Economic collapse general

It's becoming apparent that we're on the verge of a catastrophic economic collapse. Between the risk of European bank failures, the Chinese credit crisis, and bad indicators pouring out of the US economy, this will be a global phenomenon. I've extensively researched this topic and I'm willing to explain what's going on for anybody who's been wondering.

Other urls found in this thread:

youtube.com/watch?v=UBXjlNNNFus
economist.com/news/leaders/21579456-if-europes-economies-are-recover-germany-must-start-lead-reluctant-hegemon
scholar.princeton.edu/sites/default/files/mgilens/files/gilens_and_page_2014_-testing_theories_of_american_politics.doc.pdf
eml.berkeley.edu//~saez/saez-UStopincomes-2012.pdf
scholar.princeton.edu
eml.berkeley.edu
twitter.com/SFWRedditImages

I am;
Would love to hear your thoughts on whether this collapse will be inflationary or deflationary.

As i said in the other thread, i have a lot of wealth, and i'm struggling to plan for both inflation/deflation.

Which do you think is more likely, and why?

What would be the immediate effects for the average person? And also, how would the US government handle it?

Basically to summarize what's happening:

The recovery over the last 6 years has been build not on organix economic growth, but by cheap credit both on the central banking side and from consumers via cheap retail loans and lines of credit. Right now, securitized consumer debt is 40% higher than it was in 2008, with many financial institutions carrying high levels of exposure to instruments based on subprime car and home loans.

The 4.5 trillion dollars pumped into the economy during QE 1-4 is claimed to have caused almost no inflation, which is an outright lie borne out by the fact that the consumer price index is calculated in a way that doesn't properly measure the consumer's exposure to inflation( can explain this more). This is important because for exery gdp calculation, there is always term for inflation, since 10% growth with 10% inflation is really GDP growth of 0%. This means that, by using an inaccurate measure of inflation, the Fed was able to inflate GDP numbers for the last several years.

What are your indicators, and how long a time horizon have they been trending as expected for you to support your theory?

This "collapse" is really just the same deflationary correction that should've taken place numerous times in past 40 years but hasn't, largely due to the economic policy of "kicking the can down the road".

Don't listen to shills saying to buy gold or this or that as a hedge against hyperinflation, this collapse will be deflationary. Hold cash and/or short term bonds, learn to grow some of your own food and focus on saving money and building community.

This is me;
I used to agree with you, which is why i have so much of my money in cash.

I'm just completely stuck now, i have no idea if it will be inflationary or deflationary. Smart people have strong arguments for both sides.

Would love to hear more of your thoughts.

Why wouldn't the FED just keep printing cash and create hyperinflation? It would essentially wipe all their debt.

Hey, I don't disagree with anything you are saying here, but literally people have been saying this shit since 1971 when Nixon took us off Brenton-Woods.

I jumped onto this bandwagon in 2009 and everyone in this camp has been predicting a major collapse every year since.

I got tired of waiting for it a couple of years ago and just started expanding my business as the economy as gotten stronger. At this point, I'm protected either way.

Well there's a concept being talkked about right now called inflationary escape. This is a means for the government to essentially escape its debts in the event that the bond markets truly collapse or just in the event that additional debt becomes prohibitively expensive. It entails simply printing money at a rate where the inflation counteracts the rate of interest on liabilities. This isn't a permanent solution though, for obvious reasons, since inflation can never go to infinity.

The natural tendency of this type of slowdown is to produce a deflationary environment, but with the full attention of the central banks devoted to preventing that outcome, I suspect that we will end up with inflation as I outlined above. That assumes some degree of capability on the part of central banks, which may not be accurate in the state they're in right now.

Recessions/collapses happen about every ~8 years on average, for the last century.

It's just a matter of time, and it's looking like this one will be the worst one yet. This is because there's no more tricks that the FED can pull to help. Interest rates are already at 0%, you cant make them lower.

Why no real estate? Rents didn't really go down through the last recession.

I live in Australia. Huge fucking housing bubble.

It's not a new concept. We've been doing it since WWII.

World demand is too high for the dollar for hyperinflation. That's just my opinion.

Well for one, industrial capacity utilization has been in sharp decline for almost 14 mos now. In the past 96 years of data, every time it happened for more than 3 mos, there was a recession. In addition we can simply look at the fact that since the 1970's real wages have fallen between 8 and 20% depending who you ask, yet consumer spending grows almost every quarter at a rate far greater than that of population growth. This is proof of the consumption gap that cheap credit has created, where there exists vastly more debt than real wealth in the world today.

