Yesterday should have been a big time wake up call for anyone who still thinks the future will be as awesome as the Donald claims or the stock market has implicitly priced-in. That’s because what has been clarified during the last 24 hours is that—
- the central banks of the world are utterly lost and at a dead-end;
- at the top of the longest biggest expansion in history the Federal deficit has already crossed the $1 trillion mark and there’s still another month to go this year and a further recessionary surge of red ink coming next year; and
- the three leading Dem presidential candidates managed to agree on the four most important issues facing the country, which actually are not that at all.
With respect to the purported four biggies, the WSJ summarized last night’s debate as follows:
The candidates largely agreed on what they see as the most important issues facing the country—a lack of universal health care, income inequality, the threat of climate change and the prevalence of mass shootings—but they diverged on how to address them.
As to the latter, Beto O’Rourke left nothing to the imagination:
“We’re going to take your AR-15, your AK-47. We’re not going to allow it to be used against our fellow Americans anymore.”
We don’t have any brief for these kinds of lethal weapons, either. But if the Dems want to give the GOP an excuse to abandon their true function in American democracy as the sentinels of fiscal rectitude in favor of cheap arm-waving and loud braying about their love for the second amendment, statements like Beto’s are just the ticket.
The fact is, what Washington is really coming for is not your guns, but your wealth, economic prospects and personal freedom. That’s because unless there is a thorough house-cleaning at the Fed and repudiation of Keynesian central banking, the prospects for taming the Leviathan on the Potomac, restoring main street prosperity and preserving individual liberty are frightfully slim.
Yet the once and former party of fiscal rectitude and sound money is entirely AWOL. Outside of Senator Rand Paul and a few libertarians in the House of Representatives, the GOP is clueless about the Fed’s massive usurpation of financial power and the threat it poses to both capitalist prosperity and democratic governance.
It has turned both ends of the Acela Corridor into dangerous hotbeds of free lunch economics: Wall Street speculates like never before believing that risk and market crashes have been abolished by the Fed; and Washington borrows like there is no tomorrow because the Eccles Building has made the carry cost of Uncle Sam’s massive $22.4 trillion debt dirt cheap.