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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

 

Condensed Articles

August 19,2014

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SAYONARA MR. KEYNES
By Zero Hedge

(condensed)

As a result of Abenomics, Japan is facing an economic disaster of epic proportions. The mainstream media, like a dutiful cheerleader has been encouraging the devastation with the argument, “What other option does Japan have?" Well, one option was simply not to engage in economic suicide. But then again it was never about the economy: it was all about the BOJ's monetary stimulus that would allow the U.S. stock market several more months of fungible bliss as Japanese reserves found their way into the U.S. stock market. All this at a time when the epic illiquidity in the U.S. Treasury bond market forced the Fed to begin tapering in December (and conclude in October, a few months before it is forced to launch another QE episode).

This likely explains why Goldman, which would do anything to revel in yet another year of soaring bonuses, was a fervent supporter of Abenomics, knowing well what the impact of $75 billion in Japanese liquidity would have on the S&P500, and thus Goldman's bonus pool.

Just as Abenomics is preparing to hit its 2-year anniversary, Japan's economy is on the verge of recession. And here is Goldman's punch line: “We see negative real GDP growth of around -6.5% as likely, based on the data currently available.” A -6.5% annualized contraction would be the biggest GDP drop in Japan's history. In short: Japan's Keynesian lunacy is about to result in the worst economic collapse since the Lehman bankruptcy.