Is It 1929 All Over Again?
I have been following the stock market with wary anticipation of a major correction. The historical mid-term correction has yet to occur, and there are several indicators of general economic problems.
There is a great deal of debate about the genesis of the stock market crash of 1929. One theory says that the primary driver was the Smoot-Hawley Tariff Act. The link has a good overview and rationale, which seems completely plausible to me. So imagine my reaction when I read in USNews that Congress is planning on passing major tariffs on most Chinese products! Note to esteemed legislators: Who do you think is holding all of those Treasury bonds? And what do you think they will do with them if you start a trade war?
Sheesh.
posted by Mike at 1:47 PM
6 Comments:
Heh. Right in line with the neocon (and I mean that in definitive not insulting terms) vision of China as the "next great threat." Eventually (hopefully) both the pentagon and the state department will move beyond the myopic vision of the next cold war.
Oh Great Soob,
The article indicates that BOTH parties are gleeful participants in this madness.
What was that line from Zoolander? "I feel like I'm taking crazy pills!"
"What is this? A center for ants?!"
Great flick.
I stand corrected. And that, Mighty and Merciful Mike, is not a good thing. Vertical thinking in todays age is a dangerous thing. When this cognitive process envelopes both the otherwise painfully divided camps of ideologues who run the mill, as it were, troubled times are ahead.
Soob,
THAT is what makes this situation so ominous. When everybody in Washington gleefully charges down a path of such obvious self-destruction, all we can do is hunker down and plan to rebuild from the remnants.
Mike
I really like Whittles stuff. Now that he's back to regular posting it looks like I've got some catching up to do.
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