Category Archive: 5.) Charles Hugh Smith

Here’s Why the Next Recession Will Spiral Into a Depression

Here's the difference between a recession and a depression: you can't get blood from a stone, or make an insolvent entity solvent with more debt. There are two basic differences between a recession and a depression: 1. Duration: a recession typically lasts between 6 and 18 months, while a depression drags on for years or even decades, often masked by official propaganda as "slow growth" or "stagnation."

Read More »

How Many Households Qualify as Middle Class?

By the standards of previous generations, the middle class has been stripmined of income, assets and purchasing power. What does it take to be middle class nowadays? Defining the middle class is a parlor game, with most of the punditry referring to income brackets as the defining factor.

Read More »

The Distortions of Doom Part 2: The Fatal Flaws of Reserve Currencies

The way forward is to replace the entire system of reserve currencies with a transparent free-for-all of all kinds of currencies. Over the years, I've endeavored to illuminate the arcane dynamics of global currencies by discussing Triffin's Paradox, which explains the conflicting dual roles of national currencies that also act as global reserve currencies, i.e. currencies that other nations use for global payments, loans and foreign exchange...

Read More »

The Global Distortions of Doom Part 1: Hyper-Indebted Zombie Corporations

The defaults and currency crises in the periphery will then move into the core. It's funny how unintended consequences so rarely turn out to be good. The intended consequences of central banks' unprecedented tsunami of stimulus (quantitative easing, super-low interest rates and easy credit / abundant liquidity) over the past decade were: 1.

Read More »

MACRO ANALYTICS – 10 04 18 – A Distorted Global Supply Chain w/Charles Hugh Smith

VIDEO NOTIFICATION SIGN-UP: http://bit.ly/2y63PvX-Sign-Up Thank you to all Macro Analytics/Gordon T Long YouTube followers. I will continue to add the following message to each video, which many have already seen to help all of those that haven’t learned of the new update. Thank you again for your support! To all Macro Analytics/Gordon T Long subscribers: …

Read More »

Pensions Now Depend on Bubbles Never Popping (But All Bubbles Pop)

We're living in a fantasy, folks. Bubbles pop, period. The nice thing about the "wealth" generated by bubbles is it's so easy: no need to earn wealth the hard way, by scrimping and saving capital and investing it wisely. Just sit back and let central bank stimulus push assets higher.

Read More »

Fixing Infrastructure Isn’t as Simple as Spending Another Trillion Dollars

It isn't easy to add new subway lines or new highways, and so "solutions" don't really exist. If there's one thing Americans can still agree on, it's that America needs to spend more on infrastructure which is visibly falling apart in many places. This capital investment creates jobs and satisfies everyone's ideological requirements: investment in public infrastructure helps enterprises, local governments and residents.

Read More »

The Labor Shortage Is Real

Few conventional-media commentators are willing or able to discuss these factors in the labor shortage / declining participation trends. Is there a labor shortage in the U.S.? Employers are shouting "yes." Economists keep looking for wage increases as evidence of a labor shortage, and since wage increases are still relatively modest, the argument that there are severe labor shortages in parts of the U.S. is unpersuasive to many conventional...

Read More »

Droit du Seigneur and the Neofeudal Privileges of Class in America

Want to understand the full scope of neofeudalism in America? Follow the money and the power and privilege it buys. The repugnant reality of class privilege in America is captured by the phrase date rape: the violence of forced, non-consensual sex is abhorrent rape when committed by commoner criminals, but implicitly excusable date rape when committed by a member of America's privileged elite.

Read More »

Charles Hugh Smith On Insights Into Jobs For Displaced Workers Affected By Intelligent Automation

Click here for the full transcript: http://financialrepressionauthority.com/2018/09/24/the-roundtable-insight-charles-hugh-smith-on-insights-into-the-jobs-for-displaced-workers-affected-by-intelligent-automation/

Read More »

The Four Disastrous Presidential Policies That Are Destroying the Nation

It's admittedly a tough task to select the four most disastrous presidential policies of the past 60 years, given the great multitude to choose from. Here are my top choices and the reasons why I selected these from a wealth of policy disasters.

