My 2020 prediction for super crash followed by rioting, is right on track. The fact that no one sees it coming will make it all the more brutal. They are too busy buying the melt-up Tech bubble amid global pandemic. Faith in printed money is total. There's a reason why no generation of Americans tried this previously. Because they were intelligent. The "system" is now riding on human history's biggest stimulus bubble. Because the "system" IS the bubble...
What we are operating under now is EXTREME socialism for the ultra-wealthy at the expense of everyone else. Only because the Trump Super Bubble is at its apex do useful sheeple still evince false confidence in trickle down Ponzinomics. Drugged by the virtual simulation of prosperity, augmented with their own savings. When the bubble explodes, their opposition to "socialism" will be dropped like a rock. We are living in the land of opportunism.
I have this debate with my libertarian son all the time: He tells me that today's economy is not true capitalism. I say that's fine, tell me the last time the U.S. economy was true capitalism. He says about 150 years ago. At which point I rest my case. There was no actual middle class in the 1800s. And the heyday of the U.S. middle class was the 1950s when taxes, trade protections, wages, and worker benefits were far higher than they are today. Once upon a time, American families could live on one income.
As you can tell, I am not a big believer in false ideology, left, right, or center. We are heading into the worst economic crisis in 100 years with really no cogent ideas for how to get to a better economy. Everything right now is talk, talk, and more talk.
Trump's idea for a better economy is a 5% of GDP deficit monetized by the Federal Reserve at 5% of balance sheet expansion. In the event, creating the biggest super bubble in human history. It's MMT for the rich. But it won't work.
Of course, no one else is saying this, even the Democrats are not willing to criticize this asinine misuse of stimulus. If we are now abusing stimulus at this late stage stage, when stimulus would normally be at the lowest point in the cycle, what happens in recession?
I will tell you what happens. Ideologies get dropped like rocks. And the monetary fire hose pivots from Wall Street to Main Street. At which point extreme deflation will eventually morph into extreme inflation. I will not dare to say what month or year that happens. In my opinion, Trump won't be in the White House for that event to occur.
We face multiple layers of economic problems. One is how to navigate the incipient global super crash that no one sees coming. The second one is how to cope with the ensuing extreme deflation. Again, the MMT nuclear option appears inevitable at this point. After that, the real problem not even being discussed yet, is how to create a sustainable economy in the post-stimulus environment. In the meantime, discussions around "socialism" are totally meaningless yet politically useful diversions.
We are well beyond the bounds of sane socialist policies, now in the realm of continual monetary bailouts aimed solely at the wealthiest .001% of society. About the dumbest abuse of economic stimulus one could possibly imagine. A gambit that can only foment societal unrest unprecedented in U.S. history, putting the entire capitalist system fully at risk with no safety net.
"It was all going so well"
The ultimate problem we face is an IQ deficit. Wherein today's politicians are actively solicited to offer pie in the sky solutions, none of which are long-term viable. Politicians are now chosen based upon which one will offer the most fantastical view of the future no matter how fraudulent.
This society needs to wake the fuck up from the stimulus coma and educate themselves on basic economics. And in that I include ALL of today's academics, business leaders, politicians, and media mannequins. They are all drinking the Kool-Aid.
Faith in our leaders, our academic institutions, and our ideologies are all going to fail at the exact same time. Which is what happens when people decide to abandon the inconvenient truth in favor of whatever delusion they find works to their own immediate instant gratification.