kidmercury

IMHO the real question is how much enslavement the US people will put up with. a few years ago $2 a gallon gas was considered unthinkable, now it is viewed as a good deal. meanwhile goldman bonuses are of course soaring throughout this crisis their personnel helped create via their division in the US government. i think this system will continue until

1. it changes internally. this would be marked by a sharp decrease in government spending, most notably demilitarization. i find this to be extremely unlikely given the factors that would be required to make this happen, and the incentives and psychology of those ultimately in charge.
2. people abandoning the dollar to start their own currencies. economic warfare.
3. dollar self-destruction. ultimately the dollar is a fiat currency, one of belief. so if people are willing to believe in it forever, even when it is worthless, then we could see $10 gallon gas, 20%+ unemployment, soaring homelessness, soaring stock prices (not matched by soaring earnings, so P/E will be through the roof), and if people are willing to regard this as fair, appropriate, and patriotic, than that is what it will be.

Go to Full Article