Ep. 503 – Junk Debt, Junk Economics

Trillions of dollars in negative yielding debt, zombie corporations, modern monetary theory (MMT), universal basic income (UBI), out of control central banks, and a seemingly never-ending government spending spree. These are just some of the items that can be classified as junk economics. The economy is suffering and is need of a major correction. This correction will undoubtedly be painful and widespread, yet current policies have led us to this current environment that is also painful and widespread. Yet, our policymakers believe it’s right and prudent to continue with the very same policies that led us to this ruin and to do even more of it! What is needed is free-market capitalism. Markets need to correct. This means bankruptcies, restructurings, insolvencies, liquidations, and the cleansing of malinvestments. When governments and central banks intervene and interfere with the proper functioning of a market economy, they can only serve to make the problem(s) worse. They end up picking winners and losers; they prop up businesses that otherwise would be out of business, such as our zombies corporations; and all of this goes to hurt those well-functioning businesses, as they would have picked up the market share, where others have failed. In essence, it’s all about maintaining the status quo and prioritizing the short-term at the expense of the long-term. Problem-being is that it’s just a matter of time before the long-term catches up with us. We are nearing this moment. Stay diversified, stay vigilant, and stay with The Kapital News. #Economy #Debt #Bailouts #Revolution #USA #Liberty #EndTheFed #BananaRepublic #Inflation #Gold #Silver