The End of the Statist Quo
by David Galland
Mon, 8 Nov 2010
Here at Casey Research, we have been rather negative about the economy for many moons. To be otherwise in the face of the decades-long trend toward ever more government – along with its increasingly destructive and expensive meddling in the free markets – would have been foolish. And, so far, we have been right.
However, I for one am beginning to see some light at the end of the tunnel.
It won’t happen overnight, and maybe not in the next five to ten years, but it increasingly appears to me that the government’s disastrous “problem solving” that has brought us to this place is approaching a limit. Case in point, governments the world over are now engaged in an insane race to the bottom for their currencies – which will only gain speed if the Fed goes ahead with a new round of quantitative easing. Should the Fed persist with this latest madness, countries all over the globe are likely to step up their own interventions – but that may very well lead to the fiat system breaking down completely, to be replaced by something more tangible.