www.CostaRicaTicas.com

See, we're not nearly alone in economic distress. Are there any substantive direct financial ties between the U. S. and Russia? Yet their stock market has fallen 21% this month alone. That's among the reasons for the AIG bailout--big banks worldwide would have failed with catastrophic effects everywhere.

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"A man accustomed to hear only the echo of his own sentiments, soon bars all the common avenues of delight, and has no part in the general gratification of mankind"--Dr. Johnson
"Amen, brother"-ED

Historically, when a dynasty, empire, or superpower is on it's way down does it know?

The media really goes for the fear factor when they speak of Russia and Europe, anyone ever noticed?

When they talk of Europe taking any action against Russia, the media always talks about how dependent Europe is on Russia's energy supply, however they never mention how extremely dependent Russia is on the money supply from the energy sales. Most gov'ts spend every single dime and more so go ahead Russia, end your money supply.

The media does the same when they talk of Venezuela halting our oil supply. Chevez has to sell it to someone to have the money to keep the friends that he has bought so go ahead Chevez, pay the extra cost of shipping your oil to China.

Third world, I think when an empire or superpower is on the way down the hallmarks are denial, reliance on military power to coerce and threaten and various manifestations of economic crumble. sound familiar?

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I believe in moderation in everything except excess.
I phuck 'em just to see the look on their face.
Klatu, berata, nicto.

Think about it, if AIG is too big to let fall, if a *little* company like AIG can cause the entire world's economies to fall with it, what is the chance that the world would let the USA fail? *Little* because when AIG is compared to the size of the US Gov't, it is tiny.

I see this as our turn to Phuck up. I think there was an Asian and a Latin American financial crisis years ago - the USA stepped in to help, because we would have felt their pain.

The world's leaders, in crisis like these, probably do all sorts of back door deals and under the table handshakes to get things back to normal. As Dapanz1 says, much of the money supply is in computers, not on paper so chop a few digital zeroes off the end when needed and on we go. If they do this stuff, no way anyone could figure it out and even if someone did, no one would pay attention.

As an addendum to Haywood's summing up, let's add having a soft physical and psychological belly; in other words, paying someone else to do the dirty work so the populace is not unduly stressed or made thoughtful. It took Spain 400 years to get to that point, England maybe 200, so how much time have we left? This is not pessimism it's realism. Oh, and by the way, if it had to, China would pay an unreasonable price to maintain the oil and other commodity supply--look at how their domestic consumption has ballooned--so Chavez et Cie. will have an assured market for his oil and his twisted vision. He's getting real sweet with the Russians too.

_________________
"A man accustomed to hear only the echo of his own sentiments, soon bars all the common avenues of delight, and has no part in the general gratification of mankind"--Dr. Johnson
"Amen, brother"-ED

I think that ultimately we have to either rethink and change our global economic system or it will eventually collapse.
OUr system is based on perpetual growth. A recession simply means that the economy isn't growing fast enough. We live on a finite piece of rock floating in space. There is an end to growth. It cannot be sustained forever. This unpleasantness is only a preview of what's to come later.

_________________
I believe in moderation in everything except excess.
I phuck 'em just to see the look on their face.
Klatu, berata, nicto.

I respectfully disagree. It ebbs.......it flows...........it comes.............it goes........but........... growth is infinite.

Okay, but it would help if you would tell us when is "later." I want to be ready.

2012

dapanz1

I am just making the point that there is a mathematical limit to growth when you live in a finite place( Earth.) I think we are starting to see the beginnings of reaching that limit but it will take some time. That is the inherent flaw of our economic system. It worked for a long time very well but we must change it or it WILL collapse.

_________________
I believe in moderation in everything except excess.
I phuck 'em just to see the look on their face.
Klatu, berata, nicto.

Pretty accurate explaination... loaning $$$ to folks who have no business borrowing a cup of sugar.

Three blocks from me is a housing development that started 3 years ago. They built 30 homes selling them all at nothing down and a grand in closing costs... all subprime loans. The chica that cuts my hair and her blue collar hubby bought one... their payment is now a grand a month.

The stopped building by the way. Have lots for a 100 more. The easy money is gone.

Berk....

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FRUITCAKE... and you thought it was something you eat! Not on CRT!

Haywood Jablommi maybe on to something. Thomas Malthus (1766-1843) was a classical economist and had an interesting theory on demographics and populations. He posited that throughout history, when societies had grown to the point where the Earth could no longer sustain itself and the existing population; and it could no longer provide for an increase of the population, there would be a natural reduction in population.

In other words, as if by a natural order of things, when the population of a civilization or of the Earth grew too large to sustain itself, there would be wars, pestilence, famine, epidemics, etcetera which would serve to cull the population. According to Malthus, that was the logical and factual outcome of overtaxing the resources of the Earth.

A gentle demurrer to DiegoC and perhaps HJ. We haven't nearly reached the limits of what the Earth can produce; what has reached the limit is the maldistribution of the Earth's fruits. A growing obesity problem by the haves with starvation by the have-nots is a prime example to show this clearly. Malthus discounted or willfully didn't compensate his figuring to account for technology. Granted, their has been an exponential growth in that technology but it was not nonexistent in his time.

_________________
"A man accustomed to hear only the echo of his own sentiments, soon bars all the common avenues of delight, and has no part in the general gratification of mankind"--Dr. Johnson
"Amen, brother"-ED

Read a good article this morning, "The Paulson-Bernacke Bank Bailout Plan
By MICHAEL HUDSON " at www.counterpunch.com . I try to get all my news away from mainstream US news sources.