I see what you're saying. So what's the strategy as an informed investor with relatively little exposure to this risk? What should we do? Hold cash and wait for the credit crunch to buy cheap assets?

One of you thinks inflation, the other deflation.

Would like to hear some discussion and reasoning behind your thoughts.

well, you can actually make them lower. The European central bank and the bank of japan are alrready at negative interest rate. The fed is holding out, but I think it's almost inevitable that we'll see it in the next few years

You should be completely out of the long side of the market. I'm currently holding only index short etfs, which are a great tool for trying to take advantage of a crisis which you can't time since they don't expire unlike puts and charge low fees

You can only buy real estate in Austrailia?

You can see both at the same time. It's been explained to me that we could see staggering inflation for things like food, gas, and other items that are absolutely necessary for life. While luxury items and things people can go without, drop drastically in price.
Real estate drops as people can no longer afford it and more often create multi-generational housing, keeping demand down.

But don't listen to me I'm drunk.

Give some inverse etf recommendations? UVXY? YANG? DRN? What's your favorite?

I don't have the time to fly to other countries to purchase property.

well, my general strategy is to have half of my capital in 1x index positions, like sh and psq and rmw, since they're cheap to hold long term and there's no risk of beta slippage. I also have TMW and SPXS on my list, which are 3x leveraged and I'll take those positions once things start moving.

should mention that once things start moving I'll also begin taking short positions via options and direct shorts in specific companies, it's not gonna be all etfs

ITT: zerohedge.com

Could you tell me a little about these?

Are they basically ETFs that are shorts of other funds?

Do you buy into them in the same way as an ETF?

You homos say the sky is falling every time the s&p sneezes

these are etf's that have 1x short exposure to various indices. sh is the SP500, psq is nasdaq-100, and rmw is the russel 2000. TMW and SPXS are 3x short exposure to the russel and the SP. Yeah, they're exchange traded if that's what you're asking.

>Economic collapse
As deep as the next recession might get, I highly doubt we're getting a full-on collapse of a systematic nature as in 2008. Those are once in a generation events.

The euro might break up and China will almost certainly experience a sharp, Japan-style deceleration of growth, but that would not be fundamentally different from the situation in the late 80s / early 90s with 1) S&L crisis, 2) 1987 crash, 3) Japan bubble economy crash, 2) Black Wednesday GBP exit from the ERM, etc. It wasn't a realignment like the 1971-1973 Bretton Woods + oil shock + stock market crash was.

Or take the 1937 recession / WWII era. It was bad, but it wasn't a collapse on the order of 1929.

This upcoming crash is technically the same one as the 2008 crash.

Nothing was fixed. They just printed a fuckton of money to band-aid fix the problems, and that's about to come to an end.

This crash is the once in a generation event. 2008 was nothing.

Half capital in short etfs, half in cash to buy up positions once the crash hits? Is that a fair assessment?

What do you mean? Theres no bubble like the 00s housing market. There has to be a catalyst to create enough defaults to crash a bank

I think it's likely that it will be at least as severe of a crisis as 2008, with the addition of high inflation. The thing that will make it much worse is there will be no QE next time, the fed is up against the wall with a 4.5 trillion dollar balance sheet.

There is a QE bubble.

>Nothing was fixed

But the subprime mortgage crisis that sparked the 2008 panic is no longer possible.

Mortgages were actually a relatively small portion of GDP, but the derivatives attached to them multiplied the effects to threaten the banking system itself. In addition, the household debt to GDP has drawn back significantly, and the savings rate is nowhere near the negative region as it was in 2006. In fact, part of the slowness of the recovery is changes in consumer behavior toward greater savings over consumption, which is overall more sustainable.

Housing will take a bit equity wise once bombers start dying in larger numbers. Most are still below the average life expectancy in the first world, but wait two to three years and they'll start keeling over and their basis in their homes will be liquidated en masse by millennials to pay off consumer debt and student loans.

So you're saying the catalyst will be a lack of solutions to a problem that doesnt exist yet?

None of you guys are making any sense.

Overvaluations do not cause economic crashes. Bank runs cause economic crashes. What is going to cause the bank run in your scenario?

>high inflation

The developed world is in a Japan-style deflationary environment that is structural in nature because of a savings glut and relative lack of consumption. QE does not directly inject cash into the economy.

