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Jim Cook

 

RUNAWAY SOCIAL SYMPATHY

Every once in a while I switch the TV channel from Fox to CNBC to see what the liberals are saying.  After listening awhile I get a deep sense of hopelessness and foreboding for our country.  The most important thing for the left is giving money to people.  They are happy to see the growth of food stamps, disability payments, housing subsidies, free healthcare and all the other welfare benefits.  They utterly fail to see the damage it is doing to the recipients.  Whole cities that once flourished have deteriorated into rotting eyesores populated with shambling hulks of chemically dependent drones.  These people are no longer employable.  They have become incompetent and helpless and the liberals can’t see that it’s their doing.

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The Best of Jim Cook Archive

 
Best of Aubie Baltin
May 10, 2011
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Retail sales in March missed analyst expectations “by a long shot”, as the U.S. Commerce Department reported that sales at U.S. retailers increased only 0.4% in March—a nine-month low. Consumers are pulling back on spending. Why wouldn’t they? Fuel costs are killing their budgets and real estate prices are depressed and getting worse, long-term interest rates are rising, banking charges of all sorts are sky rocketing (thanks to Dodd Frank), the media coverage of “out of control,” Government spending and rising debt is becoming more intense. Thus, the only things good that have been rising are the manipulated stock markets, oil, commodities and precious metals. Take away Government Stimulus, and the stock market will dive like a helium balloon shot full of holes.

The great majority of American consumers are living on a paycheck to paycheck shoe-string budget with 45 million+ relying on Government handouts. Any dip in the economic recovery will kill consumer demand. The Government knows this and this is why the Government thinks it needs to keep spending, why it needs to increase the maximum amount of money it can legally borrow (now at $14.29 trillion), why it can’t reduce Government Stimulus, and why it can’t raise short-term interest rates. They don’t seem to understand that the only thing that they are doing is supporting the big banks and favorite friends in big business and doing absolutely nothing for the people or for Main Street.

Stagflation—that’s the real wild card right now! No one really knows exactly how all this massive Government interference in the economy will play itself out. My opinion, based on what the precious metals are telling me, is that stagflation is already here and has become a serious problem, but is thus far being masked by the phony statistics released by Government. If you think that the March retail sales were surprisingly weak; “you ain’t seen nothin yet” - wait until $4 and $5 per gallon gas hit the consumer’s wallets. Look what is already happening to Walmart’s sales.
“The Real Threats to the Economy are numerous: Retail sales are falling, the producer price index is increasing and squeezing profits, house prices are still falling—and worst of all, real UNEMPLOYMENT is increasing and no one is talking about inflation. The Fed Governors are still talking about deflation—they’ve got it all wrong. Maybe because they don’t seem to know what the difference is between inflation, deflation and stagflation.