Papering over the hole
When GDP goes down for two consecutive quarters, economists call it a recession.
When GDP goes down for four consecutive quarters, economists call it a depression.
Guess what?
The government has been including the cash infusions from the various QEs into the GDP number. I know it sounds crazy, but it's true. Look it up.
So what happens when you take the QE injections out of the GDP?
Four consecutive quarters of declining GDP: A depression.
Question: If GDP is declining, then how will the debts that were created based on the assumption of ever growing GDP get paid? There's not enough money in the system.
It's pretty obvious how this has to end, but the master of denial are working the dream machine hard.
When GDP goes down for four consecutive quarters, economists call it a depression.
Guess what?
The government has been including the cash infusions from the various QEs into the GDP number. I know it sounds crazy, but it's true. Look it up.
So what happens when you take the QE injections out of the GDP?
Four consecutive quarters of declining GDP: A depression.
Question: If GDP is declining, then how will the debts that were created based on the assumption of ever growing GDP get paid? There's not enough money in the system.
It's pretty obvious how this has to end, but the master of denial are working the dream machine hard.
