And that essentially makes it very difficult for the western world to grow substantially. As to that huge level of debts, i don't see how the western world, including the US, japan, and Western Europe can actually grow. They're going to stagnate. And when you have stagnation over a longer period of time, people start to ask questions and then they go after minorities. And Wall Street is a minority – they are a minority and anyone else would have done the same. They use the system. But they didn't create the system. The system was created by the lobbyists and by Washington. So they should actually go to Washington and also occupy the Federal Reserve on the way.
Finally, his conclusion is once again spot on: Wall Street's growth is merely a smokescreen for something far more insiduous and something repeatedly covered by Bill Buckler and other more insightful strategists: namely the infinite growth of central planning and the government apparatus. Wall Street's monstrous increase is merely a smokescreen by government to allow it to operate in its shadows and to pocket the benefits of the most mutated symbiotic relationship in the history of the world.
The problem is, governments in the western world -- and I'm not singling out the US -- they have grown like a cancer. And now they protect themselves to stay in power and they have a variety of alliances, like, for instance Mr. Obama he has no clue, but when he sees the protesters in Wall Street he immediately says yes, yes, yes that’s a good idea so he can target the minority so can buy a few more votes. And of course the well to do people want to protect what they worked for and also what they're paying for because as you know in the US roughly 50% of the people don't pay federal income tax. So actually to say that the rich have not contributed anything is actually wrong.
The conclusion is that any systemic reset should not target just Wall Street: it should focus first and foremost on what is most broken in US society: its "government."
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The problem is, fuu, your definition of barely scraping by would be an envious lifestyle in most of the world. The poor in U.S. for the most part have flat screen TV's, smart phones, microwave ovens, designer tennis shoes, eat out in restaurants (even if it is fast food) 5-6 times a week, and more. Faber's point is that in a world of free trade, the Internet, global outsourcing, and so on, a country can't expect to maintain an average lifestyle that is far more affluent than everyone else.
Do you think international wage arbitrage has anything to do with misallocation of capital over generations or is it the problem of fat lazy Americans only?
I find it funny that the poor in America are singled out for their flat screens, smart phones, microwave ovens, designer tennis shoes, eating out 5-6 days a week yet the poor in other industrialized nations are not mentioned. Do you think the poor in Europe have no phones? The poor in China have no TV? The poor in Australia do not have good shoes? The poor in India do not eat out? These are common themes around the world. The other common theme is that the money masters of the world fucked up for years and the peasants are the ones who need to tighten their belts.
Fuck that bullshit.
Point is that your definition of "poor" is colored from living in the lap of luxury (the U.S.) all these years. The U.S. has lived in fantasy land for the last 30 years powered by cheap oil, military supremacy, cheap credit, and the world's reserve currency. We all thought we were going to retire at 50, travel the world, and study painting. But reality is a bitch and she has come knocking. Go ahead and guillotine the rich if you want and take all their money, but that won't change the fact that the average Joe in the U.S. is going to get poorer in the future.
BTW, the rest of the world looks on your attitude and sense of entitlement as arrogance and conceit. They see themselves as working harder they we do, they are just as smart, why should the average Joe in the U.S. lead a life of wealth (by their standards) when they are comparatively poor.
I did not use the word poor. I used "barely living wage" which does include the working poor and the struggling middle.
I also never said we should guillotine the rich and take their money. I said we should prosecute criminals who stole money from the entire world.
It wasn't Joe Six Pack Americana that went running to Congress for TARP, TALF, QE1, QE2, Op Twist, and all the rest of the alphabet soup, it was the criminals who bet the farm and lost and could not live with the consequences.
Americans work more hours than people in any other developed country. Least vacation as well.
No one has done more to make other countries wealthy than US. The government forced companies like AT&T to give their technology for free to Japan to build them up as an anti-Communist force. Taiwan exists because we protected it. Western Europe would have been part of Russian empire. We give trillions to the oil exporters when we (have already multiple times) conqured oil fields that would supply all we need for free and could have easily kept. Remittances from illegal aliens in the US are the biggest source of income in many countries. We wrote of hundreds of billions in loans to South American, etc after their ruling class stole the money. Most of the inventions that are currently generating wealth around the world where from US and given away. Likewise medicine.
Who is working harder than we do? USA has longest work hours of any developed country.
Even Chinese would riot if they had to put up with USA working conditions like fast food jobs wher you work from 11-t and then are supposed to go home and work 5-7. Costs more for driving back and forth then it pays. Chinese buy more cars than US and Chinese houses costs the same. Beats me how that is possible when they are supposed to be making 1/10th as much but that's how it is.
So who is poor? Africans? Apparently that will never change.
Lot of Arab countries have higher income then US and they don't even have to work at alll, ever.
Northern European countries have higher GDP, work fewer hours and ha
ve less stress. Heck minium wage in Norway is $40K - about equal to average wage in US WITH COLLEGE DEGREE.
So what "rest of the world" are you talking bout - Pakistan? Zimbabwe? Cambodia? Almost nobody works there. They are not smart.
true
sad
Almost everyone in the world has a TV and microwave outside of Africa and a few countries. Flat screen TV's are cheaper than the old kind. Poorer countries rarely pay for TV service. Most Americans don't have a smart phone, poor or not, and no one needs one. Poor American's rarely buy designer tennis shoes unless they are gang bangers and they get the money from selling drugs or just steal them from people not from welfare. Fast food is available all over the world and just as cheap in local currency as US - not saying McDonalds is as cheap in China as in US but there are many local types of food that are which are not as cheap in US so it evens out. The only thing we have that's bigger than everyone else is houses but these have limited usefulness and other countries that want them are catching up. Rattling around in a big house while you run out of money isn't much better than doing it in a small one and you run out sooner.
