Recently by Bill Bonner: Lies, Lies, Lies: The New Foundation of the FinancialSystem
Is the US the sick man of the globe, asks a Reuters article?
Its a provocative headline. And the answer is probably yes, in many respects.
Report drunk drivers, says one sign. Report Suspicious Activity, says another. Report Unclaimed Bags, says a third.
Americans are being trained to denounce their neighbors. Theres something a little sick about so much tattling.
And heres something that is not only sick, but fatal:
Tax deal cruises through Senate, said last weeks Washington Post headline. The House is supposed to follow.
The Road to Serfdom: T... Best Price: $2.55 Buy New $1.00 (as of 09:10 EDT - Details)
Now, you take a place like Italy or Greece. The papers report that there are riots in Italy. And in Greece, anti-austerity demonstrations have turned violent.
You dont see that sort of thing in the US. Nope. Because in America our public servants really serve.
Some of the members of the Senate wanted the rich to pay more in taxes. Others just wanted to be sure the poor got more unemployment benefits and other giveaways.
But after hours of argument, the worlds greatest deliberative body thrashed out a compromise. Forget the taxes. Forget the cuts. Everybody gets something.
Yes, dear reader, thats what makes America great. You might think it is reckless to extend the tax reductions, what with the nation going broke and all. Or you might think it hardhearted not to give more handouts to the little guy, what with the Great Correction underway. But its always inspiring to see the peoples representatives joining hands and doing something that is truly stupid. Lower taxes AND more spending too!
Meanwhile, the poor Europeans just cant seem to get with the program. Theyre cutting services. Theyre working to balance budgets. Theyre raising taxes.
And even still, investors sell their bonds!
Spain debt yields near euro-era high, says The Financial Times.
See what good it gets you? You try to do things right and investors stab you in the back.
So you see, the Americans are right. Better to spend, spend, spend until you go broke.
December 20, 2010
Bill Bonner [send him mail] is the author, with Addison Wiggin, of Financial Reckoning Day: Surviving the Soft Depression of The 21st Century and The New Empire of Debt: The Rise Of An Epic Financial Crisis and the co-author with Lila Rajiva of Mobs, Messiahs and Markets (Wiley, 2007).