And that’s what’s going to happen. You’re seeing this now. The oil market is going down and people are
The reason we don’t have real economic growth, the reason that the poor are getting poorer, the divide between the rich and the poor are growing, the middle class is disappearing, people are reporting great dissatisfaction with the economy – look at the voters who voted Republican in the midterms, very upset about the direction of the economy – real incomes are falling. Household net worth is declining.
And student debt is skyrocketing, because so many people can’t find jobs if they’re just going to school, although a lot of the people that are borrowing money using college loans are just going to college so they can get the loans. They don’t even care about the education. They’re enrolling in online courses just so they can get government loans so they can pay their electric bills.
So, the reason that we’re having this real recession under this phony recovery is because the Fed won’t allow the recession to run its natural course, because the recession is kind of like a detox. It’s what’s
I mean, if the government allowed the recession, banks would fail. People would default on their debts because they couldn’t pay the interest, let alone the principal, but that is more healthy. Allowing that natural, free-market restructuring, that process is healthier and more conducive to a return to legitimate growth than what the Fed is doing. Than trying to prevent that through inflation, through printing money and quantitative easing and zero-percent interest
- Source, Peter Schiff via Wall Street Daily