Read More »

When Does This Travesty of a Mockery of a Sham Finally End?

Credit bubbles are not engines of sustainable employment, they are only engines of malinvestment and wealth destruction on a grand scale. We all know the Status Quo's response to the global financial meltdown of 2008 has been a travesty of a mockery of a sham--smoke and mirrors, flimsy facades of "recovery," simulacrum "reforms," serial bubble-blowing and politically expedient can-kicking, all based on borrowing and printing trillions of dollars,...

Read More »

Digging into Wealth and Income Inequality

The assets of U.S. households recently topped $100 trillion, yet another sign that everything is going swimmingly in the U.S. economy. Let's take a look at the Federal Reserve's Household Balance Sheet, which lists the assets and liabilities of all U.S. households in very big buckets (real estate: $25 trillion). (For reasons unknown, the Fed lumps non-profit assets and liabilities with households, but these modest sums are easily subtracted.)

Read More »

We’re All Speculators Now

When the herd thunders off the cliff, most participants are trapped in the stampede.. One of the most perverse consequences of the central banks "saving the world" (i.e. saving banks and the super-wealthy) is the destruction of low-risk investments: we're all speculators now, whether we know it or acknowledge it.

Read More »

ROGUE INTERVIEWS: Charles Hugh Smith – Of Two Minds (09/17/2018)

ROGUE NEWS is a group of political scientists, editorial engineers, and radio show developers drawn together by a shared vision of bringing Alternative news through digital mediums that evangelize our civil liberties. !PLEASE SUBSCRIBE! Support our media by participating in our products and services: ► ROGUE NEWS: ROGUEMONEY.net ► Watch Us Trade: https://wut.page.link/wut1 ► CBD …

Read More »

Massive Deficit Spending Greenlights Waste, Fraud, Profiteering and Dysfunction

The nice thing about free to me money from any source is the recipients don't have to change anything. Free money is the ultimate free-pass from consequence and adaptation: instead of having to make difficult trade-offs or suffer the consequences of profligacy, the recipients of free money are saved: they can continue on their merry way, ignoring the monumental dysfunction of their lifestyle.

Read More »

The Next Financial Crisis Is Right on Schedule (2019)

Neither small business nor the bottom 90% of households can afford this "best economy ever." After 10 years of unprecedented goosing, some of the real economy is finally overheating: costs are heating up, unemployment is at historic lows, small business optimism is high, and so on--all classic indicators that the top of this cycle is in.

Read More »

CHARLES HUGH SMITH: U.S. Government Is Destroying Capitalism WORLDWIDE!

Shelter your Portfolio from the Bonds COLLAPSE: http://www.PortfolioWealthGlobal.com/Bonds Get Immediate Access to our Exclusive Report on the Coming STOCK MARKET CRASH: http://www.portfoliowealthglobal.com/crash/ Download Our Top 5 Cryptocurrencies for 2018 AT: http://www.portfoliowealthglobal.com/top5/ The Gold Bull Market is Weeks Away From Hitting FULL THROTTLE. Get Educated NOW: http://www.portfoliowealthglobal.com/goldplaybook/ Cannabis...

Read More »

After 10 Years of “Recovery,” What Are Central Banks So Afraid Of?

If the world's economies still need central bank life support to survive, they aren't healthy--they're barely clinging to life. The "recovery"/Bull Market is in its 10th year, and yet central banks are still tiptoeing around as if the tiniest misstep will cause the whole shebang to shatter: what are they so afraid of? 

Read More »

The Global Financial System Is Unraveling, And No, the U.S. Is Not immune

Currencies don't melt down randomly. This is only the first stage of a complete re-ordering of the global financial system. Take a look at the Shanghai Stock Market (China) and tell me what you see: A complete meltdown, right? More specifically, a four-month battle to cling to the key technical support of the 200-week moving average (the red line). Once the support finally broke, the index crashed.

Read More »