>they'll start keeling over

What. They are literally entering their retirement years right now which is part of the reason for inflated asset prices and deflation pressures. Boomer dollars are desperate for retirement yield. You'll have to wait a couple decades before boomers start really dying off.

No, the catalyst will in my opinion probably be the collapse of the chinese economy. They are on the edge of a huge credit default triggered event similar to the US in 2008, and the government is only accelerating the credit growth there to record levels. When this collapses, it will have repercussions all over the world.

Since there are so many economic traps set all over the world, we could easily see a series of events, for example a chinese crisis leading to collapse in real estate markets in Austalia, canada and the US leading to a consumer debt default event such as the US saw in 2008.

>for example a chinese crisis leading to collapse in real estate markets in Austalia
YES PLEASE. It sure would be nice to be able to afford a house.

The Chinese bubble is very similar to Japan's, but the Japanese asset crash didn't lead to a systematic collapse. The Communist Party will avoid an outright collapse through political means. Funnily enough, the best way they can do so is to transfer wealth from entrenched Party interests in the state sector to households, so they are their own worst enemy.

As for real estate collapse, this is one aspect that a Chinese crash may unfortunately be different from a Japanese one. While foreign real estate values declined in the early 90s as wealthy Japanese repatriated their money to deal with the situation in Japan, wealthy Chinese people would be motivated to keep their money out of China and accelerate their escape from the country once the Chinese debt bubble pops. You would have to hope that the Communist Party is successful at escalating their crackdown on capital flight.

>consumer debt default event in the U.S.
Where? Why? If anything, we'd just get cheaper iPhones. Adjusted Chinese growth numbers are already priced into commodity markets.

I'm still waiting for you to explain this debt default event. There is no debt bubble to pop

I need someone who understands this better than me to explain.

The fed appears to be raising interest rates very slowly now. Can an economic collapse be prevented if the fed continues to very slowly raise rates? Explain why or why not.

youtube.com/watch?v=UBXjlNNNFus

Fed has almost nothing to do with economic collapses. They have some tools to help stimulate things, but theyre essentially out of bullets right now. So they reload (raise rates.)

Autists like OP think that because the Fed is out of bullets the economy is going to collapse. Its like saying that because your mechanic is out of town your car is going to break down.

Look at 2008 and tell me whether the Fed prevented a collapse.

-Total Outstanding U.S. Consumer Debt: $3.4 trillion.
-Total revolving debt: $929 billion.
-38.1% of all households carry some sort of credit card debt.
-Households with the lowest net worth (zero or negative) hold an average of $10,308 in credit card debt.

What do you think happens when there's an economic slowdown (now)? 140 million people all the sudden can't pay the bills, they default on their mortgages/credit cards/etc and the securities based on those credit products tank as a result of non-payment. It would be similar to what happened in 2008, except securitized consumer debt is 40% higher now than it was in 2008.

Peter Schiff, pls leave.

We are nowhere near '09 levels of leverage. Consumer credit is tiny compared to mortgage debt

My nigga. Please go on about the misleading calculation about the consumer price index. I need as much info about it as possible.

The only number that is bad is the last one and I would like a source on it at that.

So why do you think a slowdown would cause any of that? We are talking about a 1 or 2 percent change in unemployment. That is not going to trigger a massive debt default

I'm Australian and I'm fucking waitng for this to bust!

An interest rate will inevatbly lead to monly supply contraction. There is a glut of money supply in any asset, that provides a tiny yield ""without risk"", like stocks or housing credit etc. Now tell me what will happen with all these assets, when money suply contracts?

Oh god this kind of stupidity....

THE MARKET IS BACKED UP BY THE MILITARY AND THE POLICE

IT CANNOT FAIL UNTIL THOSE FAIL

Now here's a bubble.

>THE MARKET CANNOT FAIL

if the market "fails" it will just be compensated for with legislation and military action. No industry will stop. Nothing vital will change. Everything will be FORCED to keep going as usual.

This.

You fags just don't get it, do you? The collapse is out of question, any crisis will be solved with government intervention, like in 2008-9.

That said, right now there are no real signs of collapse. "Shemita" and "muh China implosion" are just /pol memes.

So should I take all my money out of the bank and hold it as straight cash?

buy canned food, bottled water.
worth 6 months
and to be sure it doesn't go to waste, start living off that canned food.
next month reassess the economic situation and may be buy 2 months worth of canned food.
if nothing has happened till halloween, finish your remaining canned food and start living life normally.

nothing apocalyptic will happen though, but having 6 (or more) month worth's canned food beats having to stand in the line for bread.

