Economy, DOW have stagnated for 15 years

Oct. 12, 2012

By John Seiler

The evidence keeps rushing in that the U.S. and California economies have stagnated for about 15 years. Obviusly, there are bright spots, such Apple, Google and the other Silicon Valley nerd factories.

But for anyone with IQ < 180, there has been no “growth,” only fake booms and real busts. Some numbers appear to be up, such as the stock market or housing prices; but those numbers don’t take into account inflation.

The following chart does factor inflation. It shows that the Dow Jones Industrial Average is in the same position it was in the late 1990s. That is, there’s been no improvement. Total stagnation.

No wonder middle-class families feel squeezed. They have been squeezed. They work hard and save, but interest rates are near zero. They work harder, and their “incomes” rise, but so do taxes. If they run small businesses, federal, state and local regulations keep getting tougher and more costly. The Federal Reserve Board keeps debasing the currency through the inflation called QE3.

The middle class are rats on a treadmill.

Both parties are to blame. Republicans and Democrats pretty much have split power in Congress and the White House the past 15 years. Third party alternatives are kept out of power by a system rigged by the two major parties.

In Thursday’s VP “debate,” here were the “solutions” of the two candidates:

Democrat Joe Biden: Increase taxes and spending even more.

Republican Paul Ryan: Cut spending by increasing defense spending to defend West Germany from the Soviet Union, both of which countries don’t exist any more.

It doesn’t add up and it hasn’t added up for 15 years.

In California, things are even worse because our state suffers intensified chapters of the major parties: Democrats who hanker to be Kim Jong Un and feckless Republicans just wanting to cash in, while blabbing small-government rhetoric to fool the Tea Party.

34 comments

Write a comment
  1. Queeg
    Queeg 12 October, 2012, 12:06

    If your still eatin……stop whining.

    CWD posters are so unhappy….you have it better than 95% of people in the world. Don’t expect much more unless your dispositions improve.

    Reply this comment
  2. BobA
    BobA 12 October, 2012, 12:10

    Any “real” money to be made in the stock market was made in the spring of 2009. Beyond that it has been nothing but diminishing returns since for the small investor.

    As long as the threat of the fiscal cliff, higher capital gains tax, higher dividend income tax, higher interest income tax, a $16 trillion plus debt and rising, QE infinity and the fed’s printer of ever increasing amounts money of (which further debase the value of the dollar) hangs over our heads the stock market will limp along for the foreseeable future and is likely to crash in the near future.

    As to John Seller’s point about the VP debate, I agree with him on both accounts but I wouldn’t stop with Germany (there is no more East & west Germany), I would also cut off all foreign aid, immediately close all our foreign military bases and bring all our troops and assets home if the governments in those countries refuse to pick up the tab and get completely out of Afghanistan and leave them to the tender mercies of their barbaric culture and religion. They don’t like us and don’t want us there anyway. I also would cut off funding to the U.N. and kick them out of the USA.

    Lastly, I would make it clear in unequivocal language to any country that considers the US an enemy that any attack on the United States will be met with swift & total annihilation.

    Reply this comment
  3. Dyspeptic
    Dyspeptic 12 October, 2012, 12:38

    “If your still eatin……stop whining.”

    @ Queeg,
    Boy, talk about low expectations! So we can’t criticize The System until we are starving? We The People can’t shake our fist’s at The Overlords so long as the bread and circuses continue?

    You have the mentality of a concentration camp inmate Queeg. Please keep it to yourself.

    Reply this comment
  4. Rex the Wonder Dog!
    Rex the Wonder Dog! 12 October, 2012, 12:45

    “If your still eating……stop whining.”

    @ Queeg,
    ==
    If there was ANY doubt queeg and u haul are Teddy sock puppets just look at the grammar used in “your”….all three use it the same way.

    Reply this comment
  5. Dyspeptic
    Dyspeptic 12 October, 2012, 12:59

    I wonder what inflation factor the chart uses. If it is based on official core CPI numbers then it greatly understates real price inflation, which would make the chart far more optimistic than reality. The current official inflation rate (CPI-U) is approximately 1.7%. Does anyone living in the real world actually believe that? In reality, it’s probably 2-3 times that rate.

    The situation is always worse than The Ruling Elite will admit to. That way, we don’t wake up, grab our pitchforks and torches and storm the castle to administer some summary justice to our masters.

    Reply this comment
  6. Dyspeptic
    Dyspeptic 12 October, 2012, 13:02

    “If there was ANY doubt queeg and u haul are Teddy sock puppets just look at the grammar used in “your”….all three use it the same way.”

    @ Rex,
    You have to admire it in a strange way though. It can’t be easy juggling all of those imaginary personalities 🙂

    Reply this comment
  7. Ulysses Uhaul
    Ulysses Uhaul 12 October, 2012, 13:32

    Poster Hoggie….get a grip…..you’re irrelevant!

