On This Date In Halos Heaven History

During the discussion of Torii’s signing in 2007, Scareduck correctly predicted the approaching economic depression with alarming clarity:

“Fact 8” is just speculation. If I were a betting man — in a sense, we all are, given that there’s going to be money changing hands on these matters — I would bet this way:

Bush II needs to pay for his endless war, and the easiest way to do that is to screw people who can’t vote. Who can they tax who doesn’t vote? Bond holders. How can they tax them? By inflating the dollar so the bonds become easier to pay off. Who owns a mess of Treasuries? The Chinese and oil states. Can they vote? Only with their… dollars. Dumping their dollars en masse is a possibility, but if they do that all at once they will mainly be screwing themselves. Thus the game of chicken between the very politically driven Fed (which keeps cutting interest rates despite obvious and large signs of inflation) and those entities holding Treasuries.

Oil production is at or near an all-time peak. There was one scary-ass article in the Wall Street Journal ($) earlier in the week that had oil execs admitting we’re at or near the end of our ability to increase oil production, meaning it’s all downhill from here, and you can forget about gas prices coming down, like, ever. Debt — especially flimsy subprime and alt-A mortgages — incurred while people weren’t thinking about this will become, uh, very difficult to collect. Look for a Great Depression-sized recession near you, coming soon!

My guess is that by the end of this deal, the U.S. economy will look mighty different. MLB budgets will, too.

Hoping Ervin Santana turns it around in Salt Lake. Go, Ervin!
by scareduck on Nov 22, 2007 3:21 AM PST reply actions