Saturday, September 27, 2008

In Chaos There is Opportunity.

The two party system has failed us. Since FDR's departure, corporate America has become intertwined with government and bought out the highest offices in the land. The laws and regulations which were originally designed to protect America from economic collapse like what was seen in the twenties and thirties have been chipped away at or outright eliminated. The Glass-Steagall Act, an act which was created to keep commercial banks separate from riskier investment banks among other safeguards is no longer in existence. The consequences of this are now coming home to roost. Banks which invested in risky mortgage bundles and lost and are now no longer in existence or are being bought out by banks who are also on the verge of collapse are perfect examples of this.

Before long the lending capacity of all banks in this country will be void. Without funds being put forward to expand the economy, the stock market will collapse. Our entire economy is built on constant growth. When the growth stops, the economy implodes.

The next step is our assets being consumed by the debt holders, who are China, Japan, the United Arab Emirates, the Saudis and others. What is left for us, the hardworking taxpayers who've kept out heads down and done as we've been asked by our government? A depleted dollar with no purchasing power of foreign goods that we are now almost entirely dependent on. Our food, our energy, our clothing, our tools, you name it - we're importing it.

The good news is that this will be a massive wake up call that American's won't soon forget. It is too bad the majority of the country doesn't see what is coming and hasn't yet abandoned their faith entirely in the Democrats and Republicans. But the time is coming. New parties will emerge. New trains of thought will become prevalent in this country. In the long run, it will contribute to us living more sustainably and with better safeguards. At least, that is what one can hope.