HG……. ditto…. on the creation…

👍 everyone should use some real critical thinking skills right now and do the math before it’s too late. You can’t relive the decision later and change your mind the fate is set.

“Punishment” might happen in the U.S. and their vassals but Russia has no debt and China is going to let those companies that go bankrupt….go bankrupt.
Pretty capitalist actually.

Putin is my rich uncle. lol

Very significant difference between now and the seventies the debt burden is astronomical now and they can’t raise rates. Whether we have a delationary event or not we are going to hyperinflate out of this in a catastrophic apocalyptic type scenario.

Yes, the debt just keeps growing larger and larger for sure, and will prevent them from hiking rates much above 2%, but they still keep telegraphing they plan on raising rates in late 2022 or early 2023. A number of other central banks have started hiking rates that also have record levels of debt, so they are starting to tighten some, but no there wont be the endless hikes like the 1970s in that sense.

Typically rate hikes as the central banks are perpetually behind the curve, in a rising inflation environment have been good for gold prices.

I know we can get into a lengthy discussion …. comparing then and now….
… Stagflation, …. and Depression….. should be more comparison….
Stagflation, has been around for sometime , without many noticing it….
Wages… go back and look the Year 2000….average earnings…
Use the US DEBT CLOCK…
Inflation…. on every goods and service…. House, Auto(joke) , School debt..that one is really a joke.

They’re always behind the curve that’s been from day one. These bubble assets when they implode is going to take everything down with it and everyone included. No one’s prepared for that because they never see it coming and they never will. The gates are wide open for the slaughterhouse. Very very few survivors. It’s going to be a great depopulation event.

Good thoughts and comments OOTB and Holy Grail. Thanks guys!

Ex, thanks, although the thoughts are worth what you paid for them. lol

I have an account with Go Fund Me. LOL we’ll, it’s better than working a job.

Ha Ha I want to make that clear with the big lol. Should be no second thoughts there.

Understood. Yes, good price at $Free.99 Haha!

Good one !!!

Is that my tip. I’ve been sold short. Ha Ha

As a kid, I was likely very happy in the 70’s, at least in pictures. 🙂

I remember the 80’s more and loved that decade.

Honestly one of the best years of my life has been the last year, despite all the overarching drama in the news.

Things started off with a perk by getting to work from home, then I parted ways from a stressful job with a nice severance package, we took a big trip to North Carolina, and epic vacation to Colorado to visit Boulder, Denver, Co. Springs, another epic trip to Nevada & Utah, we sold our house for a nice profit in a hot real estate market, drove the country twice from TN to the west coast, (seeing 11 states one trip, 9 states the voyage), have been out hiking over 20 national and state parks in mountains, in deserts, near lakes, near oceans, by waterfalls & rivers, in majestic forests (with hardly any humans out to ruin the natural beauty), and relocated to the area we dreamed of moving to.

To top it all off I got a job here at the KE Report with a very cool boss and get to serve the community here, which I’ve grown to love and have been active here with for over a decade. This was one of the best years of my life, and looking forward to many more… Ever Upward!

“Life is good!” ~ Hickok45

Hi Ex, If you haven’t seen “The Best Years of Our Lives”, a movie that won best picture in 1946 it is a classic. It was directed by William Wyler, it’s about three GI’s that return home after World War II, to find that a life that they had dreamt to return to is a total disaster. Tells you a lot about how War brings out the best and worst in humans, and how we desire human interaction, excitement, and human caring that goes along with living in a dangerous lifestyle. Something that is missing in our lives today. DT

DT – Thanks for the film recommendation and for making a solid point about the ingrained desire we have for human interaction and caring, along with living an active life.

Ex – it sounds like we have a lot in common especially the past few years. I am really living my best life right now!

That is really great to hear Charles. While these are turbulent times, they can also be times of opportunity and adventure. To the great life!!

And thanks for the hard work…..

And please do not be offended by MY above RANT…. 🙂

No offense taken my friend. OOTB I was a toddler in the 1970s, so I wasn’t following finances at that point. Haha!

However, one can still review historical data and market trends to make comparisons between different market periods, and we’ve had a number of analysts make the same comparison between now in the 1970s (Trader Vic, John Rubino, Brien Lundin, Peter Boockvar, etc..) In that sense it wasn’t just us youngsters making that observation. 😉

There’s no comparison between now on the ’70s the dynamics are dramatically different.
Many reasons. There’s quite a few and keeping this brief.

Conditions Are Ripe For Repeat Of 1970s Stagflation and 2008 Debt Crisis

Nouriel Roubini – Fri 2 Jul 2021 – The Guardian

“In April, I warned that today’s extremely loose monetary and fiscal policies, when combined with a number of negative supply shocks, could result in 1970s-style stagflation (high inflation alongside a recession). In fact, the risk today is even bigger than it was then.”

“After all, debt ratios in advanced economies and most emerging markets were much lower in the 1970s, which is why stagflation has not been associated with debt crises historically. If anything, unexpected inflation in the 1970s wiped out the real value of nominal debts at fixed rates, thus reducing many advanced economies’ public-debt burdens.”

