It was the best of times, it was the worst of times
Does our current economic and political situation bear comparison to the 'Stagflation' of the 1970's or to the French Revolution? by Jahfre Fire Eater
(libertarian)
Saturday, March 1, 2008
I read about the workings of empire on a daily basis. I follow dozens of political and economic analysts across a broad spectrum of perspectives. Few of them base their analysis on my personal perspective that It's All Related. So I often reply to the authors in an attempt to put their analysis into the larger picture represented by my perspective. This morning I read one of my favorite free newsletters, John Mauldin's Thoughts From The Frontline Weekly Newsletter. This article is a recycled version of my comment on Mr. Mauldin's recent article, Stagflation and the Fed.
Enjoy!
...Regarding "Stagflation and the Fed" I always appreciate your analysis and opinions. I have a quite different perspective which doesn't necessarily mean we would disagree...it just means that reality, whatever really happens, affects you and I differently. I'm not going to argue with opinions or with reality both are null arguments. I figure we all get what is coming whether we deserve it or not. My goal is to not deserve the bad times even if I can't avoid them.
Anyway, to my point. I would say your opinions are right for you and the people who pay for your services and the whole group of people in your circles. My only contact with your world is through free newsletters. When things look bad on paper for you and your peers, things really are bad for me and mine and I'm in pretty good shape, relatively speaking.
Most of my peers have less income, painful levels of debt, big new mortgages, no savings but are heavily invested in the stock market, no gold or silver and two or more kids. I walk on a balance beam of financial safety. Most people I associate with are on a tight rope.
Even in good times people in this situation fall off due to unanticipated life events. They are just statistics to everyone who doesn't know them. During the period where the current situation works itself out on your balance sheets, the magnitude of these statistics will increase dramatically.
One thing that is blatantly missing from your analysis is the long-term effects from this culling of the middle class. The inevitable clamor from the masses for more socialism, more safety nets, more entitlements, more punishment of you and your peers for your financial success will affect even your future.
You have a 'go with the flow' attitude that I admire because I'm inclined to prepare for what I see coming rather than panic over it. Can't we do even better than that though? I mean, isn't there some way that individuals in the lower and middle classes can be helped by changing their thinking about the situation? This is the challenge I face as a tireless defender of individual liberty against the never ending assault by bureaucratic, autocratic and mass panic forces. The problem for you and your peers in this current turn of the wheel is that while you are comfortably waiting for your balance sheets to reflect things working themselves out, the largest mass of people ever trained to demand compensation for their victim hood will be hacking at the foundations of your world view.
If I were you I wouldn't be making comparisons to the inflationary recession of the 1970's but rather to the French Revolution. Don't say I didn't warn you. I'm out in the public marketplace of ideas constantly promoting my conservative values in the community and particularly in local government. I hear how people are feeling and cringe at how they are thinking.
I don't think they will come for you with torches and pitchforks but with judges, lawyers and legislators. Perhaps the military? Which side will the US military come down on when the revolutions comes? I know the French aristocracy was taken by surprise. I wonder if the American aristocracy will fare any better? This is SO exciting! What a great time to be alive.
I am becoming increasingly afraid of my fellow Americans but I don't panic, I prepare. I think the worst mistake any of us can make today is to plan for a future that is similar to yesterday. We live in interesting times.
Regards, Jahfre Fire Eater
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Posted By: Wendall Dennis
Date: 2008-03-01 18:53:09
Jehfre I didn't like your article: I Loved It! I agree with your assessment that we won't be coming for the politicians with pitchforks, a gun is far more accessable.  What I see coming, I won't post on this site.  Great Work - Wendall Dennis
