Government version of incentives:

Failed programs beget……More programs! That is success! Stimulus 1 with all it’s sideshows; cash for clunkers and multiple doa mortgage workout failures, will add scarcely a job on Main St. Dirty little secret: It went to government. So we can receive another $trillion bill and retain the metasizing, supersized government overhead that contributed so much to crushing Main St. in the first place. Surprise, Main St. remains comatose. Time for another stimulus!

Now the cover story is: Jobs creation! Don’t worry, public servants, you aren’t forgotten. You are the main beneficiary, along with Wall St., trust me. And, MSM will dutifully tell us how much worse it would have been without: (Fill in the failed government program of your choice here).

Consumers: You can’t escape. Although you are now forced by insolvency to become frugal, government will continue spending for you. It’s not as much fun, but the “representatives” we voted for insist. Enjoy the Wall St. bonuses, higher prices and bigger government you are buying now, on your tab, of course. Your kids won’t.

1. More Govt intervention means more wealth and income concentration; net worth jumps for the highly connected and privileged top 1 % while it plunges for scores of millions of ordinary Americans……the US Regime considers this proof of a “V” recovery.
The Stimulus works impressively, for the Regime and its clients, which is really all that matters.

2. Repudiating debt(even when there is capacity to service the debt a.k.a strategic default) to increase net worth is morally indistinguishable from theft. The repudiated debt will end up costing someone, somewhere, their investment and someone else their job. Isn’t stealing to increase discretionary cash flow and net worth a criminal activity?

When thieves start calling theft ” strategic asset conversion” will they too be applauded for their financial acumen and given a stimulus check instead of a prison term? Under the current US Regime this seems quite likely. After all, this is the present highly successful Wall St model……..

- Leftfield

Related Posts:

• There is a huge risk of double dip recession is the government is not careful.
• More than half of the people with a job today depend on Government for their paycheck.
• Why would Gold go up?
• This is not a Recession. It is a Depression.
• For deflationists, Financial Sense interviewed one of the best in that camp this weekend.

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