The same as the current dilemma of the rest of poor humanity around 6 000 000 000 people that live on under $5 per day. Why do you think that the Americans are privileged to the rest of the humans. At least the rest of the poor people did not have chance to borrow and spend without regard of returning. The only reason the Americans were able to do that is the status of the Dollar as reserve currency and the military, that by the way is payed by the same borrowed dollars.
The re-balance that started in the 1971 was not allowed to continue have been postponed for 40 years, otherwise now we would be living in a different world.
What has started 40 years ago, will come to and end and it does not care who is entitled to what as the Americans and who is not. People will die and they will die in misery. Finally the world will balance itself and the journey will not be a pleasant one to say at lest. But, it will lead to a, hopefully better, more balanced world to start with. Or at least we hope so.
Regrettably the time that was lost , 40 years, will not be returned back. We have lost 40 years in building more efficient system of all human beings to live. Time it is the only thing that currently we are short of in order to face the impending problems we have created.
People keep pulling out this strawman of how the rest of the world lives on $5 a day or less. Fine- but that's not telling the whole story.
In the early 1900's, Americans lived on less than $5 a day as well- but they could buy a Coca-Cola for a nickel. Comparing numbers doesn't mean much, when purchasing power is ignored. If you tried to live in the US with $5 US a day, you would not be poor- you'd be dead. Even if you carefully budgeted enough for food, you would die of exposure.
While that may be the case in certain areas, it's not true of "most of the world." "Most of the world" has local systems in place that allow average people to eat, clothe themselves, and maintain a place to live. A lot of the world has reasonable medical care, and much of it has water that does not make the locals sick.
On the other hand, we "fat cats" in the US are in many cases being denied even the most basic of human necessities. Does anyone here believe that $30,000 a year or less in the United States is equivalent to a life of luxury? What about the people who earn $20k, $10? There are no $5 a week homes here, and there are no health plans that cover a person for $10 a month. You can't buy shoes for a nickel, and a drink of water costs a buck, if you're not at home.
Tonight, I'm packing up a bottle of fish antibiotics for a lady I work with- she puts in 45-50 hours a week doing a lot of heavy lifting, and because individual health coverage at the company we work for is over $100 a week, with a $8000 deductable, she is suffering from both a bladder infection and an abscessed tooth that is making the side of her face look like she got hit with a tire iron. When I asked her why she didn't just go to the doctor, she told me that her paycheck is already being garnished 20% from a previous health issue, and she can't risk it going any higher or she will be evicted.
I will point out that the reason I know she's sick is because she was at fucking work- typical lazy American, I guess, still coming to work with a double infection and no hope of medical treatment.
I'd love to live on $5 a day- but the prices of things have to reflect that. Right now, that $5 a day elsewhere is more like $70 a day here, and it's not getting any better.
Thank you.
Be careful of non-human antibiotics. i had a friend make herself sick from trying that. Drink 3 cups cranberry juice without added sugar for bladder and search the internet for tooth assistance.
Great post!
Nice try at deflecting responsibility. The government is broken because it is bought and paid for by Wall Street.
If it wasn't for "Wall Street" the government would be run by intelligent, responsible people. "Wall Street" people are the only people who've ever had the temerity to subvert our inherently flawed system of government. When "Wall Street" is reined in by the very government officials whom it bribes all will be well.
Once more, just for laughs: a bunch of crap I wrote at my kitchen table the other morning. Take it and stick it someplace, or don't, whatever. And no I won't post it again, and this is the only 'main' post of this item I will make here on ZH, along with one on a WilliamBanzai7 and one on a George Washington post.
4:00 AM October 6, 2011
Kitchen Table, USA
LIST OF DEMANDS TO PROTECT THE PEOPLE OF THE UNITED STATES OF AMERICA FROM FINANCIAL CATASTROPHE
I. CURB CORRUPTION AND EXCESSIVE POWER IN THE FINANCIAL ARMS OF THE US GOVERNMENT
A. FEDERAL RESERVE
1. Benjaman Bernanke to be removed as Chairman immediately
2. New York Federal Reserve Bank and all New York City offices of the Federal Reserve system wil be closed for at least 3 years
3. Salaries will be reduced and capped at $150,000/year, adjusted for official inflation
4. Staffing count to be reduced to 1980 levels
5. Interest rate manipulation to be prohibited for at least five years
6. Balance sheet manipulation to be prohibited for at least five years
7. Financial asset purchases prohibited for at least five years
B. TREASURY DEPARTMENT
1. Timothy Geithner to be removed as Secretary immediately
2. All New York City offices of the Department will be closed for at least 3 years
3. Salaries will be reduced and capped at $150,000/year, adjusted for official inflation
4. Staffing count to be reduced to 1980 levels
5. Market manipulation/intervention to be prohibited for at least five years
7. Financial asset purchases prohibited for at least five years
II. END THE CORRUPTING INFLUENCE OF GIANT BANKS AND PROTECT AMERICANS FROM FURTHER EXPOSURE TO THEIR COLLAPSE
A. END CORRUPT INFLUENCE
1. Lifetime ban on government employment for TARP recipient employees and corporate officers, specifically including Goldman Sachs and JP Morgan Chase
2. Ten year ban on government work for consulting firms, law firms, and individual consultants and lawyers who have accepted cash from these entities
3. All contacts by any method with federal agencies and employees prohibited for at least five years, with civil and criminal penalties for violation
B. PROTECT THE AMERICAN PEOPLE FROM FURTHER HARM AT THE HANDS OF GIANT BANKS
1. No financial institution with assets of more then $10 billion will receive federal assistance or any 'arm's-length' bailouts
2. TARP recipients are prohibited from purchasing other TARP recipient corporate units, or merging with other TARP recipients
3. No foreign interest shall be allowed to acquire any portion of TARP recipients in the US or abroad
III. PREVENT CORPORATE ACCOUNTING AND PENSION FUND ABUSES RELATED TO THE GLOBAL FINANCIAL CRISIS
A. CORPORATE ACCOUNTING
1. Immediately implement mark-to-market accounting rules which were improperly suspended, allowing six months for implementation.
