We As A Nation Had An Unparalleled, Historic Opportunity To Set Things Right In The Aftermath Of The 2008 Financial Meltdown. Alas, We Blew It.
Charles Hugh Smith
July 3, 2013
We are about to reap the consequences of tolerating the perfection of the Savior State / cartel-crony capitalism’s neofeudal debtocracy.
We as a nation had an unparalleled, historic opportunity to set things right in the aftermath of the 2008 financial meltdown. Alas, we blew it. Instead of tearing down what had failed spectacularly, we chose to do more of what failed spectacularly: cartel-crony capitalism, centralized wealth and power and an expansion of our financialized debtocracy.
Gordon Long and I discussed this epic miss in Window of Opportunity: Blown!
While it’s certainly easy to blame our corrupt, self-serving leadership, we have tolerated their “more of the same.” It’s been said that a people get the government they can tolerate (as well as the one they deserve), and the American people have tolerated an expansion of everything that is systemically destructive because we dared not risk our share of the Savior State swag.
The joke will be on us, because there won’t be any swag when the rotten edifice collapses in a heap. The entire Status Quo response can be summarized thusly: save cartel-crony capitalism and increase central state power by expanding credit and blowing borrowed trillions, i.e. paper over structural flaws with tsunamis of free money and credit.
Let’s check in on the effectiveness of the Keynesian Cargo Cult’s project of borrowing and blowing trillions: Oops, diminishing returns.