An Economic Judgment Day

June 21, 2022

An Economic

Judgment Day

This section of this website was built when the pandemic started ushering the world into a Global Dark Night. The rug was pulled out from under the US and the stock market was falling dramatically. Then after the Feds rescued it with their interventions, there was talk for months of another stock market crash that would be the big one that was long overdue. But instead the markets took off and the news stopped talking about a crash. Until now when inflation has hit us hard and the Feds are raising the interest rate to stop it. But after two years of unprecedented spending and manipulating the markets which created a huge boom in the economy, very soon they may be looking at an economic Judgment Day, a reckoning of their misdeeds, on a level they never imagined happening.

It was mentioned in the previous journal that the Russian/Ukraine is the most evolved war of history — evolved being defined as the most complex and detailed. Because of the sanctions being put in place in an effort to cripple Russia's economy so that it could no longer support its invasion of Ukraine, the whole world became involved in the war, not because of the aid being sent to Ukraine, but because we have an interconnected global economy. The sanctions didn't just cripple Russia's economy, they are dramatically effecting every country's economy.

To summarize the past two years final events led to the economic climax that is taking place, first it was the pandemic and along with it came anger resulting in a civil war going on in US that as it evolved led up to the attack on the Capitol, all the details of which are being told in the hearings that are taking place now. This internal war started as a fight over mask wearing, then as it became more complex we had the economic problem of people staying on the pandemic welfare and refusing to go back to work. The January 6 hearing panel is showing the importance of how this civil war that is still ongoing has to be stopped or it will result in taking the country down. At the same time these events pressured the Feds to spend an unprecedented amount of money, there's been the economic problems as a result of the Russian/Ukraine war. All of these events together are bringing us to this place where the Feds' non-sustainable economic games are reaching the end of themselves and we are going to go through the long overdue results of what they did wrong that was enabled decades ago when we went off the gold standard unleashing fake money.

When the first event hit and we went into lockdown, the Feds chose to accelerate the creation of money from their digital money tree to keep the economy going and keep everyone happy rather than letting the effect of the pandemic on the economy unfold naturally, which would have been extremely bad but not devastating. To everyone's surprise, their interference didn't just stabilize the economy, it sent it into an unprecedented boom, causing the stock market to soar up 10,000 points in one year. But the downside of the irresponsible, greedy, politically expedient mismanagement of the economy is an inevitable unprecedented bust. Maybe not today or next week, or next month, but it will happen at the point when the Feds tools they use in the fake money game can't stop the day of reckoning anymore.

In this article Dan Sanchez, the Director of Content at the Foundation for Economic Education (FEE) and the editor-in chief of FEE.org clearly explains, using simple economics 1.0, the boom/bust cycle. He also says the unprecedented boom is over, having been postponed as far as it could, and now we will be experiencing the reckoning of our economy that has to match boom side in terms of its size which is obviously a really bad economic Judgment Day. This is when the non-sustainability of creating as much 'money' as they want and sending into the economy reaches its end and according to the laws of economics the negative results happen getting everything back into balance and sanity.

https://fee.org/articles/markets-must-have-their-day-of-reckoning/

Markets Must Have Their Day of Reckoning

The longer the Fed postpones it, the worse it will be.

"Indeed, in a sense, a reckoning' is exactly what an economic 'bust' is. And understanding why can help us understand what (and who) drives the boom/bust business cycle.

"In the Christian tradition, the 'Day of Reckoning' refers to the Last Judgment: a prophesied time when everyone’s good deeds and misdeeds in life will be accounted for, with eternal reward and punishment apportioned accordingly.

"The phrase is also a literary application of a financial term. To 'reckon' is to count, to calculate, or to estimate a quantity. And historically, a “reckoning” meant a settling of financial accounts.

"In the boom/bust business cycle, an economic 'bust' or 'recession' is a 'reckoning' in that it is a correction of the distortions of the preceding 'boom' or 'bubble': a mass recalculation of profit and loss that reconciles the markets with economic reality.

