The spending scam - we are screwed

If you really want to know what’s really going on in the world right now, consider the following.

You have been spending a lot of money to buy a lot of things you actually cannot afford. You are in debt, close to personal bankruptcy and you have been writing I owe you’s (IOU) to everyone you know to cover your continuant expenses. Your neighbours are starting to question your morality and some are even angry enough to beat you up. You have already mortgaged your house so many times that cannot be done anymore, you are working 3 jobs and your family is screaming for more stuff, so what do you do? Cut expenses? Tell the family they cannot have more stuff? Throw your kids out to get jobs? Maybe all of the mentioned and then some.

Now imagine you are in the same situation but regarding a whole country and you are the president or prime minister and you want to get re-elected. Of course you would borrow more! You sell IOU’s like crazy and spend it all. You use the printing machine to tax and in-debt the populace even further. And when that recession hits, what do you do? You do the same thing, but now you crank the gear into overdrive and borrow and print so much money that you can fill the Mediterranean with all those notes. In addition you artificially lower interest rates so all citizens can borrow cheaper and in-debt themselves even further as an additional debt. And when people do not do as expected, you urge them on, call up newspapers to spread your scam; you use your friends, the bankers, to further spread trust in the system. Eagerly asking people to empty their piggy-bank, take out advances on their pay-check, mortgage their grandparent’s house and maximize their credit cards. Spend spend and spend! And when some numbers, thanks to all those scams, start to show some improvements again, you can claim that the recession is over.

Now, after this little session into reality, what will happen next? Will the “recession” end? Are the country (or you) better off?

This is what’s being done right now and even if it has been done before and long before the current crisis, everything now are at a level not ever seen before. Only looking at US the Obamination and his administration has spent and will spend more money then all presidents before him put together. Add up both world wars, Vietnam and the New Deal and you still don’t even reach the bail-out levels. And what will our politicians say, argue for and eventually do? That’s right! The same thing!

The current bubble they are inflating is so humongous that it dwarfs anything before. Take a look at Island and then take that times 1000 and you will get pretty close. We are so screwed. We are so utterly utterly fucked that it is hard to comprehend. What you all need to do is to prepare. Sooner or later this Tsunami will hit the world and when this happens life as we know it will be no more.