“Conversely, during the 2007-08 financial crisis, high debt ratios (private and public) caused a severe debt crisis – as housing bubbles burst – but the ensuing recession led to low inflation, if not outright deflation. Owing to the credit crunch, there was a macro shock to aggregate demand, whereas the risks today are on the supply side.”

“We are thus left with the worst of both the stagflationary 1970s and the 2007-10 period. Debt ratios are much higher than in the 1970s, and a mix of loose economic policies and negative supply shocks threatens to fuel inflation rather than deflation, setting the stage for the mother of stagflationary debt crises over the next few years.”

https://www.theguardian.com/business/2021/jul/02/1970s-stagflation-2008-debt-crisis-global-economy

Stagflation Worries Ignite Comparisons To Carter’s 1970s

3 weeks ago

“Former Reagan economic adviser Art Laffer provides insight into inflation, energy prices and the U.S. economy. ”

“Surging consumer prices and gasoline shortages have sparked concerns the U.S. economy could relive the nightmarish stagflation of President Jimmy Carter’s administration in the late 1970s.”

“Stagflation is defined as a period of inflation with declining economic output. ”

“The economy under Carter experienced inflation and unemployment that were both in the double digits as the result of an oil price shock that began when Iranian oil workers went on strike. ”

“Six months ago, America was energy-independent. Now we have gas lines,” tweeted House Minority Leader Kevin McCarthy, R-Calif. “President Biden is well on his way to creating another Jimmy Carter economy.”

https://swppr.org/stagflation-worries-ignite-comparisons-to-carters-1970s/

That ’70’s Show – The Stagflation Rerun: Jack Mintz In The Financial Post

By Jack Mintz, June 18, 2021

“Welcome to stagflation — for now. Compared to pre-pandemic January 2020, both unemployment and year-over-year inflation are up two percentage points. When prices and unemployment are rising at the same time, that’s stagflation.”

“Stagflation is typically the result of supply shock. On October 19, 1973, the Organization for Petroleum Exporting Countries (OPEC) stopped exporting oil to the United States and its allies in reaction to U.S. support for Israel during the Yom Kippur war. The embargo led to a quadrupling of oil prices and an economic slowdown in 1974 and 1975. Despite rising unemployment, U.S. inflation rose from six per cent in 1973 to an average of 9.5 per cent the next two years. Stagnant growth plus inflation equalled “stagflation.’

“The recession of 2020 was also the result of a supply shock. People were told to stay home and many businesses were closed. The unemployment rate shot up to over 14 per cent in both Canada and the U.S. That would normally depress household incomes and therefore consumer demand, but governments came to the rescue, providing deficit-financed income relief to households and businesses. Aggregate household income actually rose by roughly a tenth in 2020 in both Canada and the U.S. despite a steep drop in employment income. Saving rates rose sharply as locked-down households had few spending options.”

“At first, the consumer price index fell but as health restrictions were lifted economies began to bounce back. By this spring, unemployment had fallen rapidly though it remains close to six per cent in the U.S. and eight per cent in Canada, well above the pre-pandemic levels of 3.5 and 5.6 per cent, respectively. With stored-up savings now available for consumers to spend, U.S. prices have risen by 5.8 per cent (annualized) over the last six months and by 4.1 per cent since Jan. 1, 2020. As reported Wednesday, Canada’s inflation rate picked up to 3.6 per cent (year-over year) in May and has been running at an annualized 4.0 per cent since January. That compares to inflation of 1.7 per cent in 2019. By all counts we have stagflation.”

https://www.macdonaldlaurier.ca/70s-show-stagflation-rerun-jack-mintz-financial-post/

The difference is, the United States wasn’t running a trade deficit, a trade surplus. The debt of course is astronomical compared to then. The FED had a clean balance sheet.

There’s no wiggle room here. The event leading to all these failed toxic policies is going to look like the word that starts with a capital A. wink wink

See, it isn’t just us youngsters making the comparison between now and the 1970s, and isn’t even some of our key KER contributors like Trader Vic, John Rubino, Jesse Felder, Brien Lundin, and Peter Boockvar. I could go on…. but clearly there are financial pundits that are seeing the comparisons, with a few tweaks due to massive debt loads and unprecedented levels of central bank intervention.

“While history doesn’t always repeat, it often rhymes.”

Very true, but this one’s not going to rhyme it’s going to be a completely different outcome.

No comparison to the different dynamics and all these guys you’re listening to are going to tell us what we want to hear. All is well !!! Just do this, and you’ll be fine. 👎👎x infinity. Selling subscriptions and promoting their book. Everyone has a method to their madness. Very few few few few are going to lead you to the promised land and that is guaranteed 100%.

Hey, I got a piece of land to sell you Morgue City.

Art Laffer, with the curve and the trickle down theory which didn’t work since the rich piled their dough into the stock market and figured out ways to jettison US workers with little benefit to the real economy……so some said.