30 reasons for Great Depression 2 by 2011

30 reasons for Great Depression 2 by 2011

www.marketw atch.com

ARROYO GRANDE, Calif. (MarketWatch) -- By 2011? No recovery? No new bull? "Hey Paul, why do you keep talking about a bigger crash coming by 2011?" Readers ask that often. So here's a sequel to my predictions of 2000 and 2004, with a look three years ahead:
First. Dot-com crash
We pinpointed the dot-com crash at its peak, in a March 20, 2000 column: "Next crash? Sorry, you won't see it coming." Bulls-eye: The dot-com bubble popped. The economy went into a 30-month recession. The stock market lost $8 trillion. And today, over eight years later, the market is still roughly 40% below its 2000 peak. See previous Paul B. Farrell.
Factor in inflation and the average stock has lost well over 50% of its value. Stocks have proven to be a very big loser, a bad investment for Americans, thanks to Wall Street's selfish greed, plus the complicity and naiveté of politicians, press and public.

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Paul Ferrel is a highly respected author of financial investment/market trend books & an economic analysys columnist. In earlier columns I have seen him predict that America was becoming socialist two months before we did so with the bailouts, rail on the pending CDS disaster, and was predicting a looming recession last October while the market was still booming and reaching never before seen milestones.

I'm posting this because it marks the first time I've seen a mainstream website like Marketwatch give voice to the idea that we are fasttracking to a 'Great' Depression redux. Reading through his list of 30 reasons he sees this future, I honestly can't argue with many of them. I disagree with him on his hatred of Reaganomics, mostly because much like Neo-conservatives are bastardizations of conservatives, neo-Reaganomics is a complete bastardization of true Reaganomics.

Aside from that little disagreement with Ferrel, however, I see some real bad mojo on his list. I had no idea that Social Security & Medicare had $60 TRILLION in unfunded liabillities. I knew the outlook for both programs was grim, but $60 Trillion? My God! With rising unemployment and the population getting older as well as worry leading to more illness, how in the hell long until that ticking time bomb explodes in our faces?

www.marketw atch.com
(visit the link for the full news article)

Thanks for the post Burdman


This is definitely something we should all be aware of.


many of the comments however don't seem to give him much credence.

Lots of them think he is a crank.



[edit on 18-11-2008 by HunkaHunka]

reply to post by HunkaHunka


Marketwatch's user comment lists are populated largely by day traders & damage control people. They tend to be very sunshine & farts, quick to "call out the bulls" at any sign of positive market activity. They also have been one of the worst offenders of labeling virtually all negative action as merely being caused by fears over "possible pending" recession. That's actually one of the reasons I was surprised they gave Ferrel a front page link this morning for this article. They frequently bury him way down the page, if he even gets a link on the front page at all.

reply to post by burdman30ott6


Thanks again for the background on this.


It really gives a lot more context to the situation.

Originally posted by burdman30ott6



Aside from that little disagreement with Ferrel, however, I see some real bad mojo on his list. I had no idea that Social Security & Medicare had $60 TRILLION in unfunded liabillities. I knew the outlook for both programs was grim, but $60 Trillion? My God! With rising unemployment and the population getting older as well as worry leading to more illness, how in the hell long until that ticking time bomb explodes in our faces?

www.marketw atch.com
(visit the link for the full news article)

Kinda neat the things we're finding out about now . . . how just a scant few months ago, everything was tickity-freakin-boo but somehow in the span of a season, we now have insovlent financial institutions, valueless insurance conglomerates, a neutered automotive sector, a flagging housing market, an unsustainable health and welfare system to the tune of an unfunded $60 trillion, a lying congress, a constitutionally challenged senate and . . .

We've had our heads so far up our own butts for so long, we've lost track (translates to we were too lazy to even look) of what is going and put our blind faith in a bunch of lying, cheating huckesters most of whom we failed to vote out of office after the last batch of bullcranky that shot bazooka style out their mouths as they sipped on $500 bottles of wine under the guise of saving our asses.

Man . . . people still don't realize exactly how ugly it is going to get in relatively short order.

Personally, I've all but given up on what can be done to avoid it rather I've put together my little 'program' to ride out the storm.