That was one of the best articles I’ve seen regarding our current situation, and how the government is on the wrong track…that their efforts will actually worsen the depression rather than protect us from one.
It’s not about GDP or making more credit available. The problem is that people at the bottom of the food chain have been starved. In a debt-based system, the movement of money is always from the bottom-up. At some point, the bottom not only has nothing left, but a major deficit which they cannot possibly pay off. At that point, the entire system freezes, and the only way out is for the money to be redistributed from the top-down, so the cycle can start over again.
We can either redistribute from the top-down, or we can print money and give it to the bottom half by creating jobs (govt infrastructure, energy and healthcare innovations, etc.). Either way, the money needs to go to the bottom, not the top.
