The trickle down effect of our economic melt-down hasn’t trickled its way to Jonesboro, at least not in full force. I don’t expect we’ll suffer as much as larger, urban markets since they share the same zip codes with many troubled Tier 1 banks as well as major corporations with armies of employee’s that will need trimming as they shrink along with their global markets.
I view this crisis from a distance, in much the same way I view the Iraq and Afghan wars. The crisis-zone of each is well defined and populated by exclusive members.
The wars in Iraq and Afghanistan are fought almost entirely by the military with little to no real public buy-in or shared sacrifice. Our magnificent military inhabits both crisis-zones along with a hefty cadre of mercenaries.
The economic crisis seems to be hammering away at the top tier of the business world. Yes, there will be ripples rumbling through the hinterlands, but small community banks for example, which comprise over 90% of all chartered banks in America, seem to operate outside the economic crisis zone.
But this could all change, and swiftly, since change is the only certainty of these trying times.
How do you define Interregnum?
Interregnum, in George Bush’s world, is a fancy word to describe the last days of his term in office when he’s considered a lame duck. In the Obama World, interregnum is the time from his election until the time he’s sworn in as the 44th president of the US.
Eventhough these two definitions vary, the period of time defined does not.
This interregnum could have apocalyptic consequences on our economy similar to the Great Depression, but with one huge difference, and I mean HUGE. This modern day Depression will encompass the world and cause a global crisis worthy of rewriting history; in particular, the definition of Depression.
to the global on the level of the Great Depression
The US currency could be the only unit of matter that has existed as a solid, a liquid and a gas.
Beginning in 1785, and continuing off-and-on until 1971, the value of American currency was solid; in fact, it was as good as gold or silver. Our long-standing reliance on a metallic monetary standard lasted until 1971, when it was permanently abandoned by President Nixon. Since that time, the US dollar has officially been fiat money, or currency supported only by confidence; in particular, the public’s confidence in our government.
Unlike currency backed by gold or silver, fiat money can be printed. And printed. And printed.
Just look what our government’s done since the economic tsunami hit on September 16. They’ve printed an ocean of money in an attempt to satisfy liquidity problems among many of America’s largest banks, insurance companies and corporations. To defend their action, the government argues that ost of these corporate giants Liquidity problems among many of America’s largest corporations spelled the government has deeme from financial and insurance giants our government has deemed “too large to fail”, a veritable ocean of dollars has been printed.
Someone needs to send word to the Titanic to make room, corporate behemoths of all kinds are sinking and no , can be printed by the government of today like the US dollar of today, can be printed at the government’s request in quantities that are not bound by any limit.
In the current economic crisis, we’ve witnessed our government print an ocean of dollars to help liquidity needs to failing banks. Other large industries
Confidence is currency you can’t use at Kroger; furthermore, when the current administration fails to acquire it the old fashioned way, they value of the dollar declines.
Enter the current economic crisis. Major US financial organizations have been joined by mega-sized US corporations,
To add injury to insult, the government can print as much fiat money as it wants If the government decides the economy, or its major corporate players, needs liquidity, i.e., more money, it can print as much fiat money as it wants.
In my lifetime, I’ve witnessed the dollar transform for a solid to a liquid. Now that I, along with most Americans, has no confidence in the Bush administration, we’re witnessing the dollar transform once more, as it and our economy go up in smoke.
In the interregnum, the time between now and the inauguration of Barack Obama, President Bush and President-elect Obama need to work together to help restorejj