Some one has to start it, Americas default.

Getting a little hostile there, aren't you? You're taking this entirely too seriously.

It says right on the graph that all the countries except Finland are indexed to 100 in 1997, and Finland is indexed to 100 in 2001. Sounds like a 'starting point' to me....

I'm willing to bet that if we had the original page it was lifted from, the rest of the information you want would be there or available. But I'm not 'relying' on the graph for anything, so I'm not that worried about it.

Since the relentless barrage of links and articles you lay down daily is full of unsubstantiated 'facts,' hysterical rumors and idle speculation, it seems a little odd that this one little graph is somehow sticking in your craw....

 

Here is some reading for your consideration, I have not read yet but using webmail makes 'saving for later reading difficult, So I too will use these links to read later...

http://www.caseyresearch.com/gsd/ed...-above-11000-ounce-turk-tells-king-world-news - US$11000 per ounce and more for gold is what you can look forward to - basically gold will hold its purchasing power and fiat currencies will be devalued... USA may retain a different greatness as the potential is there - - BUT - - there is a need to change the business plan and open your mind to what is meaningful and presents LONG-TERM future non-monetary rewards... Think carefully on this and refrain from putting your words in my mouth...

http://financeandeconomics.org/Articles archive/2011.10.20 CMRE Speech.htm - This essay also follows the theme of the following links below... Please read, understand and learn - enlightenment will follow when you understand this line of thought...

http://www.hindecapital.com/docs/hi...en Davies GATA Conference Speech Aug 2011.pdf "Monkey Business – Reality, Illusion or Delusion"

http://goldsilver.com/video/michael...lver Email Marketing&utm_term=Watch the video The scam of money creation - LISTEN TO THE VIDEO and LEARN... Australia has a similar procedure... That is how BANKS CREATE MONEY...

http://goldsilver.com/learn-about-gold-silver-investing/ - This is also worthy of your attention... and save the *.pdf file from hindecapital, (third link), gold does not have counterparty exposure ... by holding gold-bullion you do not have counterparty exposure for that amount of gold you hold...

http://www.theenergyreport.com/pub/na/11403 - Oh dear, If that means converting farmland from food to fuel production... Then the nation will starve to fuel its military engines... Doh.... If that means 'green slime' in the desert regions - useful if the water is sea or desalinated

 

Hey Troy.....on the BBC world service is an interesting documentary Called "The British Establishment: Who For ? Why does Britain's narrow and elite establishment keep stumbling from crisis to crisis? " very fascinating documentary relevant to the current world ruling class, world situation. Well worth a listen.

Sorry I cant give a link but my internet is so weak that I cant load BBC

 

The "critical reads" at the bottom of this link have some very interesting essays from everywhere http://www.caseyresearch.com/gsd/ed...-above-11000-ounce-turk-tells-king-world-news

And here is a good cartoon that illustrates what is happening NOW in the global economic world... a very good analogy... and the pdf from HindeCapital

 

Housing shortage?
Is not the acceleration of prices over historical income ratios the very definition of a bubble given the unsustainable nature of such an increase?


Did the population of AU suddenly increase or some other factor lead more buyers into the market?
Is it perhaps too coincidental that the housing shortage may have appeared during the same time frame as a global housing bubble?
I know there is a bull economy there driven by resource extraction to China.
Perhaps mas can weigh in on with local knowledge?

I do know that a housing shortage was postulated in the United States during the height of the Bubble. The national papers carried editorials on how in five or ten years that there would be not enough housing available to meet demand. Odd a bit down the road and we have a severe housing surplus...

A observation and a few anecdotes:

I read a bit back that fully 40% of the housing purchased in 2006 in the states was not purchased as a primary residence.
Is it possible that localized artificial "housing shortages" are created during bubbles by homes being held by speculators?

One of my clients related his experience of the housing bubble- he saw the property prices accelerating and intended to take his savings and leverage them into six homes in a division in Florida. Luck was with him and the market crashed after the first purchase (a home he resides in now-under water). If he had purchased all six he would have been ruined.

I ran out of gas coming home from the shop and was picked up by a young man who related how he had made 60,000 in two months by flipping a house he had purchased to live in: "the money was too good to pass up". He fully intended to buy further on spec and make his fortune.