The government has no more tricks up its sleeve. It used em all up to 'fix' the 2008 crash.

Lmao. Im not a total fucking retard and live in America. We wont run out of food unlike europoors and all the other third worlders.

Oh and btw you didnt even answer if I should take my money out of the bank

>It used em all up to 'fix' the 2008 crash

In case of a possible meltdown the same methods could and would be used again to stabilize the markets. What could possibly happen anyway? Another investment bank will go under? Right now there aren't any signs of a major crisis.

>buy canned food, bottled water. worth 6 months and to be sure it doesn't go to waste, start living off that canned food.

yeah, some of the happeningfags are probably living on canned food and MRIs diet since 2009. The medical bills alone will fuck them up more than any recession. Meanwhile canned food manufacturers (as well as bunker builders and authors, who write books about "the future happening") are cashing in millions.

I agree with this. they should let market forces wipe out a few big banks along the way instead od bailing them out.
Although you know that markets can and will panic as if it is the end of the world thats for sure.

Actually a 'market correction' may start with the collapse of the EURO somehow?

This.

Whoever said to buy canned food and live on that is 100% a fat retard who is probably covered in acne and hasnt left his basement in months.

Meanwhile Im about to go boating and have a great day!!

>the same methods could and would be used again
Yes, lets just reduce the interest rates to 0% again... oh wait, they are already at 0%.

>What could possibly happen anyway?
Look at Greece for a nice example.

>Right now there aren't any signs of a major crisis.
HA HA HA HA HA HA
There are countless signs. It is happening. It's just a matter of how much longer they can lie and stall it by printing money.

There is some talk about DUETSCHE BANK may not be have enough capital to pay its debts or something like that.

If there is a collapse its a toss up between a few countries (or continents ) not just isolated to the USA . Just where it will start is the question keep your eyes and ears out for news on all sources Thats what I am trying to do.

>America imports $70 billion worth of food every year.

You're a retard if you think that there wouldn't be a shortage in event of cataclysmic economic failure.

It also exports about the same amount. Yeah, there might be banana and mango shortages. So let them eat corn.

>he thinks America (the worlds strongest army) wouldnt invade another country and take their food

Man Veeky Forums is really fucking retarded lately.

>savings glut and relative lack of consumption
Meanwhile majority of everyone finances pretty much everything and lives paycheck to paycheck

Canadian here and our housing market is in the same boat as yours. Just waiting a bit longer for this bubble to pop and I can buy me a foreclosure at a decent price

>implying russian nukes
>implying chinese nukes
>implying hungry faggots won't resort to playing nukey-nukey for some soggy bananas
>implying so many nukes we could take earth on a joyride around the galaxy

yep, Veeky Forums is stupid.

What happens when truck drivers arent working? How do you think North america operates? How do you think your grocery store gets its food?
If every truck driver stops driving, the whole country would shut down in 3 days and you'd see the effects of it in as little as 1 day

Put 30% of your assets into gold/silver

DURRRRRR go buy canned food.
Lmao nah m8 i eat sushi almost daily. Kill yaself!

>he thinks hes not a retard

>Yes, lets just reduce the interest rates to 0% again...

Europe has negative interest rates in several countries. Why is this a problem again? Also this won't be necessary, because there will be no major crisis.

>Look at Greece for a nice example.
US of A is not Greece wtf are you talking about? How can you even compare such absolutely incomparable economies.

>There are countless signs
Yet you couldn't name any.

>It is happening.

Dr. Paul pls

>It's just a matter of how much longer they can lie and stall it by printing money

Nothing wrong with printing money.
You must be one of these panicmongers, who cry wolf every time Dow drops a couple of hundred points.

Deutsche will receive assistance from the government, i don't see any issue here. Germans did it before on 2009-11, they will do it again.

>What happens when truck drivers arent working?

Why wouldn't they go to work?

>If every truck driver stops driving, the whole country would shut down in 3 days and you'd see the effects of it in as little as 1 day

Bullshit, the government will issue a state of emergency and either force drivers to do their job or replace them with FEMA/NatGuard.

Take off your tinfoil hat, OP. Nothing will happen, because people are already expecting it to happen and it is weighed in the current market price. Conspiracy fags spend good 10 years waiting for "DOLLAR TO CRASH" when it only gets stronger and they get poorer.

