by MN Gordon
The People’s Bank of China cut benchmark interest rates by 0.25 percent on Friday. This was the sixth time they’ve lowered interest rates within a year. Bank reserve requirements were also reduced by 0.5 percent.
Economic growth has gradually declined in China over the last several years. The official rate of GDP is at 6.9 percent, though that number should be taken with a grain of salt. Nonetheless, a 6.9 percent GDP isn’t quite up to Beijing’s edict. Something must be done.
Stimulating demand with cheap credit is the expedient policy for central bankers. This move may even propel government statistics in the direction they want. But, given that China’s economy has already been stimulated to death, what is it that the People’s Bank of China is trying to achieve?
Beijing’s policies of mass credit creation have enticed the Middle Kingdom’s corporations to borrow gobs of money. Naturally, how this borrowed money was spent hasn’t always penciled (Read More....)
. . . → Read More: Constructive Simplicity for China’s Communist Party Plenum
Written By J Vanne
The Oregon Clackamas Town Center Mall mall shooting – which was overshadowed by the Connecticut school shooting a few days later – was stopped by a citizen, Nick Melti, exercising his right of concealed carry. Full details of this incident – not reported by the lamestream media – are at examiner.com.
At the risk of overkill (pun intended), here’s another video of a 65 yr. old woman thwarting FIVE armed robbers with her pistol in her store: youtube.com.
In fact, it appears to be the case that, as ex-gangsta rap artist turned (Read More....)
. . . → Read More: That “other” Oregon Shooting You May Have Forgotten About:
Guest Post, Jim Bob
This booklet is the result of many years of studying and finding connections across a variety of subjects in an effort to understand our world and my place in it. This reflects my honest understanding of the view from my window. This is my considered opinion and only that. It is full of what I believe to be facts but I urge the reader to do his or her own homework. Seek out verification or refutation, for facts are cheap and information is abundant, but knowledge is precious. The world around us is not always what it seems and our understanding of it is limited to our observations and the observations of others we choose to add to our own. The problem is always with verifying the observations of others, including all of the teachers and professors we’ve had. Many of us took (Read More....)
. . . → Read More: A Handbook For A Peaceful Return To The REPUBLIC
by MN Gordon
“There is nothing wrong with America that cannot be cured by what is right with America,” remarked President Bill Clinton in his inaugural address, shortly after reciting the oath of office in late January 1993.
What he meant by this is unclear. But perhaps it is the sort of thing a fledgling President says to sound smart, and adept. We really don’t know.
Tomorrow is Independence Day. By now many Americans have clocked off early for the weekend to celebrate the occasion. Like Clinton’s hollow words, there’s hardly a living soul who has any inkling what the holiday means.
Can we blame them? Why pause to consider it when there’s cold Budweiser to guzzle down and bundles of cheap bottle rockets to (Read More....)
. . . → Read More: Stars and Stripes
by MN Gordon
Government planners float the economy up on a sea of credit. Financial markets rest on an eroding base of wet sandy debt. With all the funny money sloshing around…no solid footings remain.
Here at the Economic Prism we long for a concrete foundation we can stub our toe on. The resulting pain would be comforting. For it would provide confirmation that consequences still exist. Thus we’ll begin today’s supposition with some perspective…
“Credit expansion can bring about a temporary boom. But such a fictitious prosperity must end in a general depression of trade, a slump,” noted 20th century economist Ludwig von Mises.
But what happens if a credit expansion is followed with an additional expansion of credit? Does the debt ever have to be repaid? With enough credit based money, can’t the economic depression be postponed ad infinitum?
“If the credit expansion is not stopped in time,” said Mises, “the boom turns into the crack-up boom; the (Read More....)
. . . → Read More: Central Bankers Unite
by MN Gordon
Looking for ordinary ideals of Americana is like searching for consistencies in the Affordable Care Act statute. They simply don’t exist. The valued conviction of one American vastly differs from that of another.
One may celebrate adventures in mysticisms. Another may find inspiration sitting in a NASCAR grandstand. While a third struggles to free himself of the orthodox hobgoblins that suffocate his soul.
In the more respectable newspapers, the story of the national struggle is told with delicate regularity. The news is professed from the locus of the two party political system…any diverging views are carefully sifted out. What’s reported is only what the story editors allow to pass through their single micron particulate filters.
We’re told a never ending Marxian tale of the evil rich exploiting the noble poor. Even worse, we’re led to believe that clowns like John F. Kerry know exactly what the heck they’re doing. Plus we’re led to believe that what they are doing (Read More....)
. . . → Read More: Somewhere Between Heaven and Hell