A confession: I’m too excited, nervous, and agitated to start this post cleverly, so let’s just get to the conomic heart of things. As anyone with a financial pulse knows, yesterday specifically and this week generally marks, well, the beginning of the end. The end of geo-political conomic optimism, hope, and confidence. And, at least for me, this moment could not have come soon enough.
Bloomberg outlines the financial carnage in Global Stocks Drop 20% Into Bear Market as Debt Crisis Outweighs Profits: “Stocks fell, pushing the MSCI All- Country World Index of 45 nations into a bear market for the first time in more than two years, after the worsening European debt crisis and threat of a U.S. recession erased more than $10 trillion from equities since May.”
Well, financial world, welcome to the show. Those of us who have been paying attention have been not-so-patiently waiting for you.
What, I may ask, took you so long?
As the conomic world now turns its worried eye to the “traditional” financial experts, commentators, and reporters, those of us who saw this coming from a financial mile away feel the need to take you all to task. Honestly, financial markets, what the f#ck did you think was going to happen this year? Not just this year, but throughout the past 3; you know, since 2008, when this global recession really started? Who and/or what did you think was going to spark any kind of growth to get us out of this financial disaster? You HAVE read at least one basic primer on conomics, right?
Let’s take a look at this from a rational, non-system approach (you know, one that actually understand the intersection of policy, conomics, and finance): between the past 10 to 30 years (depending on which country/region you’re looking at), both the United States and Europe enjoyed tremendous debt-fueled growth, which inevitably led to unprecedented conomic development and prosperity in the developed world. And while this debt-fueled growth created a modern-day financial fairytale, it masked underlying fissures within the1st world debt infrastructure that continued to grow even as world headlines breathlessly touted “conomic Sunshine And Lollipops For All!” These fissures have since split permanently, taking with them much of the debt-fueled growth of previous decades. In short, we’re all screwed.
Read more: http://www.businessi…9#ixzz1Ys7tBrPZ