Quote:
Originally Posted by Rod66
Isn't it interesting how the greedy have invented so many ways to make money from the same thing. So how do we make a society that doesn't need money? Do we have to get rid of the greed first?
Rod
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Indeed it is. Those with the capital demand continuous exponential growth.
What globalisation has brought us is a situation where advanced economies such as Australia, Uk and Usa have all but priced themselves out of actually producing anything other than what can be dug from the ground.
In lieu of actual production, what we have is the
illusion of wealth growth driven by exponential growth in credit.
This chart shows the story of whats really been happening since the expansion of credit in the early 80's.
Exponential credit growth has been required to give us linear gdp growth.
US consumers already have hit the wall. Without real income rises, no more credit can be taken on. The only sector where credit is now growing is government.
A major crash has to happen to purge the system. No it hasn't happened yet. The longer we have to wait for it, the worse its going to be.
Chart sourced from http://market-ticker.denninger.net/