The Plan Man

After looking at this chart, featured in a post, "Unemployment Rates: Promised vs. Actual," at the National Review Online, does anyone want to venture a guess as to how successful this week's economic plan political stunt hail Mary pass from the Obama Administration will be?

 

Never mind -- seems like there is really only one answer.

Comments

[Try this]

Boost Employment By Ending The Fed And Resurrecting Gold

The foundation for a vibrant economy is faith in an honest market. Government is charged with protecting us from fraud and ensuring sound weights and measures. Money is the essential scale. It’s Washington’s primary economic purview. When it loses meaning and the Fed obfuscates the true cost of capital, the market’s foundation erodes.

Compounding our difficulties, as the dollar slid over the past decade, our monetary masters simultaneously skewed another crucial benchmark. Interest rates reflect money’s price over time. As the Fed pushed real interest rates negative from 2003 into 2006, Americans plunged too much of our scarce capital into home construction and associated activities.

The strongest rationale for a gold standard remains the protections it affords liberty. Yet, ending the Fed’s interest rate manipulation and forging the dollar back to gold would provide the surety capital seeks.

When capital flows jobs will follow.

http://www.forbes.com/sites/billflax/2011/09/08/boost-employment-by-ending-the-fed-and-resurrecting-gold/2/

[roger]

The economy: the human species manipulate the
strings of this circus. Nations, corporations
do not operate on fate or trust but only and
exclusively on self interest.Capital flows/migrates
where it gets maximum returns. If there is no
labor force manufacturing the goodies, then
what purpose Capital? Gold,there not enough of
this drug to go around,creating a piece of paper
(money)to represent it,and we have speculation
and manipulation all over again.
As for a plan,humans don't have that kind of intelligence, they can't even explain the dynamics of the economy they live in.

[Try this]

Yes roger capital migrates to where it gets maximum returns...cronyism!

As for gold..Why the Gold Standard....http://www.thegoldstandardnow.org/history

Congress: Just Say "NO" To Obama

This deal was set up to enable Kaiser to take a shot on the business for free and now steal $850 million of book assets for less than $100 million.

http://truthingold.blogspot.com/2011/09/congress-just-say-no-to-obama.html

[roger]

Lessons from history, at a certain point of
economic development the gold standard effectively
acts as a straight jacket,at that precise moment
the gold standard is rejected.The gold standard
solve nothing in the struggle between Nations, corporation or individuals,it's just another route to disaster.

[Try this]

@ roger ..based on what?
Gold worked far better than any other system that has ever existed.
There was virtually no inflation in the last forty years of the gold
standard, there was less volatility than in any other system that
we've ever had. We did have to go off the gold standard at times,
during the Civil War for example, but we always got back and the
economy always stabilized and without the gold standard we would not
have had the Industrial Revolution in this country and in Britain.

There was enormous progress; enormous economic integration in the
world because all over the world people know that gold holds its
value.

http://www.realclearmarkets.com/articles/2011/08/03/we_need_a_gold_standard_now_99159.html

from what I have read we have never been on a strict gold standard...its not perfect but it beats debt slavery.

David Graeber about his book, Debt: The First 5000 Years.

starts @ 13 minutes.

http://maxkeiser.com/2011/09/10/kr182-passing-the-fiat-cash-grenade/

[roger]

http://www2.econ.iastate.edu/classes/econ355/choi/
this is a very good source of info on gold it's history
and its negative effect on economies.

[roger]

www.econ.iastate.edu/classes/econ355/choi/golds.htm
this works better,make sure you get gold standart

[Try this]

@roger Yes..we do have deflation..in wages....but everything else is going up. So what is the average worker to do...?..the only beneficiaries are the bureaucrats in government and universities with very healthy guaranteed salaries and pensions and those in the financial, insurance, and real estate sectors supported by money printing.