"In the American economy, the distortions of the boom/bubble are the result of the Fed creating new money and dumping it into the loan and capital markets in order to 'stimulate' the economy.

"Scary as the prospect may be, the economy is long overdue for a crash. And the more we postpone that Day of Reckoning, the worse it will be.

Link to the continue the article.

In this second article Dan Sanchez shows how the Feds are in denial over the fact that the economy has to be reconciled at some point and this is what is happening now. They have postponed having to do this for as long as they could so that America wouldn't have to go through what it has to go through and it's only made it worse. And here they are still trying to say it's not happening. They don't want it to happen. No one wants it to happen. People are going to vote a politician into office who is going to keep it from happening. But now it's looking more like we may be at the end of the line of postponing the inevitable Day of Reckoning that we have to go through because of the Feds misdeeds.

https://fee.org/articles/biden-and-powell-are-in-denial-a-recession-is-indeed-inevitable/?utm_source=ribbon

"Biden and Powell Are in Denial — A Recession Is Indeed 'Inevitable'"

"And they are the ones who made it so."

"On Wednesday, the Federal Reserve announced that it will 'raise' interest rates faster than previously planned in order to 'fight' worsening inflation.

"In a press conference, Fed Chairman Jerome Powell tried to assure investors and the public that the Fed is, 'not trying to induce a recession now. Let’s be clear about that.' As the Wall Street Journal reported, Powell 'still believes [the Federal Reserve] can cool the economy and bring down inflation while engineering a so-called soft landing in which the economy and labor market continue to grow.'

On Thursday, President Biden was similarly hopeful, telling the Associated Press that a recession is 'not inevitable.'

"That same day, investors splashed cold water on Biden and Powell’s hopes. After the Fed’s announcement, markets briefly rallied before tumbling yet again.

"Yet it’s not just traders who beg to differ with the rosy optimism emanating from the White House and the Fed, but economic reality itself. Biden and Powell are in denial. A soft landing is impossible, a recession is inevitable, and it is their own policies that made it so."

Link to the continue the article.

Is this the Last Judgment, the worst one that stops what we're doing? Are we at the end where everything mankind has done that's been non-sustainable has reached the place where it can't go on. Has our behavior crossed over the line and no one can fix what we're breaking in order to keep it going? Are we at the place where we're not going to survive without a major evolutionary shift. According to the evolutionary process, which is counter-intuitive, this would be a very good place to have finally reached. It would mean that we've have reached the end of this life of insanity and hatred and fighting.

Good article summarizing some of the complex details of where we are economically.

https://www.theatlantic.com/newsletters/archive/2022/06/uber-ride-share-prices-high-inflation/661250/

The unprecedented inflation following unprecedented creation of money that began in 2010, and became all it could be during the pandemic and then had the Ukraine war added to it, has become extremely complex and detailed and is a hidden time bomb.

Sept/'21

https://seekingalpha.com/article/4455984-inflation-update-unprecedented

https://news.yahoo.com/u-more-concerned-deflation-inflation-163100274.html

https://thehill.com/opinion/finance/581423-americas-inflation-crisis-is-even-worse-than-you-think/

July/'22

https://www.al-monitor.com/originals/2022/07/unprecedented-inflation-hammers-iran

https://www.theguardian.com/business/2022/sep/28/morrisons-profits-inflation-hits

"Morrisons has revealed its profits dived 50% this summer as it battled “unprecedented inflationary pressures” at its in-house food processing arm."

April/'22

https://www.theguardian.com/business/2022/apr/28/unprecedented-inflation-ahead-as-ukraine-crisis-adds-to-costs-says-unilever

"The consumer goods firm Unilever has said 'unprecedented cost inflation' lies ahead as Russia’s war on Ukraine has added to a surge in energy and ingredient costs, and said that shoppers will pay even more for well-known brands in the coming months."

Nov/'22

https://www.dawn.com/news/1719090

"UNPRECEDENTED INFLATION: The ongoing constant onslaught of inflationary pressure being faced by the middle and lower classes has brought many to the brink of poverty."

Previous Journal Entry (March 14, 2022)

Photo of the money tree by Emma Line

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