I have often argued that the current economic, fiscal, and monetary policy in the US will create conditions that will enable the Beast to gain dominion over America. Drastic change is needed move America towards a different destiny.
The start of the ‘sequester’ (previously referred to as the ‘fiscal cliff’, which represents the start of forced federal budget cuts) is welcomed, as it hopefully represents a start to changing the fiscal policies of the federal government that has created a monstrous outstanding debt.
Stan Druckenmiller, a famous hedge fund manager, gave an interview on Bloomberg News ((http://www.bloomberg.com/news/2013-03-01/druckenmiller-sees-storm-worse-than-08-as-seniors-bankrupt-kids.html) that is worth watching. Among the different topics touched upon during the interview, he raised many points that have been also discussed on this website. He too is calling for action to address the growing unfunded liabilities of the federal government. While the current outstanding government debt has swelled to $16 trillion, the unfunded contingent liabilities stemming from Social Security and Medicare represent $211 trillion. As the baby boomer generation is now becoming the old folks boomer generation, the government outlays for Social Security and Medicare will sky rocket. These outlays will further cause the growth in federal debt to accelerate at an even faster pace.
In the interview, Druckenmiller also talks about the massive monetary stimulus of Greenspan and how it morphed into the mega-monster stimulus of Bernanke. He puts forth similar arguments made by this website that Bernanke is creating another financial bubble and the longer the Federal Reserve fails to allow a natural recession to occur to wring out the excesses in the economy, the greater and more violent will be the fall when it finally occurs. We have argued that perhaps the final bursting of the global debt bubble may be the catalyst for the economic, financial, and social chaos that will bring about the rise of the Beast.
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