The pain we feel when balanced at the cliff’s edge is entirely of our own making and completely within our control to extinguish. All we need do is to abandon the certainty of belief that is presently stuck in our craw.
While we realize that newsflow over the past few years has taken a decided turn for the surreal, we are sad (or, alternatively, delighted) to announce that we are dead serious when we report that Illinois governor Pat Quinn has now tapped The Onion - that would be the famous satiric website - to sell Obamacare. Perhaps we should not be surprised: after we previously revealed that The Onion served as the mystery source of economic insight by such intellectual economist titans as Paul Krugman and Larry Summers, the time may have come come to surrender to the great wave of absurdity that has washed over this nation, and admit that when it comes to pitching idiotic policies, self-referential satire may be the only option left in the arsenal of the central planners.
There is no point in trying to avert or prevent bubbles caused by monetary pumping by regulatory means. If one avenue for bubble formation is cut off, the newly created money will simply flow into another area. In fact, new bubbles almost always become concentrated in new sectors. If there were a genuine desire to keep the formation of bubbles in check, adopting sound money would be a sine qua non precondition. However, no-one who has any say in today's system has a desire to adopt sound money and give up on the failed centrally planned monetary system in favor of a genuine free market system. Our guess is that the booms and busts the current system inevitably produces will simply continue to grow larger and larger until there comes a denouement that can no longer be 'fixed'.
The economist Herbert Stein once said that if something can't go on forever, it will stop. The pattern of the last few decades, in which higher education costs grew much faster than incomes, with the difference made up by borrowing, can't go on forever... There is no point in trying to preserve the old regime as "working your way through college" is now impossible. For an 18-year-old, investing such a six-figure sum in an education without a payoff makes no more sense than buying a Ferrari on credit.
In case you weren’t aware, several of China’s major cities have experienced record-breaking, extremely dangerous levels of smog in recent days. Only today, Chinese authorities raised the "safe" level of pollution to reduce the frequency of alerts. So how did China’s state-run media decide to respond to this environmental and public health disaster? With ridiculous propaganda about the “unexpected benefits” of smog of course. You have to see this to believe it.
If you thought you had seen it all when it comes to sob stories of the “super rich” following the comparison of the criticisms of banker bonuses to the lynching of black people in the south by AIG’s CEO in September, think again. The latest groveling, inane defense of the “super rich” comes from none other than the gatekeeper of the largest oligarch whorehouse on planet earth. The Mayor of London, Mr. Boris Johnson. Now we warn you, do not read the following Op-Ed on a full stomach. The vapid, nonsensical, Onion-like prose may very well induce fits of nausea and uncontrolled regurgitation. This is quite frankly one of the worst things we have ever read. It echoes like a sort of grandiose ass-kissing ritual one would have encountered in a Middle Age court from an aspiring manservant of the realm, desperately trying to rapidly advance a coupe of notches up the social strata of some decadent feudal kingdom. Simply put, Boris Johnson should be ashamed to show his face in public after writing such disingenuous garbage.
"Every American family deserves a false sense of security," said Chris Reppto, a risk analyst for Citigroup in New York. "Once we have a bubble to provide a fragile foundation, we can begin building pyramid scheme on top of pyramid scheme, and before we know it, the financial situation will return to normal." Despite the overwhelming support for a new bubble among investors, some in Washington are critical of the idea, calling continued reliance on bubble-based economics a mistake. Regardless of the outcome of this week's congressional hearings, however, one thing will remain certain: The calls for a new bubble are only going to get louder. "America needs another bubble," said Chicago investor Bob Taiken. "At this point, bubbles are the only thing keeping us afloat."
The only way to keep the status quo from imploding is to banish common-sense.
Responding to his administration’s ongoing struggles with the launch of Obamacare, President Barack Obama announced a proposal today that would enable insurance companies to grant one-year extensions to the health plans of Americans who would otherwise face cancellation. Here are some of Obama’s other plans to fix the troubled rollout of his signature health care law...
Responding to widespread criticism regarding its health care website, the federal government today unveiled its new, improved Obamacare program, which allows Americans to purchase health insurance after installing a software bundle contained on 35 floppy disks...
The Treasury Department has warned that the continued failure by Congress to raise the debt ceiling would leave the United States unable to pay all of its bills and may force the country to default on its government bonds. Here are some helpful answers to the most common questions about the debt ceiling crisis...
"We debated buying a bank, which we came close to doing. It remains an option for us," Carne Ross, a board member of the Occupy Money Cooperative (an offshoot of the Occupy Wall Street movement) says. "We eventually came to this [the debit card], as the easiest way to get a financial product out there."
Source: Not The Onion.
BitCoin Plunges Following US Government Seizure Of Silk Road Website, "Dread Pirate Roberts" In CustodySubmitted by Tyler Durden on 10/02/2013 13:38 -0400
Earlier today, one of the most popular websites that use and promote the use of BitCoin, Silk Road, was shut down by the US government. As Reuters reports, U.S. law enforcement authorities raided an Internet site that served as a marketplace for illegal drugs, including heroin and cocaine, and arrested its owner, the Federal Bureau of Investigation said on Wednesday. The FBI arrested Ross William Ulbricht, known as "Dread Pirate Roberts," in San Francisco on Tuesday, according to court filings. Federal prosecutors charged Ulbricht with one count each of narcotics trafficking conspiracy, computer hacking conspiracy and money laundering conspiracy, according to a court filing. Anyone visiting the site would be greeted with the following "game over" screen.
- Government Shuts Down as Congress Misses Deadline (WSJ); Shutdown starts, 1 million workers on unpaid leave (Reuters); Government Shutdown Begins as Deadlocked Congress Flails (BBG)
- This is not The Onion: Stocks Rise on U.S. Government Shutdown (BBG)
- Pentagon chief says shutdown hurts U.S. credibility with allies (Reuters)
- In historic step, Japan PM hikes tax; will cushion blow to economy (Reuters)
- Obama Says He Won’t Give Into ‘Ideological’ Budget Demand (BBG)
- More part-time warehouse workers: Amazon to Hire 70,000 Workers for the Holidays (WSJ)
- Less full-time legitimate workers: Merck to fire 8,500 workers (BBG)
- Education cuts hit America’s poor (FT)
- Euro-Zone Factory Growth Slows (WSJ)
- Watchdog Warns EU Not to Water Down Insurance Rules (Reuters)