By MN Gordon, Economic Prism
On Tuesday something incredible happened. The Dow closed above 15,000 for the first time ever. What a joy to be alive and bear witness to the great miracle of our time.
Whereas just 100 years ago the new marvels were flying machines and bucolic indoor plumbing…these days we have iPads and Dow 15,000. Without question, iPads are quite marvelous. Without question, Dow 15,000 is quite grotesque.
Without question, extreme government price fixing of money has blurred the line between real economic growth and the illusion of economic growth. Often times it’s difficult to tell the difference. Yet sometimes the difference becomes crystal clear as misallocations of capital reach extremes…
Consider the dot com bubble of the late 1990s. Or the housing bubble of the mid-2000s. These first appeared to be reflections of real economic growth. Later it became crystal clear they were illusions of economic (Read More....)
. . . → Read More: Coming Uncorked
Guest Post By J. Vanne
This is from Martin Luther King’s Letters from a Birmingham Jail (found a thousand places, including http://www.africa.upenn.edu/Articles_Gen/Letter_Birmingham.html The below is an excerpt, and not full context (you can read it at the link above, but it is long-ish). But I believe I am doing the letter full justice by applying it to the leftist elite today, who reside in DC and other enclaves, forcing – at latest count – 48 million onto food stamps, having created a student loan bubble of$1.1 trillion, and a national debt that is either $16 trillion, or $62 trillion per USA today one year ago, or $212 trillion , per Lawrence Kotlikoff at Boston Univ. (Read More....)
. . . → Read More: How ML King Letters from a Birmingham Jail Might Apply Today
by MN Gordon, Economic Prism
The Labor Department reported last Friday that 165,000 new jobs were added to the economy in April. That’s nothing to write home about, you’d think. But, nevertheless, the mainstream press got excited because it was ‘better than expected.’
On top of that, Wall Street went bananas. The Dow closed the day up 142 points and the S&P 500 ran up above 1,614…to a new all-time high. On surface, it appeared really great things were happening all around.
Yet, for some reason, we couldn’t seem to grab a hold of the good cheer. Why’s a jobs report that barely keeps pace with population growth cause for investors to jump and stomp around like Oakland Raiders fans? Shouldn’t it take double that – or more – before they bang the pots and pans?
Once the dust settled, one critical thing (Read More....)
. . . → Read More: Another All Time High