2. Companies must reserve against impaired assets under mark-to-market rules
3. Any health or life insurance company with more than $100 million in assets must report on their holdings and risk factors, specifically including exposure to real estate, mortgage-backed securities, derivatives, and other exotic financial instruments. These reports will be to state insurance commissions and the federal government, and will also be made available to the public on the Internet.
B. PENSION FUNDS
1. All private and public pension funds must disclose their funding status and establish a plan to fully fund accounts under the assumption that net real returns across all asset classes remain at zero for at least ten years
why all the mickey mouse rules for the fed. how about:
1) End the Fed.
Hi Jim
I just wanna check. You want to ask government, the exact people who go us into this, to enforce this?
I especially liked the prohibition on manipulation. lol.
See, how nice & polite my little list is? It's all quite reasonable. Doesn't even limit compensation for the private sector or nationalize anything.
All very mellow.
Good to see you, Jim. Hope all is well, brother.
Yeah I think you've got a pretty reality-based program going there. Good job of taking reality into account.
I don't disagree with you at all, but I also think we need to see some serious justice done too. A whole shitload of banksters need to need to see the inside of a serious, ass-pounding federal pen, imo.
We must have justice in our reality.
Hi Matte_Black, best to you as well. Can't believe I am two years old here. Holy crap.
Yes, sure, plenty of that justice stuff. But we have to cut through the root of the elite-gov't corruption on an institutional level. That's what this is: legal, financial and PHYSICAL severing of the worst cancer.
Not at all intended to be everything, not even everything 'financial'; HFT, dark pools, derivatives etc. also left for later.
Others can take other approaches but I have concluded that we have to at least point out the psychopaths' inability to stop themselves even as society crumbles. Plenty of other issues (taxation, monetary system, imperialism etc) will never get dealt with unless this monstrosity is dealt with. It's built in to the organism.
Party politics? I gotta New National Party to throw in, not ready yet...and probably not going to get worked out on ZH.
From your kitchen table to God's ears, Jim. Yes, agree absolutely with your main point.
How to make this politically doable, though?
I suggest switching to Decaf in the morning.
1. Immediately implement mark-to-market accounting rules which were improperly suspended, allowing six months for implementation.
2. Companies must reserve against impaired assets under mark-to-market rules
But, but, but, teh solvency!!!!11!!1!1
They'll be INSOLVENT!!1!11!1!1
It will all CRASH!!1!!!!!11!
Old people and clidrenz starving and dieing in the steetz!!!!!!11
Cats and dogs living together!!!!!11!!!!!1
And what about the roooooooooooooooooooooooooaaaaaaaaaaaaadz????????
BTW, fuck the six months. Fire sale the fuckers. I'll take those assets at 20-40 cents and actually do something with them.
In fact, I've got a plan in the oven. But unless tha government pressures the banks to dump this shit, it ain't gonna happen.
I know a lot of people who work really hard for almost nothing. Working at small factories for 50 hours a week gettng $9.50 an hour. I also know a lot of people who work at UAW factories that barely work at all for $30 an hour.
I know a few people that make a few hundred thousand dollars a year that work a few hours a month, mostly lawyers. I know a few doctors that work 60 hours a week and are never home to even use the hundred thousand they make.
The problem is America has lost the middle ground. We used to have a strong middle that worked hard for enough to live a good life. Now you either work too hard for to little or barely work at all and take home millions you can never use.
Eventually the world will declare war on the US. War is most certainly coming. Thank you Wall Street.
Who has "Wall Street" bombed lately? If you want to blame someone for instigating hatred of the US why not look to those who are raining down missiles and attack drones in order to spread democracy?
Save more? I have to assume he means that earned money should be placed into a savings account so as the fractional reserve banking system can loan it out as capital to build business. My persistent hording of items in my mattress is good for me but does not do well for the fractional reserve system. Is Marc suggesting I take my goods to the nearest bank for deposit in order to better our society? I will need more than .001% return for that.
.
Dr. No said:
No doubt. Thanks to Bernanke's Perma-ZIRP, there is no incentive to save. And the real interest rate is below negative one (-1). What a totally dysfunctional economy Bernanke has masterminded.
When 1 in 4 children lack 'food security' - dire poverty, who the fuck is saving money in the US? It's scary watching from the outside of your ultra-capitalist fishbowl.
Marc: when pigs fly pal...... We will need shit to clog the fan and then some before any of what you are saying will even begin to be considered. Nice try though.
Work harder for less so that banksters, politicians et. al can remain in power ie fucking the populace out of fair wages until there is disproportionate growth ie greater profits for said banksters and politicians et. al based on legit profits on the backs of honest men and women (vs. QE theivery, regressive taxation and the like)¿?
Lovely. Just lovely.
How about a structural restructuring? And then we may discuss the means of production and labor? Or should the poor SOB's just toil away as the can continues to get kicked and kicked and kicked?
Maybe you can retire to that cesspit sinkhole known as India, drink Coca-Cola and trash easy targets like dead men with great names?
