Category Archives: Economic Instability

Capitalism is a credit/debit system of borrowing money and pay it all back, plus interest. As energy declines, people will realize that loans can’t be paid back, that the principal is at risk. Stock markets worldwide will crash once Peak Oil (everything) is acknowledged, and social chaos won’t be long after that. On a separate but related track, the corruption and greed of the financial system is on course for crashing it all irregardless of energy.

Money – what is it?

Posted on March 21, 2014 by

The following are good articles to read about what money really is The supply of money in an energy-scarce world  2011. Richard Douthwaite. Summary of this article: Money has no value unless it can be exchanged for goods and services … Continue reading →

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Money versus Credit or Hyperinflation versus Hyperexpansion

Posted on March 19, 2014 by

I’ve put in several articles by Nicole Foss here on these topics. Resurgence of Risk – A Primer on the Develop(ed) Credit Crunch The Inverted Pyramid – Money versus Credit (or Hyperinflation versus Hyperexpansion) Money and credit are not the … Continue reading →

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Dailyreckoning

Posted on March 19, 2014 by

Preface. Bonner & Wiggins at the dailyreckoning called the 2008 housing crash in 2002 and the 2000 dot.com crash in 1999. They’ve got a lot right, a lot wrong, and are always entertaining to read. A few random excerpts are … Continue reading →

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The congressional report on “The Financial Crisis” and what happened

Posted on March 11, 2014 by

The Financial Crisis Inquiry Report. Final Report of the national Commission on the Causes of the Financial and Economic Crisis in the United States 2011. Phil Angelides Chairman, Brooksley Born Commissioner, Senator Bob Graham Commissioner, etc. This is the best … Continue reading →

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A financial crash would stop new oil production, sending us over the net energy cliff with a 10% decline rate per year

Posted on March 5, 2014 by

Gail Tverberg’s March 4, 2014 “Reasons for our Energy Predicament – an overview” gave me this sudden insight: There is the potential for a sudden drop of 10 to 30% in oil production.  That magnitude of world-wide oil shocks would … Continue reading →

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Experts who aren’t worried about Inflation

Posted on March 3, 2014 by

Paul Krugman: The Inflation Obsession. March 2, 2014. New York Times. [modified: both paraphrased and cut] Recently the Federal Reserve released transcripts of its monetary policy meetings during the fateful year of 2008. And, boy, are they discouraging reading because … Continue reading →

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Why cash is better than gold

Posted on March 1, 2014 by

Why people buy gold To protect against inflation That’s a good reason, but the next crash will be deflationary like the 2008 crash, when stocks, homes, oil, gold, and everything else plummeted in value. Trillions of dollars vanished overnight.  The … Continue reading →

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Wall Street Journal FDIC Faces Balancing Act in Replenishing Its Coffers

Posted on February 27, 2014 by

FDIC Faces Balancing Act in Replenishing Its Coffers August 21, 2008.  Wall Street Journal. As financial institutions continue to fail, the Federal Deposit Insurance Corp. is under pressure to decide how to replenish the fund that insures consumer deposits. The … Continue reading →

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Your Money is not Safe in an FDIC Insured Bank Account

Posted on February 27, 2014 by

Below are 3 articles about why the FDIC can’t actually protect your money at banks Ellen Brown. July 5, 2013 Think Your Money is Safe in an Insured Bank Account? Think Again. A trend to shift responsibility for bank losses … Continue reading →

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Deflation : The meltdown was far more like the crash of 1873 than the 1929 Great Depression

Posted on February 27, 2014 by

The Real Great Depression. The depression of 1929 is the wrong model for the current economic crisis. 10-17-2008. Scott Nelson.   The Chronicle of Higher Education. As a historian who works on the 19th century, I have been reading my newspaper … Continue reading →

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