w/this: “we really have more of a political problem with financial leaders capturing the government.”

welcome to the 18th C.

JEFFERSON’S OPINION ON THE

CONSTITUTIONALITY OF THE BANK

February 15, 1791

(The Writings of Thomas Jefferson, ed. by H. E. Bergh, Vol. III, p. 145 ff.)

The bill for establishing a national bank, in 1791, undertakes, among other things,–
…
“I consider the foundation of the Constitution as laid on this ground–that all powers not delegated to the United States, by the Constitution, nor prohibited by it to the states, are reserved to the states, or to the people (12th amend.). To take a single step beyond the boundaries thus specially drawn around the powers of Congress, is to take possession of a boundless field of power, no longer susceptible of any definition.

The incorporation of a bank, and the powers assumed by this bill, have not, in my opinion, been delegated to the United States by the Constitution.”

A singular characteristic of an emerging market heading for deep trouble is a seemingly suicidal tendency to become overly indebted to foreign creditors. That tendency underlay the spectacular collapse of the Thai, Indonesian and Korean currencies in 1997. It also led Russia to default on its debt in 1998 and plunged Argentina into its economic depression in 2001. Yet we too seem to have little difficulty becoming increasingly indebted to the tune of a few hundred billion dollars a year. To make matters worse, we do so to countries like China, Russia and an assortment of Middle Eastern oil producers — none of which is particularly well disposed to us…..

Thanks wkkid3,
More FORWARD looking indicators

http://www.washingtonpost.com/wp-dyn/content/article/2009/03/25/AR2009032502226.html

…If your blog here focuses more on leading insights instead of lagging history you’ll end up competing with the likes of CNBC….

mr/mrs trader,
The leading indicators are right under your very nose,
don’t overlook the obvious.

“Christmas 2009 ….. For shoppers, this hesitance will translate into fewer choices and, if demand increases at all, fewer bargains.” .. aitrader – forward thinking maybe put Ebay and garage sales on your radar (unfatten’g and lighten’g us) .. I guess trade that (well .. one is tradeable globally)

but longer term I’m not sure what the learned trade to be in is … I saw a stroy on displaced Michigan auto manufacturing workers going into Healthcare at alarming numbers .. “alarming” because imo its service biz .. reliant on Medicare and an Insurance Industry that are both strapped

closing up – repeat a fine thread all – lots of outer reading

http://www.rttnews.com/CorpInfo/EconomicCalendar.aspx

3/27/09 page 4…

This is the same sort of thing that got my attention about our US figures a couple of months ago…it heralds future weakness….I would like to see orders improving before jumping on the Bus full of Bulls…

It’s the same thing with companies, unless they are too big to fail of course.

Our financial system is based on current solvency. The vultures are only too happy to get a hold of your assets when you can’t pay at a point in time, especially when there is equity. Only there is not much equity today (lol). Therein lies the rub.

It’s also been like this for all other countries that have defaulted in the recent past but Americans are expecting the rules of the game to be different for them.

Ironically, in the last few decades, which country do you think controled the terms of the IMF restructurings?

To the point that, not long ago, if you asked the average American what they thought of their countries finances, they’d answer that America is loaded: “We make all the loans to the other countries.”

http://finance.yahoo.com/news/Toy-luxury-stores-eye-apf-14775611.html

“For shoppers, this hesitance will translate into fewer choices and, if demand increases at all, fewer bargains. For factories abroad, it’s feeding desperation at the time of year when manufacturers usually start ramping up to fill summer and Christmas orders.”