The root of the problem is a criminal ponzi monetary system based on continual expansion of debt and war. The first is already reaching the point of mathmatical impossibility and as things degenerate the second ....
OccupyWallStreet: The Kids Are Alright! - Click to view link
Our nation was founded on the principle that government's one legitimate function is the protection of life, liberty and the pursuit of happiness (private property). This principle is in peril. For those charged with protecting us have been captured by an evil monetary construct that drives their greed and lust for power.
RAPE OF THE REPUBLIC Click to view link
Here's something else you might find interesting.
Graphic: Financial World Dominated By A Few Deep Pockets
END THE FED
Visit: Inflection Point
+1 for Faber!
ps: and does everyone else HATE these fucking ads before the real vid? egads give me a break.
LMAO That soft mofo hasn't done a hard day's work in his life.
buzzsaw hits bullseye, as usual, in the patented style. reckon you're like me in throwing out the "Welcome" mat to everbody that's got a great idea for YOUR life, eh?
Wall St. didn't make the system, the lobbyists and Washington DC did.
And Who was it that paid those lobbyists? Oh yeah, Wall St.
Does Marc Faber think he should work for less money? I betcha I think the same way about his paycheck that I do about mine.
Did someone force the children in congress and the white house to take the money? There's enough culpability to go around. Its not either DC or Wall Street, its both.
Rein in government and its Wall Street cronies will wither as well. Ask the government to rein in Wall Street and you give more power and control to government which it will then sell to the next bidder that comes along.
Government is the problem
The problem is that the market knows saving fiat currency is fucking stupid and taking out loans that get paid off with inflation is fucking genius.
Bernanke has no clue, Occupy the FED, Obama has no clue, lol
Congressional Term limits, campaign finance reform, reform lobbyists, end the FED Reserve, no more corporate /union bailouts.
Fixed.
Well, okay, Marc, I might be willing to do that.
Just wanna check on one thing, though: I should do that so that "investor" losses won't have to ever be recognized, mega crimes will go unpunished and uncompensated, and . . . well, you know, keep spinning silk sheets for gangsters with my blood, sweat and tears? Likewise for my children? And their children?
Just checking. I don't mean to imply that they aren't the nicest guys around! Best and brightest, all that.
Hey, I agree with the Government: Those guys are the greatest.
Of course, it's their government.
But last time Marc Faber said Ameica only makes beers and hookers these days. I tightened my belt, am willing to work as a slave, and can save more. But, where are those jobs, Mr. Faber? Oh shit. Foxconn hasn't opened their factories in America just yet.
http://farm7.static.flickr.com/6238/6234558081_f10d25fb9b_z.jpg
And just when Faber starts jabbing taxin' the rich, they fuckin' cut him off.
"Sorry Marc, we gotta go"
He's spot on, as usual. For all the idiots that keep insisting that debt doesn't matter and lets just print more and more money [Keynesian morons], please find a new cave to inhabit and leave the rest of this country alone.
This is a fucking joke
3 guys walk into a bakery; a banker, a government employee, and a tea partier.
There are a dozen cookies on the counter;
Banker pockets 11 and tells the tea partier the damn government worker is trying to steal his cookie.
I"M NOT FUCKING LAUGHING.
I'm stealing that analogy. Brilliant.
Much like America, you can't steal what has already been stolen.
http://www.workjoke.com/bankers-jokes.html
A pirates life for me.
Beautiful analogy.
Except or the fact that the government worker takes your cookies and gives them to the banker in exchange for a bribe. That's kind of important, don't ya think?
I make six figures, but I'm most proud of the revolution I'm making right now with my brothers and sisters. Makes much of this discussion irrelevant. The system will be smashed and we'll build something good in its place.
And I'm pleased to know that at least one establishment stooge reads ZeroHedge.
as insightful as faber often is, he slurped way too much geritol this morning....
lower wages is not a solution for prosperity...wages should be flexible to adjust to economic conditions - a situation which hoover and fdr prevented during the last depression which extended unemployment for a decade longer than necessary....the root cause is not wages per se - it is capital destruction - a phenomenon in an advanced stage due in large measure to fiscal and monetary policy run amok since 1971 and 1933...the destruction of the currency by the fed in response to fiscal policy and fire economy rapacity has caused massive problems because a debt based currency is a cancer on the economy....
let's get to root causes before calling for lower wages...if they fall due to natural market forces, then it is a balm of healing - otherwise it is more sloganeering for the poverty society...the focus should be real wages rather than nominal wages....falling wages can actually accompany higher living standards but that presupposes free markets which are in acute short supply today.
Well guess what the #1 root cause is?
This economy naturally wants to deflate (lower prices, lower wages, more savings, less taxes, less unnecessary consumption). The government is desperatly trying to stick to the old playbook of more debt, public "services", inflation and spending for the sake of spending while at the same time making everyone more reliant on an ever-expanding, more centalized government.
If the government just got the hell out of the way we could all do more with less. Give me that and I'd be happy to let Buffett et all keep their billions. Instead we're sliding toward less liberty, less property and less of a life all in the name of more "security".
IQ tests before voting!
Like point the USA out on a map.
Faber's very worried about "minorities" being targeted as the situation continues to deteriorate. Particularly the minority that runs Wall St., the Fed, Hollywood, the Law schools and legal system, the college campi, mass media, both political parties, foreign policy establishment, and etc. The selfsame minority that Faber himself belongs to. Possibly one of the major sources of our National crisis is that this minority has gotten way, way, way too powerful.
I think what he is talking about it the method by which tyrants and fascists can consolidate power via the tyranny of the mob known as "democracy" by isolating and attacking minorities - pitting one group against another. You don't have to fool all the people all of the time, just a majority for a brief time. Without the rule of law, mob rule WILL trample those not in the mob. That is why minorities band together for safety in numbers.
