Modern day financial repression and disinformation: Financialization of America creates incentives for massive income inequality.
America in the last couple of decades has undergone a massive reformation when it comes to the financial system. The ability to convert everything and anything into a tradable security has been the biggest goal of Wall Street and has captured our entire economy like a starving grizzly bear chowing down on Alaskan salmon. Even […]
The financially forgotten generation: Economically raising the Millennials in a debt strapped financial world. Over half of Millennials have no savings.
Millennials, those roughly 18 to 34 years of age are growing up in the financial shadow of their baby boomer parents. This group of Americans is more diverse in what they perceive to be a good quality life. They prefer to live close to work and shopping, they are not big on suburbs, and many […]
Debt based delusion: Fed spending far outstripping revenues, balance of trade, and business inventories decline.
One clear symbol of our new Gilded Age is that of the peaking DOW while food stamp usage is at a peak as well. Even though the DOW is only a reflection of a handful of companies, the media focuses on this as if it were a barometer of the real economy. It isn’t. Household […]
Economic duplicity with low wage capitalism – Nearly half of those that lost their job between 2009 and 2011 are working in a lower wage position. The hard financial reset button.
All jobs are not created equal. It is unfortunate that last month the drop in the unemployment rate was largely driven by hundreds of thousands of Americans simply dropping out of the labor force. Not exactly a way to build the middle class but to many it gives the false impression that things are getting […]
China enters unfamiliar economic territory with rising inventory – Contraction in China’s manufacturing sector now inching closer to one year. What does this say about the global recovery?
China is feeling the deep impact of the global slowdown. The country has seen unprecedented growth for the last few decades and is now entering into a very unfamiliar territory. Slowing demand. Data is reflecting that the slowdown on exports from places like the US and especially Europe is having an impact in their very […]
The end game of global leveraged debt – double-digit percentage point market declines in Europe and Japan and the danger of refinancing debt with longer term debt.
There is a painful realization that shifting debt around like a game of musical chairs has little merit unless real production is achieved as an end result. May was a disappointing month for markets in general. While the S&P 500 certainly fell, markets in Japan and Europe took double-digit declines. The massive amount of leverage […]
Welcome to the new model of retirement. No retirement. In 1983 over 60 percent of American workers had some kind of defined-benefit plan. Today less than 20 percent have access to a plan and the majority of retired Americans largely rely on Social Security as their de facto retirement plan.
As many Americans enter into retirement they are realizing one unfortunate thing. The new retirement plan is no retirement at all. Over the last few decades Americans were promised the idea of a comfortable retirement yet none of this has materialized because of financial swindling and a real estate bubble that will go down in […]