Both of these individuals had no prior real estate experience and worked in unrelated fields...

I present again that the market forces at work were at the street level. The secondary derivatives market traded the phenomenon but did not create it.

Here is some median price data for AU rwatson:



http://www.environment.gov.au/soe/2006/publications/drs/indicator/410/index.html

Decent government site- lots of data

 

Hi Leo, I cannot ascribe to your esteemed level of purity, but likewise, in day-to-day living (except petrol and diesel) minimal adverse impact and my income is around Au$500 per fortnight...

Soon I hope to be in a position of true self sufficiency, - ulterior commitments are at present 'the delay' ... As well as a desire to secure a 60litre/hour 240VAC R-O-watermaker is still too expensive... I need to save for 1500+L of diesel, a standby charger at $1500 from Christie engineering to enhance self reliance and long passage-making capacity as well as $30K for stick & sails - One day...... ... Then I can concentrate on community development in the outer-islands-of-Melanesia...

 

It doesn't matter what index unit is being used, as long as the same one is used for each line -- because the graph isn't giving hard numbers. As you have noted it's simply showing trends, using 1997 as an arbitrary starting point.

I don't think anyone ever claimed it was some sort of master codex that sums up the overall economies of each and every country. I believe it was posted in response to comments about how harmful housing bubbles in the US are to the rest of the world. Taken in that context, I think it's relevant and makes a point.

 

http://www.dailyreckoning.com.au/back-up-empire/2011/10/25/ - This fellow, A citizen and resident of USA, has an interesting read for you all to consider... A history lesson with some close parallels...

 

I wonder if someone would pay me for my summary of the worlds problems. Talking of inapropriate speakers Bill Gates has now taken on world poverty. Isnt he a computer guy --money speaks loud eh?

But why is it money money money what about stability and quality of life, why is the world obessed with leather seats and RR or Mercs, swimming pools.

Stabaility is what we need to be able to start a business without the goal post jumping all over the place, exchange rates , interest rates, etc etc.

Who says interst rates controls inflation ---Yeah I know the theory but proof!!!

If that were the case Japan would not have inflation. If I had a contract to supply say--- carpet to US and we got it all sorted out and running,-- export license, exchange rate etc --it would go belly up in a year becaue of all the messing about by Banksters and governmet shifting stuff about , ---and they plead for confidence.

Interest would change on my debt and exchange rates would change on the buyer, taxes would change and shipping laws would become differ from country to country. Yes a bit pessimistic --from experience.

Incidentaly thats what the Euoro is for -- for clean, stable business transactions across Europe,--it will work one day when they get it sorted and US will be left in the dust.

 

Nope.......

 

EH !!!!

 

Money supply is used to control inflation?

and the 'proof' :


http://www.newschool.edu/nssr/het/essays/keynes/inflation.htm

Start here or have a beer:

http://edwardmcphail.com/intromacro/lecture14/lecture14.html

 

European union: 14.5 trillion combined GDP single monetary unit

United States: 14.5 trillion GDP and single monetary unit

"left in the Dust"- what do you mean-that 17 countries in Europe may have a chance of having a combined economy which is larger than the US?
The horror....


One of my clients (a German who would have guessed) was telling me during the boom that the strength of the EU had made the US economically irrelevant.

As always it is a bit odd to hear the clamor against the big dog and see that when the curtain is raised the goal is simply to become that leader.
As least we know where you stand.

 

Money supply is used to control inflation ? I am aware of what they have been doing in the past. What is your interpretation of that. I was talking of interst rates from the bank not on a credit card.


What is your mechanical explanation of moneys supply controlling infaltion

 

Hi bntii,
All very nice in theory but it is demonstrated to NOT WORK.... sadly.... else we would not be in such deep 'do-do's' (****)... globally... with exchange rates more volatile than a drunk on straight alcohol and interest rates more insanely variable than anything I can find in comparison... -Zero to negative in USA and Greece up in the stratosphere somewhere, Australia around 4% on a 2~3% inflation rate... The 'carry-trade' significantly impacts on Australian exchange rates...

Like my economics professor explained - economics is closely related to witchcraft / hoodoo cult theory...