You forgot big Argi, Big Pharma and Big Oil in that rant Mr Fascist...
I never rant. I always enlighten.
Wages effectively frozen since 1978. Both parents working full time, latch key kids raised on tv dinners.Taxes up the ass on everything, fees and fines to the moon, $100 seatbelt infractions..
Inflation eating up the savings of the working class. CEOs making more than 300 times the wages of the blue collars, and the dill hole wants working people to take a haircut. Fine, only after the bankers, financiers, welfare recipients (corporate and private) and the government employees get theirs.
I'm a populist on this pay stuff. Working 60 hours a week and bringing home $600 will do that for you.
Building things that sell for 120K in six weeks. More! We need more! Tuff titty.
GM and Ford workers just got substantial multi-year bonuses and wage increases.
No tightening in that sector.
Wall Street Bank execs are scheduled for another Whopper Mega-Bonus Bonanaza this year...
No tighteningin sight on Wall Street either.
Sorry Marc, it just ain't happening.... As the fellow poster wrote...
"When pigs fly..."
You are comparing people who actually MAKE SOMETHING to someone who produces nothing? Seriously?
"The conclusion is that any systemic reset should not target just Wall Street: it should focus first and foremost on what is most broken in US society: its "government.""
Thank You! That is what I've been saying/thinking about OWS and their nationwide franchises for a week! I've been taking a lot of shit for it too...now Ronpaul2012 already!
How about this: Listen, you, fat, bald, old(er) middle aged eurotrash. Either you STFU, or we're gonna incinerate you and your harem of underaged Thai boys with a Predator drone armed with Hellfire missles? Because let's face it: everyone knows that there's no other reason for a fat, bald, old eurotrash male to live in Thailand except for underaged boys.
Describe yourself so that we can compare?
Got a relative who went at the same time to Hong Kong as Faber did
Lots of HK people retire in Thailand, as Faber seems to plan
Do NYC folks retire in Florida because of the drugs?
NYC folks retire in Florida because of the drugs?
Steady...
But targeting the government would be like attacking a zombie that is owned by Wall Street. We talk alot about Zombie banks, but the real zombie here is our government that is owned by Wall Street.
Just because you hire a bully doesn't mean you own the bully. If you find that you need to hire a bully to enforce your will then it stands to reason that the bully is more powerful than you, not the reverse.
Government is the problem.
Generally, I like the guy and what he says ,except it all goes away when you catch a glimpse of the Hari Krishna pony tail. What the fuck is that? Is he trying to look like those twin douche bags on CNBC?
What we need is productivity and a desire to work. if people think they can get by on handouts they loose the desire to work, particularly in a rigged system like ours where with fractional reserve banking and the federal reserve system, there is a guaranteed plutocracy of uber-wealthy with everyone else scrapin' for crumbs. The problem is with both the carrot and the stick. There must be sufficient pain for failure to produce and sufficient reward for real productivity. Our system is lacking both of the fundamental drivers of human behavior.
Faber: I find it difficult to envision how the US and western Europe can return to healthy sustainable growth without a complete purge of the financial system and some type of catalyst. Something that restores some measure of social cohesion among people;
ZH: The conclusion is that any systemic reset should not target just Wall Street: it should focus first and foremost on what is most broken in US society: its "government."
Mercury: Amen.
Suck my dick Faber, once the fed starts pursuing deflation then we can talk about lowering wages. Why would people accept lower wages when the cost of living keeps increasing? And how are people supposed to save on less when they don't have enough to save right now? Lazy buggers? Fuck that, I bet I work harder in a 40 hour week then Faber does in any given month, and he probably makes more in a day than I do a year. This cocksucker deserves a baseball bat to the temple.
You are very angry. Dont be hating on the messenger. I dont need Tyler to tell me Faber is right but he is "the latest fire and brimstone sermon by Marc Faber is absolutely spot on".
If you disagree with Faber...and by extension Tyler...and by extension Zerohedge...and by extension Hyjek... and by extension most people who read this daily...probably 30K-40K people daily...couple hundred thousand globally...more than marketwatch.
The reason you are not feeling the love for your effort is not Faber. Faber is telling you that some pain is needed before your efforts can be properly rewarded. That wont happen until those earning more than they should are placed properly in thier Austrian position in society.
Yes, be a good slave and someday we will pay you if market conditions allow of course.
Wall Street deflecting blame on government and government points to Wall Street to blame
both are shadows and mirrors which are controlled by the ultra-wealthy elite who use both wall street and washington in tandem to maintain their control of basically everything.
Concentration camp rules. What a docuhe.
So what you're saying here Mark is that it is time that the lazy, useless bastards that do nothing but push paper around the Wall Street casino and produce absolutely nothing that anyone could buy to clothe them, feed them or house them should "... work more for lower salaries" ... in fact considering what they contribute, how about the minimum wage, which is exactly what they are worth to society. How about some accountability too Mark? When are the greedy parasites that created the chaos going to pay?
Re work harder for less
Probably tells the hookers in his domicile of Thailand the same thing...
Any another thing: what's with pony-tail on this dude?LOL!!!
That's his skullet, dude.
Hahaha! thanks - I'd never heard of it!
http://mulletjunky.com/skullet.htm
Ok, Marc, you start. Lead us by example.
I will be happy to take an additional paycut after all most of us are already doing 3 jobs for the same pay we had going into 2008.
So Yes, I will take another pay cut AFTER every human being living off my current paycheck takes one first!
