I love this line "he serfs only had to cough up a quarter of their production. We should be so lucky"

Great article. When do you think the bubble will pop?

BTW large corporations never create net employment. The Kaufman foundation found that all net new jobs since 1978 were created by new companies (not small business). The real drivers of good jobs are new companies based on new technology. That is why SOX and the weakening of our patent system are so important.

Which is why I advise anyone who plans to make a major purchase, a car, a house, renovations, etc. Do It Now! When the tower crumbles and money is worthless, at least you'll have the stuff. And you certainly won't be able to afford luxuries. It doesn't matter if the bubble pops next week or next year or next decade. Nothing will be as cheap as it is right now. But (and it's a big but) that only works if you're fairly debt free. If you aren't get there as fast as you can. If you are, be sure to reserve some cash or cash substitute. Also, if the bubble bursts so completely that nothing's left, stuff may become more valuable than money.

If BIG changed dont happen in Nov and again in 2016; then there will be hell to pay as the welfare is reduced due to lack of funds and new payments to illegals. The welfare bums all 47% of them will riot and burn as in Missouri and CA a few years back.

The low interest rates are a great incentive to accumulate debt in another way. The coming currency inflation will for all practical purposes, wipe out the debt.

Thanks for sharing. It's a sad statement of America today. And even sadder that so many of our peers go along with the "in the run we're all dead" foolishness.

Two ways I try to help my students wrap their minds around that continually ascending figure is tell them Labron James should pay off the debt than I divide his salary by the debt and they learn that he needs to make his current salary for over the next 3000 years.
Well that's not going to work so I target the top 1% and show them an article (wsj or biz week) and the best figure I can come up with is the top 16,000 families have a total wealth of 6 trillion.
We can take all the $$ from the top 1% and still would not even come close to paying the beast off.
Math is off the top of my head from a lesson I did last school year.
Have a great day!

And please allow me to add...
Next summer my Dear Wife and I have penciled in a cruise that ends in not-so jolly old england ( capital E rejected) and my plan if there is a J M Keynes statute, is to throw an egg and hit that idiots form in the head and celebrate I am alive and he dead.

I am in a big way in favor of state conventions demanding a balanced budget amendment. But something tells me....the leviathan must eat, the leviathan will find a way.

Hey let's have some fun!

Oddly enough our personal lack of debt, minuscule really (including whats left of our 15 year mortgage), will not save us from the impact of our government and our neighbors financial foolishness.

I forgot to include the excerpt. Oh well, it looks like people found the article.

The above scenario would probably fit into a picture of people sitting around in a futuristic fantasy world with embedded electronic devices. Inflation will get out of control while higher and higher taxes are required to fund ever expanding entitlements. The decline will be exacerbated by poverty, cultural decay, loss of borders and language degeneration. We can expect the US to drift into a decline until Washington D.C. is sacked

Brilliant analysis by a genuine expert. Thanks, straightlinelogic. And even your novels sound superb. I'll be ordering.

Fiscal deficits would be easier to deal with now rather than waiting until they cause a crisis. I think we'll wait until it becomes a mini-crisis to make the decisions.