The United State’s Keynesian Economic System May Collapse Again
May 2nd, 2013
The Fed is pumping the US dollar out of existence. Our entire economy is being propped up by the Federal Reserve. Anyone who took Intro to Finance knows when the Fed pumps, the unemployment SHOULD DROP and inflation should rise. Yet, today, unemployment has remained at the same levels and only inflation has risen.
The yuan is surging. Economists are shortening the forecast for China to overtake the US as the largest economy in the world. Gold had the worst month in decades. Investors are scrambling. The market has a weak showing today despite the announcement for more stimulus.
Is the US economy at rock bottom?
This chart, showing what’s happened to U.S. household income in the 21st century, is reality. The stock market–not so much: