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Thursday, January 23, 2014
Statistics are meaningless
If you want to know how cold it is, you can check your accuweather app, and then listen to the weather models yakking about low pressure systems and barometric readings on the television news channel.
Or you open your window and stick your face out.
The exact same is true of the economy. You can listen to the econo-spokesmodels on Fox or CNBC or Bloomberg, you can read analysis from your favorite shills at your favorite banks or newsletter services all tell you what they think will make you buy crap they've already bought to drive prices higher.
Or you can open your eyes and look at the obvious.
The obvious:
A) The world governments and consumers are still in massive debt trouble.
B) Money is getting printed furiously and poured into the banks to heal their debt troubles and they gamble that free money in the risk markets.
C) The money multiplier has collapsed as none of this printed cash is making its way into the real economy.
A) This causes massive deflation of wages and debt servicing for 99 percent of the world's population.
B) This causes massive inflation in risk assets and basic commodities like food, oil, housing, education, health care and stocks.
C) This is great for the banks and everyone connected to them. (the one percent.)
C) This sucks for everyone else.
(Though home owner and stock owners are under the illusion they're richer until their paper profits collapse again.)
So, you can listen to all the massive econometric crap that proves this and that about anything and everything.
Or you can open your window and stick your face out.
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