Please read...
Under a gold standard, the legal requirement to have physical gold
backing entries to the liabilities side of the ledger limited the
ability of the central bank to do this. That's the whole point of the
gold standard, to remove the option of politicians to pressure the
central bank into generating seigniorage revenue from money creation
when tax and borrowing revenues fall short. Without the legal
requirement to have gold reserves backing the central bank's ledger
entries, the process of expanding the money supply is as simple as
writing numbers down on the ledger and communicating the transaction
to member banks, or today by typing the numbers on a keyboard.

http://www.itulip.com/forums/showthread.php/20102-You-re-not-going-to-believe-this-Eric-Janszen?p=205428#post205428

When we anchor your false paper money through a policy enforcement
(paper money was originally a certificate proclaiming ownership of a
quantity of gold), you enjoy monetary stability. When you abandon the
standard and stability of gold, chaos ensues as sure as night follows
day. You aver that we are not money, yet we are in fact, the only real
money, of which all else is a derivative, or imitation of.

http://www.midasletter.com/index.php/the-world-according-to-gold-literally-110726/

I could stand to see some deflation in my insurance bills(health,auto, house)or education bills and a little inflation in my income...
the weakness ie. the limited supply of gold is what gives it sustainability in purchasing power as a store of value.

[Try this]

@roger if you're not inclined to read what's posted this link might help.

Fiat Money Produces Endless Sea of Wars, Debt, Social Inequality,
Economic Bubbles, Rampant Consumerism, Environmental Rape; Why Gold is
the Answer

A gold standard will not cure every social ill in the world, nor will
it stop all senseless wars. Nothing will. However, by now it should be
clear to everyone that the current fiat system is good only for
bankers, brokers, politicians, war mongers, and the already wealthy.
Everyone else loses as inflation eventually eats away at what's left
of the rapidly shrinking "middle class".

All fiat currencies including the US dollar are doomed. The only
debate is the path it takes to get there.

http://globaleconomicanalysis.blogspot.com/2011/07/fiat-money-produces-endless-sea-of-wars.html

[Mark]

This is how I know deficit spending won't end. And for an indebted government that means real interest rates must stay low/negative.

Bullish for gold.
http://seekingalpha.com/article/289717-identifying-the-end-of-the-gold-bull

[Tom]

There's only one reason why we couldn't drop the entire idea of money, credit and debt and all work toward the betterment of the planet (and in the process humanity and all the other species we rely on for sustenance) - like a "hive" or clusters of them - and the reason is that humanity at this point doesn't know it can be done. We'd have to give up on our polluting ways, especially with regard to fossil fuels, declare all the currencies of the world recyclable material, take back all the land, the homes of the super rich would pribabkt go (as would multiple dwellings for only one person or family - they'd be used for everyone) to be recycled into modest homes for others who need them (homeless). It would require thinking differently.

Don't worry, it can't happen now and it's too late anyway - we've already overshot the population (like yeast in a Petri dish) and are now in the bottleneck stage where many of us will perish and only a fraction of the population "survives" to try over in much worse conditions and with far fewer resources.

Of course this would entail a complete starting over with no one any better off than anyone else - and that's where the problem lies. As a species we don't have the intelligence (ie. we're not wired that way - requires being "desireless" to a large extent) to live like this, cooperating and mutually supporting each other.

http://www.youtube.com/watch?v=4Z9WVZddH9w

[Francesco]

Established political, financial and economic operators, and the media that covers them, are focused on the impractical demands of the far left and far right and concerned with what might happen if such demands continue to polarize the public. What they are failing to grasp is that they are part of the circus too. Policy makers are boxed in a debt trap from which there is no conventional escape. Media elders are taking dictation from disproven financiers and economists like cub reporters. (If they are “lucky enough” they gain access to money-grubbing politicians who don’t know enough to realize (or care) that their benefactors will be powerless when the dollar fails!) The establishment is earnestly debating whether Nero should fiddle in c-major or in g.
The reality of contemporary economies is that financialism has become unquestioned and fidelity has been de-commissioned. We believe strongly, and you should too, that the odds are heavily in favor that outcomes considered economically taboo today will occur tomorrow. The forty year-old dollar-based global monetary system is functionally unsustainable, long-in-the-tooth, and now noticeably failing. Conventional policy or politicking cannot fix it. The international pendulum has already begun swinging back towards hard money (and scarce resources), and its velocity is accelerating.

http://www.gata.org/files/QBAMCO-YourGoldTeeth2-08-2011.pdf

[Andrew Statezny]

Gold did work well we just have to remember that ultimately there is a "dollar" amount attached to the gold. So if we can take out that variable then things looks up.

[michael]

@roger, from your link: "(1) The gold standard is deflationary."

Yeah. Well, you know what? Productivity gains, and progress in general are much more deflationary!
The search for a (theoretical) optimal equilibrium is a completely flawed approach to begin with...