>don't worry guys, the government will save us

It wont. The fed's interest rates are already ridiculously low at 0.25%, lowering it to zero won't make much of a difference.

OP has explained the signs of a collapse in this thread. Many people also believe that the fed's response to the 2008 collapse has created huge bubbles in the bond and stock market, so the fed can't QE their way out of this collapse either if it really happens.

The only way for Europe to be saved is for Germany to embrace its leader position and start being the hegemon of Europe. Everything else is set for failure.
So if you wanna be optimistic and go "all or nothing" maybe you should invest in germany.
What are the most profitable german companies?

economist.com/news/leaders/21579456-if-europes-economies-are-recover-germany-must-start-lead-reluctant-hegemon

Are you prepared to help establish a postcapitalist system once the upcoming global economic collapse inevitably ends capitalism?

Nobody is going to be going to work if the dollars you are paid are worth nothing

>It wont

It will. Also they will be saving themselves too. They don't have any other option. Otherwise they would break the oath they've took, to serve the American people.

>OP has explained the signs of a collapse in this thread

Too bad that all of them were debunked. It's just another "it's happening!!!!1" thread.

>Many people also believe that the fed's response to the 2008 collapse has created huge bubbles in the bond and stock market

many people also believe that the Earth was created 6000 years ago, so what?
There's no bubble, American economy has recovered from the recession, millions of jobs have been created by Obama administration, fracking removed the dependency of foreign oil.
It's a healthy recovery and growth. There are no real signs of any serious crisis.

Kraut detected.
Germany cannot be allowed to dominate in Europe that's not what the Allied fought for in WW2. Thankfully the US, France and the UK will never allow that.

>So if you wanna be optimistic and go "all or nothing" maybe you should invest in germany.

Germany is NOTHING without the US support. You can't even build good cars anymore. GTFO

>Nobody is going to be going to work if the dollars you are paid are worth nothing

US Dollar is THE WORLD RESERVE CURRENCY, so this situation is impossible. Every other currency will be destroyed before something happens with the USD, and in that case EVERYONE will want to buy USD, to safeguard their savings/assets from devaluation.

>US Dollar is THE WORLD RESERVE CURRENCY, so this situation is impossible. Every other currency will be destroyed before something happens with the USD

Ok bud world reserve currencies dont remain in 1 country forever, Other countries are already starting to stop use of the US dollar.

But the QE mo ey has been kept out of circulaion by the fed paying banks higher than interest to keep it locked up

What happens when we start taising interest rates?

The banks let the money out and boom - inflation

Plus our debt payments go up - we paid over 200 billion last yeat at current interest rates , where are they going to find the money with 3% interest and these bs subpar gdp numbers?

Also 1/3rd of us home sales right now are to investors - rent looks low or stable on that chart but its just as much seperated from wage growth as economic productivity since the 70's

Just fyi - if the shit really hits the fan your neighbors with guns will just take your canned food dumbass

>the same methods could and would be used again to stabilize the markets.

You have no idea what your talking about. Where do we go from here? Negative interest rates?

The QE money that hasnt yet enterd the normal money supply IS one of the problems - we'll just let hyperinflation happen to pay off the debt and nuke the economy back to health?

Great forethought

>neighbors with guns
>implying i don't have guns.

Politicians break their oath every single day because they DON'T "serve the American people". A simple analysis of how capitalism works (minus the propaganda), or even a quick perusal of the studies on the effect of popular opinion vs. lobbyist-funding wealthy donors, would prove as much. For example:

scholar.princeton.edu/sites/default/files/mgilens/files/gilens_and_page_2014_-testing_theories_of_american_politics.doc.pdf

That analysis did not include years before the Citizens United v. FEC case, so it's safe to conclude that the "negligible" impact to a "none whatsoever".

>There's no bubble, American economy has recovered from the recession, millions of jobs have been created by Obama administration, fracking removed the dependency of foreign oil.

You have to be joking. All signs point to a growing bubble, and there has been no recovery for the lower 95–99% of the American populace:

eml.berkeley.edu//~saez/saez-UStopincomes-2012.pdf

The "recovery" has only affected the top 1%, i.e. the richest capitalist pigs who run this game you think is working.

