Stock Market Crash To Continue

Before the U.S. financial markets open tomorrow morning it is important to remember that all assets, especially stocks are on borrowed time with respect to value. Governments around the globe have spent the last two decades conducting monetary and fiscal policy in ways that increase asset prices. In a free market, asset prices are determined independently of government interference. Since the goal of every government in the world is to increase the wealth of the class which keeps it in power, all sorts of lawlessness and price manipulation has been ignored by regulatory authorities, as long as the result has been higher prices.
There is not one honest market in the world today. The U.S. capital markets have been destroyed. There is far more money looking for investments, than there is productive areas to place the money. Businesses in the United States cannot generate adequate profits necessary for the government to collect enough in taxes to operate and pay interest on debt.
The thinking of Americans is still backwards, in that central economic planning has brought us to this disastrous juncture and what do you suppose is being suggested as a solution? More central planning is being asked for by the public and more central planning is being offered by lawmakers and the president.
I cannot tell you exactly how the future is going to unfold, only that in terms of economics it will be very bleak. With so many thinking errors driving policy and everyday decision making, there are too many possible negative outcomes. My advice to everyone is to be forewarned and look out for yourself.
I cannot say when, but the bottom is going to drop from beneath the economy and the stock market. Should the stock market rally some this week, don’t be fooled. A portfolio of short sales is the only strategy that will possibly generate a positive return for the foreseeable future.
Remember, holding short positions is the opposite of owning assets.

I can’t stand it. I mean when college students can’t get jobs because their degrees have no market value. Watch this video. You’ll love it.

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About Fantasy Free Economics

James Quillian independent scholar,free market economist,and teacher of natural law. Who is James Quillian? Certainly I am nobody special, Just a tireless academic and deep thinker. Besides that, I have broken the code with respect to economics and political science. Credentials? Nothing you would be impressed with. I am not a household name. It is hard to become famous writing that virtually no one in the country is genuinely not in touch with reality. But, if I did not do that, there would be no point in my broking the broken the code. If you read the blog, it is easy to see that there are just a few charts, no math and no quantitative analysis. That is not by accident. Given what I know, those items are completely useless. I do turn out to be highly adept at applying natural law. Natural law has predominance over any principles the social science comes up. By virtue of understanding natural law, I can debunk, in just a few sentences , any theory that calls for intervention by a government. My taking the time to understand the ins and outs of Keynes General Theory is about like expecting a chemistry student to completely grasp all that the alchemists of the middle ages thought they understood in efforts to turn base metals into goal. Keynesian theory clearly calls for complete objectivity. Government can only make political decisions. Keynesian techniques call for economic decisions. So, why go any further with that? Fantasy Free Economics is in a sense a lot like technical analysis. Technical analysis began with the premise that it was impossible to gain enough information studying fundamentals to gain a trading advantage. Study the behavior of investors instead. Unlike technical analysis, I don't use technical charts. What I understand are the incentives of different people and entities active in the economics arena. For example, there is no such thing as an incentive to serve with life in the aggregate. In the aggregate, only self interest applies. It is routinely assumed otherwise. That is highly unappealing. But, I am sorry. That is the way it is. I can accept that because I am genuinely in touch with reality. Step one in using Fantasy Free Economics is for me to understand just how little I really know. A highly credentialed economist may know 100 times what I do based on the standard dogma. Compare the knowledge each of us has compared to all there is to know and we both look like we know nothing at all. There is always more than we don't know than what we do know. I am humble enough to present myself on that basis. Why? That is the way it is. I am not bad at math. I have taught math. What I understand is when to use it and when to rely on something else. Math is useless in natural law so I don't use it. While others look at numbers, I am busy understanding the forces in nature that makes their numbers what they are. That gives me a clear advantage.
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