1) Trump recognies the terrifying fact about our economy few will acknowledge or even accept, and which I guarantee more than a few of you will try to shout me down when I say.
2) Our economy, for the most part, runs on wishful thinking, happy thoughts, and fucking rainbows.
3) Ultimately, the economy is driven by the mass expenditure of money. As private expenditure of money tends to be more efficient than public/government expenditure the private expenditure of money going where individuals and private companies prefer spurs more growth than public
4) Therefor, when people think positively, when people assume the economy’s going to continue to grow, when they’re operating on the assumption that they can afford to spend money today because they’ll still have a job tomorrow, the economy grows.
5) That’s what makes the fake news about a recession so goddamn dangerous.
See, it works one direction, AND the other.
If enough people believe and behave as if a recession is coming, they stop spending money the same way, which causes a recession.
See, it works one direction, AND the other.
If enough people believe and behave as if a recession is coming, they stop spending money the same way, which causes a recession.
6) Oil prices, commodity shocks, global downturns, these can all be weathered if enough think, “Oh, but everything’s fine here in the US, so no worries”
But the US can be in its best economic conditions of all time and still hit a recession if enough think doom is on the horizon
But the US can be in its best economic conditions of all time and still hit a recession if enough think doom is on the horizon
7) The problem with mortgage-backed securities, the panic around them, did not come about because they were all jam-packed full of bad loans. Thats what you were told, repeatedly, forcefully, but that was strictly untrue.
8) The problem was a small minority of them were full of bad loans, and the rest were healthy. The problem is they were all rated as AAA investments by credit rating companies, and the mortgages in them were hisden, so no one knew which were bad and which were actually good.
9) This caused an economic panic. This is an actual term, used to describe mass panic and anxiety which causes behaviors that typically make the initial problems WORSE.
10) There could have been a way to determine which of the mortgage backed securities were still good, forcing the credit rating agencies to reevaluate the risks so the MBS’s could be judged accurately, and everyone just adjusting their business practices to accomodate.
11) INSTEAD everyone threw a shit fit, they believed the fake news which claimed it was all on fire, and blindly threw it all out, then went shocked pikachu when the economy went to shit and massive companies who’d used MBS’s to back short term payroll loans couldnt pay employees
12) Such was the perfect clusterfuck of economic shitstorms and the induced panic that I can’t help but think the fake news intentionally spurred on the crisis for the sake of spiting Bush. It wouldn’t have even been that hard. Just keep promoting guests and news preaching doom.
13) Convince enough people things are going to shit with wall to wall 24/7 coverage of raw economic chaos, skip over the bright points with fearmongering, and suddenly people hoard money rather than spend it.
Obama could have cheerlead us out of it, but he too preached doom.
Obama could have cheerlead us out of it, but he too preached doom.
14) And that’s the terrifying truth of the matter. We are one societal gaslighting away from a recession, or even depression, and have been subject to one in the past decade.
Chew on THAT.
/end
Chew on THAT.
/end
