The global debt crisis cannot be contains by central banks because there is not enough savings anywhere in the world to cover the debt ridden nations of the world.
And saving are the only source of real wealth.
The only solution seems to be the liquidation of assets – the deflationary process of purging the markets of the over-leveraged debts of the world. The global experience with social welfare is coming to an end.
Injecting more paper money into the market, as Europe did last week, does not solve the fundamental problem with welfare economics. There needs to a drastic change in social and economic structure.
The second part of the solution is to face the recession, dismantle welfare economics and turn to fiscal conservatism.
The solution is forcing politicians around the world to acknowledge that welfare economics are a sham a paper tiger a phony system of instability.
It’s very simple; if you want to eat - you need to work, period. No more handouts, bailouts or social programs that steal money from one group of people and give it to another group of people.
The politicians that peddled this lie for decades on end are responsible for the looming global disaster. And the public needs to wake up and realize they have been sold a bag of rocks in exchange for their life’s savings.