Millions of jobs have not been "created", only replaced. Production is moving out of the United States because it is a "mature economy", whereas the service sector is growing to accommodate for the lack of production and growing demand for services to manage foreign-produced goods (which is what happens when an economy is "mature"). Moreover, that has nothing to do with Obama, who is merely the executive leader with minimal control over affecting the economy. Any and all economic "growth" is purely a result of increases in investments and the redevelopment of yet another bubble which will inevitably pop and cause yet another recession per the "business cycle" we tolerate in this unstable system called capitalism.

>>CONTINUED

As for hydraulic fracturing, it is what caused the collapse in the oil price. The oil tycoons in the fossil fuel industry thought it would be a good idea invest in fracking in the hopes that it would generate a quick return from the oil boom. Their decision would make an Economics 101 student cringe, however, because the brilliant capitalists forgot that increasing supply for a good (even a necessity good like oil) while demand remains the same causes the price to drop. Well, they brought up millions of barrels of oil and saturated the oil market, which caused the oil price to drop to dangerous lows. Oh and they lost all their investment, and in the process cost thousands of working class jobs throughout the Midwest, since fracking companies had to lay off workers due to poor profits (which were due to them fucking up the oil market).

Oh and to top it all off, we're still dependent on fossil fuels, which literally risks global extinction if we continue using them, so breaking out dependency on foreign oil is worth exactly jack shit. A more prudent strategy of breaking that foreign dependency would be to invest heavily in green energy and transition for a clean energy economy. Oh wait, oil companies fund among the largest amount of lobbyists (and buy off some of the most politicians) that any such Green New Deal would be dead on arrival, since it would cut them out of the single largest buyer of oil on this smoldering planet.

>It's a healthy recovery and growth. There are no real signs of any serious crisis.
You're delusional and completely unaware of what's going on. I recommend you educate yourself and stop talking about these topics until you do. The last thing we need in this global crisis is someone spreading a siren song of ignorance.

Making more oil would be good if
>oil prices went down so gas prices went down
>I guess now I dont have to care about fuel economy etc
This doesn't happen though.

*AFTER the Citizens United v. FEC case

The causal correlation between gas prices and oil prices is weak to nonexistent because only costs are passed onto consumers ("socialized"), not profits. If oil prices go down, gas prices won't change much unless they must to compete because the increase in profits will be kept for the company, specifically its chief officers and shareholders. If oil prices go up will gas prices rise, and they can do so beyond what consumers might approve because oil and gas are necessity goods and the rise in oil prices can be used as an excuse. Given the drop in oil prices, it's possible that oil manufacturers will spike the gas prices by using the oil price drop as justification, thereby erasing decades of competitive pricing pushing down costs.

Thank you for posting these. The owners might have lost a few dozen mils, but at the end of the day their asses are still in a warm place. The people who trained for those jobs and got laid off lost pretty much everything.

Anytime

10/10 bait

What bait? I'm being completely serious I'm an anarcho-communist with veganarchist tendencies. What are you? A fascist or a classcuck?

>posting commie propaganda pictures
>denying the facts about the US economy

Ok, you're an obvious commie shill and since your comments are reeking of pure antiamericanism and anticapitalism you could be a Kremlin shill as well. That's what they do - trying to smear the US government on the internet.

>Politicians break their oath every single day because they DON'T "serve the American people".
yeah, maybe in Russia/USSR, but not in the US. American politicians cannot break the oath or they will lose their job in a heartbeat. The US is a representative democracy and if a congressman fails on his job he will not be reelected for another term.

>scholar.princeton.edu
>eml.berkeley.edu

the academia is full of cultural marxist pushing their anticapitalist commie propaganda. It's old news. Look up Yuri Bezmenov on YT, because looks like you are one of their victims.

>You have to be joking. All signs point to a growing bubble, and there has been no recovery for the lower 95–99% of the American populace:

No, YOU have to be joking. Are you denying that the situation is better than in 2009? Yes of no? Are the unemployment figures down? Yes or no? How can you deny the fact that the government has revived the economy? Consumer confidence is up, unemployment is down. The net worth of US households and non-profit organisations is back at pre-2008 levels, as well as GDP. It is a clear sign of recovery. MEanwhile you still haven't presented any sign of "the major crisis".

>Any and all economic "growth" is purely a result of increases in investments and the redevelopment of yet another bubble

Revamped American auto industry, which is beating German competition is a bubble? SpaceX is a bubble? Tesla is a bubble? Fracking is a bubble? Sure...

>we tolerate in this unstable system called capitalism

Confirmed commie.