Then after they do all Execs and CEOs and Shareholders can also take a "paycut" and so it begins....we all take a paycut so "the men of money" that actually produce NOTHING (like Faber) can continue their lifestyle unabated.
CHECK IS IN THE MAIL
He's right, but it was be a better pill to swallow if the bankers didn't get constantly bailed out. It's the backs of the middle class that enables all the moral hazard (on both ends, welfare for the poor and welfare for the banker elite).
Bankers getting their EBT.
http://www.youtube.com/watch?v=NzspsovNvII
Answer to unemployment: http://www.ibtimes.com/articles/228475/20111010/occupy-wall-street-prote...
I would say the same thing to Marc. get a job. Stop sitting around skimming profit of others labor. Your a parasite if all you do is follow capitol around and esploit people. Go work in a sweat shop Marc and see if your fat ass can handle it. doubtful
Does Faber force people to pay him or do they pay him willingly? Why do you have a problem with the way a guy makes a living when it has absolutely no effect on your life? The word "envy" comes to mind.
I was just back in the USA for 6 days...I had to use the Yellow pages for something...what threw me was about 1/4 of the yellow pages in Denver are Lawyers...that is what is wrong in the USA....paper pushers..not producers.....where I live its hard to find a lawyer...and if you do..they are not very good...
Back from Vegas... business and pleasure... free market still works... home of the $15.99 all-you-can-eat prime rib.
Farber is spot on. Government and financial systems are broken, this we know, and all those social entitlement contracts will be broken because they can't be paid for. Going to happen through slow attrition or massive reset. Increased regulations feed crony capitalism by weeding out small and medium sized businesses unable to comply.
"It is absurd to think the US can rebuild their economy with 15 million fruit pickers." Lee Kuan Yew, former president of Singapore and creator of their financial miracle.
"Everyone must now become their own central banker" Marc Farber.
Andy Xie got fired a few years ago for having put forward the truth that Singapre was built on the money laundry business for those Southeast Asian dictatorships back in the days. Fuck you, Lee Kuan Yew, another big piece of shit dictator.
Yeah, they're pretty tight in Singapore. Having drugs/pot on you is a mandatory death sentence. Mere THC in urine is 7 years. Beware going through the airport you don't act an ass and standout in the crowd.
It's another form of facism, and you're forced to save by the abusive state. Fuck it, forget it.
But if you are Chinese, you can easily get cheap slaves from the Philipines and sexually abuse them without any fear of getting in trouble. Maybe this is what Faber has in mind.
At some point the wealthy are going to wake up and realize they have enough money to make it through a depression...when that occurs the exits will mysteriously disappear....
I don't know what's gonna happen, man, but I wanna have my kicks before the whole shithouse goes up in flames. Alright! -Jim Morrison
Might want to replace 'kicks' with preps or phyzz, or ammo, or d) all of the above.
yes, great plan, work hard for 20 years, save, save, save, buy a simple house circa 2007, lose everything, no college for kids but that is OK. Fed has proven that PHDs are dangerous and education means nothing unless you can steal or gaem the system. Hard work is for suckers
Nah. We Americans will only vote for someone who makes us feel good in a nebulous way (e.g., hope & change) or promises us expanded benefits at no cost (yes, outright lies). Anyone who tries to level with us or apply common sense is SHIT OUT OF LUCK as a politician. That is, until our economy collapses and we start to cannabalize each other. Which may not be that far off.
"we start to cannabalize each other..."
Starting with Faber who I'm certain will be delicious smothered in onions and served with Fava beans and a nice chianti.
America to Faber: Go Fuck your self. Oh, and please stay in Asia.
Yeah, didnt he just put a big red bullseye on his back.
F*** that noise. Nobody is going to agree to eat a shit sandwich until their government confesses the whole system is a Ponzi scheme and a big fraud and they are all lying thieves that deserve to be incarcerated... and that's not going to happen so here we are Marc Faber. It will likely end in violence via a War they start to get all the jobless young men off their streets or a revolution started from the people who've been lied to for so long. Either way lots of death as usual.
The Founding Fathers would never have accepted our system of taxation, would never have accepted the Fed, would never have accepted the diminishing of our rights [the federalist papers did set forth an argument why "factions" were a good thing in a democracy, so K Street was expected].
I like Faber and I subscribe to his monthly newsletter, but he's missed the mark here. I wouldn't call anyone who's working 2 or 3 jobs just to keep a roof over their heads a "lazy bugger." I'm sure that person would love to make enough money to "save more." And enough of the "too much regulation" BS. Bring back Glass Steagall, and a whole lot of problems go away.
Glass Steagall was not simply repealed. It was replaced with Graham-Leach-Bliley which was a more extensive piece of legislation. There was no deregulation.
Government is the problem.
That would be the same Graham whose wife was on the board of Enron after in her role as government commodities regulator she ruled that it was illegal for the government to regulate the piece of crap contracts Enron was ripping people of with? Couldn't have been any influence of the gamblers on the legislation. Guess that explains why Goldman Sachs is a 'bank' now. Not like they would be involved in speculative activities which Glass Steagall prohibited. Strange that we didn't have any banking crises while Glass Stegall was in place except for the S&L right after they were deregulated.
So you agree that the government regulations sponsored by Graham and signed by Clinton helped create the current crisis and you realize that deregulation can not be blamed because it did not occur. Good for you!
Simple example of deregulation causing problems was the removal of restrictions on the amount of trading speculators who had no intention of accepting delivery can do in the commodities market by Bush. Talibi's Griftopia book has a good explanation of how this has probably increased gas prices by $1/gallon. CEO of Exxon agrees. Likewise most food. Americans can generally absorb higher basic food costs but in other countries this has caused great suffering. Fortunately, I just read they are considering puttting them back. Somehow they estimated this would cost GS,etc $100 millioin - surely only a tiny fraction of the profits they made when they jacked the oil price up to $140 briefly. If the bribes don't rush in soon, it might happen. Probably you will be outraged at the government interference in private business. It should be up to the individual housewife to figure out how to deal with Goldman, etc.
