Among advocates for free-market activists, I’m often told that the unconverted will embrace free-markets if only we explain to them “good economics.”
— Read on mises.org/wire/why-left-isnt-convinced-your-economics-arguments
Too many on the left lack critical thinking skills and do not understand markets or wealth creation. This leads to a cognitive dissonance in regard to understanding economics. JohnBarleycorn
German Industrial Production Falls the Most Since 2009. New Orders Plummet | Wolf Street
— Read on wolfstreet.com/2019/02/07/german-industrial-production-falls-the-most-since-2009-new-orders-plummet/
Trump should reverse what the Clintons did to student loans. He should RESTORE the right to go bankrupt. This huge problem was created by the Democrats who exempted student loans from normal protection for consumers. In addition, the bankers then exploited the entire issue by getting parents to co-sign. The entire argument for eliminating the right to go bankrupt was that they had no collateral. The FRAUD here is the bankers managed to get the Democrats to hand students to them on a silver platter. Then they then pulled a fast one by demanding parents co-sign. That way, they can take their parents’ house. The scary thing is that the generation of Americans over 60 years of age is on the hook for worthless degrees, owing $86 billion in student loan debt. True, some of these people owe for degrees they themselves obtained in hope of getting a better job. They have discovered that the degrees mean nothing and their age tends to scare companies because of pensions. The bulk of these people in the 60+ group had their kids late in life and co-signed for their children of which 40% are still living at home. Interest rates are not cheap and run from 5.05% to 7% annually. Compound that out and you will nearly double the cost of a degree by interest in 10 years. A number of major companies NO LONGER require a degree. Here are just a few. BTW – neither do we. Google Ernst and Young (EY) Penguin Random House Costco Wholesale Whole Foods Hilton Publix Apple
— Read on www.armstrongeconomics.com/markets-by-sector/interest-rates/student-loans-the-economic-time-bomb/
Phenomenal Trucking Boom Ends, Trucking Bust Starts | Wolf Street
— Read on wolfstreet.com/2019/02/06/trucking-boom-turns-to-trucking-bust/
What goes up……… JohnBarleycorn
What the CEO of America’s Largest Mall REIT, Simon Property Group, Just Said about the Brick & Mortar Meltdown and How it’s Trying to Manage It
— Read on mailchi.mp/wolfstreet.com/what-the-ceo-of-americas-largest-mall-reit-simon-property-group-just-said-about-the-brick-mortar-meltdown-and-how-its-trying-to-manage-it
QUESTION: It is official. Italy is now in recession. Obviously, the Fed is looking outside its own economy. Your Economic Confidence Model is remarkable. I have been following you now for more than 10 years. It has always been correct. Why does the economic community and governments pretend you cannot forecast the economy? You have proven the economy can be accurately forecast. PV, Rome ANSWER: Yes, Italy has turned down. The Fed knew what is coming. All these pundits who claim the stock market forced the Fed to change policy have only shown their total ignorance of the true factors upon which central banks will act. I have probably met with more central banks than anyone. They all know the Economic Confidence Model. That is one of the primary questions I am asked by them – where does it stand now. They cannot publicly come out an say the economy will turn down now for fear that they will be blamed. Just look at the Russia-Trump nonsense. They want to pretend that Hillary would have been elected BUT FOR the release of the emails which showed he true colors. Our computer was forecasting she would lose BEFORE any emails were released. The trend was already set in motion – anti-career politicians. Just look around the world and you see the same trend. But it is easy to always blame someone else for your failure. Thus, central banks cannot forecast a decline because if it happens, they would be blamed just like the Russians right now for Hillary’s loss. The central banks can only forecast economic growth, not recessions. As for the academic community maintaining that the business cycle cannot be forecast, this “opinion” is self-serving. To announce that the business cycle is regular means you cannot control the economy and the entire theory of Marx and Keynes is completely wrong. They kill Kondratieff because he warned the business cycle would kill communism. The economic community would not be able to put out theories to manage the economy and they would have no importance if they admitted they cannot control the business cycle. It is just self-interest. I have been talking with central bankers for months and it has been about the decline into 2020. That is the backdrop to the Fed’s actions – not the stock market. And as for gold, it rallies because interest rates will decline when the Fed said there is less of a risk of inflation? It just seems the reasoning is never consistent.
— Read on www.armstrongeconomics.com/international-news/italy/italy-falls-into-recession/
Another headache for the Eurozone experiments. JohnBarleycorn
There is a town named HELL in Michigan. It has actually frozen over. There were more than 3,600 flight cancellations and more than 14,867 delays. This extreme cold weather coupled with the shutdown will mean that the 1st quarter numbers in the US economy will also turn down sharply. Temperatures dropped into the mid 40s here in Tampa and I went to the movies to see a feature and there were at best 8 people and nobody on the road even down here. Power companies have been asking even General Motors to suspend production due to extreme temperatures. While Hell freezes over, the GDP of the US economy will decline and that is very bad news for the rest of the world that depends on selling things to American consumers – especially cars. I suppose we failed to drive our cars enough to warm things up or it must be a new secret weapon of Russia that the Democrats can investigate and somehow link to Trump.
— Read on www.armstrongeconomics.com/world-news/climate/hell-has-actually-frozen-over/
Who Bought the Gigantic $1.5 Trillion of New US Government Debt Issued over the Past 12 Months? | Wolf Street
— Read on wolfstreet.com/2019/01/31/who-bought-the-gigantic-1-5-trillion-of-new-us-government-debt-over-the-past-12-months/
This is the issue that will eventually bring this country to its knees. This is more money than people can fathom, let alone the interest we pay on it. Politicians are still spending more money than we take in, and this will end badly.
The only way out for all of these countries with massive debt like ours will either be a default or the globalist banking cabal creating a global currency and forgiving all debt. Either way this ends badly, especially for the most vulnerable. JohnBarleycorn
F. A. Hayek’s most famous contribution to economics is probably his “knowledge problem,” which refers to the observation that knowledge in society is diffuse and free exchange allows people to benefit from knowledge they don’t personally possess.
— Read on mises.org/wire/beauty-consumer-reviews
The consumer is king in any successful business. JohnBarleycorn
If You Don’t Think QE4 & QE5 Are Coming, You’re Smoking Something – Mike Maloney – YouTube
— Read on m.youtube.com/watch
The much ignored debt monster. JB
John Barleycorn 
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