if you *really* understood, vege, you would not need to hear the answer to the closing statement "it can be done". You would know what they mean. Sorry. Most people today, including myself, anyone really born since world war 2, if not before, have been brought up with "Keynesian" economic thought, most notably Labor thinking people.
Keynesian stuff is all about "the government will fix everything for us", "if there is a recession, just give people more money to spend and that will stimulate everything and the problem will go away".

It is a false fix though, like putting sticky tape on a crack in the wall. Looks good, won't last.  The symptom of this that people see, but don't understand, is why they have worked hard and have money in the bank, but even though they get an interest rate, ten years later, prices have risen so much higher than the value of their money, and it isn't worth anything anymore. This system encourages people not to try and save. It is called "inflation".
In the past under different currency systems, inflation was under control, if you saved, your money retained value. Now, what you have to do is invest in inflation-related things like property that keep increasing in value - and price! Pity the people who have to try and buy a house - which is just about all of us ordinary people.

The answer to their closing question is an answer that most people today, (who are Keynesian thinkers) don't want to hear and won't tolerate. The alternative is a crash. It is the only way left to clean out the system, and it is tragic.
That's the point - stimulus spend or don't stimulus spend, that is the question. People today want the government to spend, in the past long ago, they did not want the government to do that.
The Liberal political way of thinking is that latter, more old fashioned way of thinking, which was the situation for hundreds of years. The Labor way of thinking is for the government to spend us out of economic trouble. Saving versus spending, pretty much that's it.
Can a government really take your money and spend that and much more on credit to get you out of credit problems? For a while, yes, but eventually the music stops. That's why there so many homeless people in America now.
The worst possible scenario is to go into a crash like that - with no effective government!
Fasten your seatbelt.

shampain socialist wrote on Aug 24^th, 2010 at 12:18am:


LOL, I agree with you, but do you have to be such an optimist? 

The answer to their closing question is an answer that most people today, (who are Keynesian thinkers) don't want to hear and won't tolerate. The alternative is a crash. It is the only way left to clean out the system, and it is tragic.


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I understand that.

BUT I still felt it needed to be said out loud. So those that were listening that DONT see it ,can hear it.

Not all people can read between the lines...if we all could we wouldnt be in the postion we and OUR kids may face.....

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Great time to have a surplus and no public debt!

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Actually, I was otherwise occupied last night, so I recorded it & watched it today.

It was similar to some other programs, it raised some valid points, but missed out on other factors that have had large impacts & it didn't finish properly, because it didn't say where the likely future scenarios would go!

I used to frequent yahoo finance board too, although I refrained from posting because they seemed to be a well established 'club' and I didn't want to butt in. It certainly made for interesting reading and I'm sure it will here when it catches on.

Ex Dame Pansi wrote on Aug 25^th, 2010 at 6:58am:


I think you would find Globally, a mixture of a few that have the knowledge, quite a few that simply act on self-interest and the vast majority that go about their daily lives, thinking that "this time & these times, are not different" and another small bunch who know something is happening, but do not have access to all of the information!

So where's all those yahooligans from the finance boards that were going to turn up?