Government regulation is written in order to protect corporations from consumers and from competition. Government agencies are staffed by people who have worked (and will work again) in the industries which they supposedly regulate. Lobbyists write laws which they convince politicians to enact and enforce.
The government doesn't protect the housewife from GS, it protects GS from the housewife. You're supporting the very people who are screwing us -- those in business who use the power of government in order to strengthen their own positions.
TARP was an example of government regulation. 'Nuff said?
OK, finally I agree with you. Wow. Are you only one person or a team of Vietnamese?
Well, I do support these folks:
http://www.vietnamfriendship.org/
For the record there are more End the Fed signs than just about any other one sign at the OWS -
It's a which came 1st chicken and egg thing -
I vote for Wall Street - aka the international Bankster was there 1st and then bought off the politician -
The rothchild banking family is older than the usa
Not sure if he's suggesting you need to take a haircut. He's telling you that you will take a haircut. And in fact you are in the aggregate.
who here honestly didn't think the future included working more and earning less??? We are deflating.
"Faber was born in Zürich and schooled in Geneva, Switzerland, where he raced for the Swiss National Ski Team." (Wikipedia)
Obviously in touch with the working American man/woman. Bet he earned good money skiing.
.
FYP
"Nice try at deflecting responsibility. The US Government is broken because it is Wall Street."
BTW
The only Darwinism that folks like those ignorant fools above are gonna learn is at the end of a barrel of a gun after The Great Riots start.
Lazy buggers hunh. He must mean the paper pushers on Wall St. He forgot to mention the wage stagnation of the past 3 decades and the credit that made up for it.
He skipped that part of the story, which apparently isn't relevant. He did note, however, that we have to work longer and harder for less, as we pay those debts. I almost got the feeling that paying the debts was his real point.
But I guess that's fair. Just because we earned less money doesn't mean that we should get out of paying the piper.
What a charming little imp he is! He was so pleased by his inspired suggestion that Wall Street do demonstrations at the Fed . . . the whole show stopped for a few seconds as he savored his genius. I could've sworn somebody was softly blowing on his balls.
The whole thing was just so precious.
Something that restores some measure of social cohesion among people;
WWIII or New Deal 2.0
Take your pick.
We're three years into New Deal 2.0
No, we're halfway through Dubya's 3rd term.
More in-your-face government, more overhead to cover evey day when you get out of bed and less autonomy whatever you call it.
No arguments from me.
LOL, the dollar and fundamentals. Yeah, I'm bullish on the dollar too, until Bernanke gets the hand slap, TAG! You're it! Then the dollar goes down and the other currencies they want to rise go up. This is a global seesaw debasement, one goes up, the other goes down, and then they switch, while the sum of the two always fall. Meanwhile, I and the other idiots stand mesmerized by the stock market like it's some sort of Irwin Allen disaster movie interspersed with clips from the sound of music.
I need to go on meds. Can't ...take...much more.
The Austrian School says bonds are certificates of guaranteed confiscation of purchasing power. Federal Reserve Notes recently printed by the trillions are non-interest bearing debt certificates known as dollar bills and their value is being eroded at warp speed. Another way the government robs the population is through the tax code where standard deductions haven't kept pace with 30 years of currency devaluation either. End of story.
What real wealth, what real money are you stockpiling to carry your family through the revaluation of the dollar? The FDIC isn't going to cut it.
This guy is so weak he couldn't punch his way through a wet paper bag with scissors in his hands.
As usual Marc Faber identifies all the key problems. Big government but not of the people, by the people for the people. And far too much debt. The way out, much smaller government, simple regulations that can't be worked around <e.g flat tax on all wealth to fully fund this much smaller government> And programs to ensure that no one dies from starvation. I am tired of big government and the illusion of democracy that is spun. I would even be ok to try an elected for fixed term beneficent dictator with much much much smaller government whose chief concern is the welfare of all people and our children and our children's children. Realizes this is just a pipe dream and comes back to reality: All government is evil.. more government is just more evil.
A coupon-clipper named Faber
Was fond of rattling his sabre,
He down-sized from a mullet
And now sports a skullet
And hopes we'll re-turn the favor!
You morons can 'save' all you want, you will NEVER get ahead in a DEBT BASED MONETARY SYSTEM that is designed to keep you from amasing wealth UNLESS they WANT you to. Think housing bubble, nasdaq bubble, any bubble. End the MF illegal, private, Federal Reserve Bank and jail the bankers!
Compared to rest of world you Americans have it still easy.
In Eastern Europe many countries live with 500dollars and higher payments.
Now that is real poverty and people run away from small villages as survival in cities is easier.
But then again they are broken by 50 years of deportations and mass murders, any resistance is dead.
Your nation on other hand is just giving up their keys and their children.
Yes but their standard of living and quality of life is still rising pretty rapidly compared to when they were Russian or Nazi occupied. In America, it's going down.
They also have almost no natural resources, are split up into dozens of groups that have been trying to kill each other for thousands of years during which they were almost always ruled by a King/dictator usually from another country esp Turkey, never invented much (not that they are stupid, upon emigration they invent a lot - Tesla Rules). US has most of a continent organized into a single system (sort of) with many natural resources, 200 years of relative stability and until recently the capability to take any resource we want from anywhere in the world including smart people. So we should have higher standard of living.
They will probably surpass US in another 50 years. Only briefly - then the Muslims will invade from France.
"And for now, only one is getting very close : France, Suez with their fusion reactor that will go fully operational in about 10 to 15 years"
Thx for the nod to French inventivity, my Belgian neighbour but I think you're mistaken. Over the last 50 yars there hasn't been ONE breakthrough invention coming from the French (or other country's) nuclear industry. What we have *today* is still based on the 1950's U.S. Westinghouse design. The newest invention EPR is a walking disaster and I have no hopes about fusion reactors...
The German Siemens understood quickly EPR was a dead-end : they withdrew from the project years ago...
At the same as the CNBC interview, Marc Faber did an interview on BNN.CA, in Canada. He says gold could correct to $1100, and to prepare for China slowdown:
http://www.bnn.ca/
This from a hippie yodeller who spends half his life on ski slopes and the other half on beaches in Thailand. Nice...
Yeah, Thailand. That's why he's there - the beaches.
The bitchez, bitchez
The free market for drugs and prostitutes is pretty strong there so I am told. This might have affected his outlook on the benefits of same.
why pay the debts??? default and start over
What's strange to me as a non-American is that someone pops out of nowhere and goes on U.S. TV and treats you the AMERICAN PEOPLE like an African country. "Hey pull your fingers out of your asses and start working!!".
I never thought I'd see happen one day... Strange times indeed!
Anyone who thinks people making less than 100k/yr should take a hit on their paycheck is just another deluded fool.
Wtf? Not that Faber isn't a brilliant analyst with great insight, but he is also a pampered cocksucker who drinks some serious koolaid at times.
This is just bullshit. Another rich prick who thinks too highly of his own opinions. Fuck off Faber.
Yes, life only gets better and no one ever has to readjust to changes unless they feel good about doing so. The world always conforms to the demands of the self deluded.
Americans (in general) are the hardest workers on the planet. Screw this guy. Has he looked at the vacation time and perks other countries workers have been getting compared to American workers? What country is bailing out the rest of the world with their dollars? Are foreign central banks sending money to the U.S. Who's protecting their asses with their military? More Europeon BS.
Yeah, Ben works so hard to print those dollars and carry them to the hellipad. God bless America.
Yeah, and the fed just gives those dollars away for free. God bless America.
So when the Fed gave $16 billion to foreign banks how much work did you personally do to earn that money?
That would be about two hours per American based on the per capita GDP.It wasn't $16 billion. The whole AIG FP was in UK and that alone was a couple hundred billion. But that's small change compared to what we spent on European defense since WWII not to mention the cost of WWII Europe and WWI.
The Fed printed the money and received bonds or other collateral in exchange for it. No one worked for a penny of it. You really don't understand monetary policy, do you?
Yes, the Fed receives highly valuable mortgage bonds which could not be sold for 20% of face value but gives the banks 100% of face value. With the other hand, government agencies are ordered to buy trillions more of the same at face value with resulting losses shifted from banks to taxpayers. Then banks are lent unlimited amounts of money at near 0% which they lend back to the government at several percent thereby shifting further money from taxpayers to banks. Meanwhile banks pay savers 0% and lend them money on credit cards at 18% with many fees. So basically monetary policy consists of shifting money from individuals to banks using the government taxes as the shifting mechanism. The inflation resulting from transfering huge quantities of real and imaginery money to the banks is then somehow converted into deflation by government statistics thereby further reducing the wealth of individuals. Banks use the money to speculate in risky assets, drive up commodity prices, etc until they make a bad bet and demand more money.
So far as understanding monetary policy, I don't think you could pick 6 random economists and have them agree as to whether we are going to have inflation or deflation or whether the present monetary policy is making either one more likely or if there was an agreement, what the appropriate monetary policy should be. Supposedly, we have many highly qualified expert people that understand monetary policy - the same people who said the subprime mortgage loans would not be a problem, etc. I think the South Park episode where the monetary policy was decided by cutting off a chicken's head and seeing what square he stopped flopping on to decide what to do summed it up pretty well.
So are you still suggesting that the $16 billion which the Fed used to bail out European banks was somehow paid by the US taxpayer or do you understand that it was simply printed out of thin air and exchanged for European paper?
I see from your website that you are a RP fan. Fine. I voted for him. Now, surely you are not going to tell me that you believe the Fed printing $16 billion and transferring it to a European bank was real money? Are you?
Here's what I believe.
1) European bank has $16 billion in worthless loans - perhaps second mortgages on Ukrainian tractors from Cherynobyl zone. For many years they carry this on their books betting that radioactivity will turn out to cure cancer.
2) Investors find out about this and start complaining
3) Fed is alerted that member of ruling class bonus possibly in danger and immediately rushes $16 billion in exchange for loans which are worth somewhere beteeen 0 and 0 dollars.
4) European bank than invests the (you deem completely worthless paper fiat money) in something else. Maybe they buy 5% of Apple. Maybe they buy gold. Maybe they send their whole staff to NYC and spend it on prostitutes, cocaine and liquor. Whichever option they choose, Americans will have to work in exchange for those (you deem completely worthless paper fiat money) pieces of paper because Americans need them to pay their bills especially their bills for gas and food which will be greatly inflated by the speculations of banks receiving similar loans from the fed.
5) Couple years later the Ukrainian tractor loan will be written off as a loss and charged to US taxpayer.
So you are correct if you believe no wealth is created. What happens is wealth is transferred from US taxpayer to foreign bank. Not as fast as to domestic bank but I'm sure govt is working on that as well as insuring rapid transfer to Asian banks for the future. The fast transfer to Latin American and African banks has been in place for decades.