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View Diary: Austerity cost U.S. up to 2.2 million jobs in weakest recovery since WWII (64 comments)

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  •  It truly is a b/s recession as opposed to an (1+ / 0-)
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    satrap

    inventory workoff as in the past.

    As Warren Buffett says " Only when the tide goes out do you discover who's been swimming naked" and the tide is out more than ever.

    Anyone upside down in their balance sheet has been decimated.

    I disagree about the Fed though.  They are the last resort in lending.

    "The way to see by faith is to shut the eye of reason." - Thomas Paine

    by shrike on Sat May 04, 2013 at 07:25:04 PM PDT

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    •  fed (0+ / 0-)

      I would argue that what the fed is doing is very ineffective at helping the real economy, though it is doing wonders for the 1%.

      Here is an off the wall alternative to what the fed is doing (buying mortgage debt and gov't debt) ... lend to anyone with credit card debt (probably at about 30% interest) or student debt at 3% interest - with the stipulation that 1/2 of the interest savings had to be sued to pay down principal .. while the rest could be spent if desired. This would be a fast way to reduce private debt, and may provide some direct stimulus too. It may not sound fair (rewarding the spendthrifts) but it is more fair than bailing out the banks that caused the mess in the first place.

      There's room at the top they're telling you still But first you must learn how to smile as you kill If you want to be like the folks on the hill

      by taonow on Sat May 04, 2013 at 07:47:09 PM PDT

      [ Parent ]

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