On Sun, 19 Jul 2009 14:07:29 -0700, Reality Rpt
wrote:


Paul Craig Roberts

Can the Economy Recover ?

There is no economy left to recover. The U.S. manufacturing economy
was lost to offshoring and free-trade ideology. It was replaced by a
mythical "New Economy."

The "New Economy" was based on services. Its artificial life was fed
by the Federal Reserve's artificially low interest rates, which
produced a real-estate bubble, and by "free market" financial
deregulation, which unleashed financial gangsters to new heights of
debt leverage and fraudulent financial products.

The real economy was traded away for a make-believe economy. When the
make-believe economy collapsed, Americans' wealth in their real
estate, pensions and savings collapsed dramatically while their jobs
disappeared.

The debt economy caused Americans to leverage their assets. They
refinanced their homes and spent the equity. They maxed out numerous
credit cards. They worked as many jobs as they could find. Debt
expansion and multiple family incomes kept the economy going.

And now suddenly Americans can't borrow in order to spend. They are
over their heads in debt. Jobs are disappearing. America's consumer
economy, approximately 70 percent of gross domestic product, is dead.

Nothing in Presidents Bush and Obama's economic policy addresses the
real issues. Instead, Goldman Sachs was bailed out, more than once. As
Eliot Spitzer said, the banks made a "bloody fortune" with U.S. aid.

This should tell even the most dimwitted patriot whom "their"
government represents.

Nothing in Obama's economic policy is directed at saving the U.S.
dollar as reserve currency or the livelihoods of the American people.
Obama's policy, like Bush's before him, is keyed to the enrichment of
Goldman Sachs and the armament industries.

Matt Taibbi describes Goldman Sachs as "a great vampire squid wrapped
around the face of humanity, relentlessly jamming its blood funnel
into anything that smells like money." Look at the Goldman Sachs
representatives in the Clinton, Bush and Obama administrations. This
bankster firm controls the economic policy of the United States.

Little wonder that Goldman Sachs has record earnings while the rest of
us grow poorer by the day.

http://www.creators.com/print/opinio...y-recover.html

When the 3rd quarters earning become public as disaster could easily
occur.

ted