Six Minutes with The Renegade Economist - 13th February 2009

[jobedied]

The warehouse glut in commercial real estate is still going strong in New Jersey, applicants are still appling for 10,s of millions of square feet to build in central New Jersey. There is no shortage of banking money in New Jersey for commercial real estate building boom. It is interesting that most of the newer ones finished the past year have for lease or sale signs on them. Bankers must be still willing to loan hundreds of millions in New Jersey.

[ahonie]

Fred, Great History Details, and story, make this a clear to understand. I agree to the tax reform to land based value and a cap on total CASH/STOCKS wealth (after your CASH/STOCKS is worth 200 million, all extra income goes to the Government who can create Jobs for the poor). Since if a minority has excessive Money/Power and just puts it away, it's like I will not feed my kids since i just put all my extra money/stocks into a black hole. What is the point of wealth if you don't spend it????

[ahonie]

Also all countries have there own standard of Currency, and the Us has gone from a Silver based to Gold based to in god we trust. On top of that the Banks are making interest for nothing, they lend us notes we each can make, since they are just noted now not certificates of deposits. Or even better we could have money based on Footage of land owned, so all land would have value, of course this could cause a land value increase but mixed with a tax based on land value it would work....

[ahonie]

Sorry for the spelling errors, I get excited to think Economics/Monetary system. In some parts in Africa you don't own the land, just the products you make with it. Prevent land from being owned, Owning land causes land value to go through the roof and not being used. If you Replicate Land Laws as nature has laws like DNA (Biological Laws/Blueprint) it all changes the cell. Land Laws (our man made DNA) change the way people act. So the laws are to blame for this (tax/land laws in particular.)

[madamhelens]

I would just like to point out that with this bust,unlike the one in the 90's, savers are also being asset stripped.

I now realize why the media kept quiet while the pound gradually and quietly slipped against the euro and dollar. The exit door to savers was silently closed. With shares and commodities also down, savers along with debtors have been caught in the net and there is no escape.

Why QE when CPI is above the 2% inflation?

Good game of economical chess illuminati (psychopaths).

[mattsta1964]

It's very simple. The banks lend money very cheap, asset values like property soar, then they either riase interest rates like they did in 1991 or they contrive some economic crisis and pul the rug from beneath everyone's feet. It's an old trick, achieved many times before. Thomas Jefferson famously said, 'Banking institutions are more dangerous than standing armies' 200 years ago. People are doomed to repeat the same mistakes because they believe the politicians and the hype.

[mattsta1964]

The housing boom was deliberately contrived to asset strip the people.

Broon isn't delusional. He is just EVIL. The root of the problem is the central banking system. They created this mess. The private banking system is the convenient scapegoat for the insane policies of the British and America governments and the central bankers

[busterbox]

I don't believe it was contrived in any direct way. What happens is, the system as is is doomed to suffer boom-busts, and each time there's a bust, the economy started out at a higher level of debt than the time before it. The Fed had no choice but to continue dropping the record; it was taking the only action possible for further staving off the inevitable disaster.

Harrison's right that there must be change to the tax system if we're to avoid boom busts.

[mattsta1964]

The intention of the boom bust cycle is to asset strip the people by creating a false illusion of wealth where none exists.

The value of property is denominated in a paper currency with no intrinsic value. The only thing that gives money value is the presumption that someone, somewhere in the future will create wealth. Money is merely a trust based 'futures' contract but the monetray system is so deceitful and fraudulent that all the trust is gone. The system is irretrievably broken.