    Teddy is the true CWD ORACLE!

    Reply this comment
  8. Queeg
    Queeg 12 October, 2012, 13:52

    DYS:

    You should consider a Tony Robbins or Jack Welch seminar to cheer you up. You cannot save the world. Take care of yourself, or you will end up like Poodle who can only attract a truck stop job and Big Betty….

    By the way Big Betty has a younger sister …..you interested?

    Reply this comment
  9. Ted Steele, The Decider
    Ted Steele, The Decider 12 October, 2012, 14:59

    Queeg— VERY good– cheer up with a Jack Welch seminar!

    Reply this comment
  10. Bob
    Bob 12 October, 2012, 15:13

    Bob A says:

    They don’t like us and don’t want us there anyway.

    Bob A, I agree with what you said but do you really think the reason our gummit is dumping trillions into Afghanistan and conducting an endless occupation is for the good of the Afghan people? You really think Shillary Klinton, Obammie and the Bushites before them are that benevolent?

    Reply this comment
  11. Rex the Wonder Dog!
    Rex the Wonder Dog! 12 October, 2012, 16:02

    Bob A, I agree with what you said but do you really think the reason our gummit is dumping trillions into Afghanistan and conducting an endless occupation is for the good of the Afghan people? You really think Shillary Klinton, Obammie and the Bushites before them are that benevolent?
    ==
    Wasn’t one of teh BROKEN Obama promises that he would END the black hole war in Afgahnistan??????? Another failure.

    Reply this comment
  12. Ted Steele, The Decider
    Ted Steele, The Decider 12 October, 2012, 16:42

    LOL— Turns out after last night’s drubbing of Ryan we learned that both sides want us out of Afghan. in 2014—- LOL—- non issue. It was fun to watch Ryan spin and make it an issue! God he was over his head!

    Reply this comment
  13. BobA
    BobA 12 October, 2012, 17:03

    Bob:

    No, not really. Throughout Afghanistan’s history, no country has ever conquered that country or pacified its people and it’s not for a lack of trying. If the Afghanis weren’t so backwards and had the means, they would kill every foreigner in their country without hesitation.

    I’ve worked in that part of the world and other Islamic countries and sad to say, most Americans have no understanding of Islamic culture and traditions. It is alien to the American experience. Democracy and Islam can not exist in the same place at the same time yet we keep trying to impose our values on them. That’s why they hate us and want to kill and in a certain sense, I don’t blame them.

    As to the trillion dollars being dumped into Afghanistan, the simple answer is follow the money. I see it as another ingenious and nefarious scheme to loot the US treasury and divert that money to a caste of people who are above governments. USA, Russia, China, Afghanistan, the EU, etc., are just pieces on a chess board to these people. What the want they get and there’s not a government in the world who would dare say no to them.

    By the way: Afghanistan is the largest supplier of opium to the world. Our US military personnel in Afghanistan know it and see it and are under orders from the highest levels to do nothing and say nothing about it.

    Reply this comment
  14. BobA
    BobA 12 October, 2012, 17:11

    Dyspeptic:

    Don’t waste your time as I did trying to reason with those closed minded unreasonable unthinking people. They are quite comfortable in their glass houses and can’t be bother with facts that dispels their false ideology and wet dreams. ignore them.

    Reply this comment
  15. Ted Steele, The Decider
    Ted Steele, The Decider 12 October, 2012, 17:44

    Boba—-

    Dyspeptic:
    Don’t waste your time as I did trying to reason with those closed minded unreasonable unthinking people.

    Good advice there boba to your fellow poster! I employ that advice out here alot!

    Teddy the inflammatory.

    Reply this comment
  16. Rex the Wonder Dog!
    Rex the Wonder Dog! 12 October, 2012, 20:14

    Democracy and Islam can not exist in the same place at the same time yet we keep trying to impose our values on them.
    ==
    Yes, it is called Yankee Imperialism, and they don’t want it-so WHY are we trying to IMPOSE OUR system on them??????

    We have no right to imnose our values on others who don’t want them.

    Reply this comment
  17. Rex the Wonder Dog!
    Rex the Wonder Dog! 12 October, 2012, 20:23

    I would also cut off all foreign aid, immediately close all our foreign military bases and bring all our troops and assets home if the governments in those countries refuse to pick up the tab and get completely out of Afghanistan and leave them to the tender mercies of their barbaric culture and religion. They don’t like us and don’t want us there anyway. I also would cut off funding to the U.N. and kick them out of the USA.

    Lastly, I would make it clear in unequivocal language to any country that considers the US an enemy that any attack on the United States will be met with swift & total annihilation.
    ==
    Many good points.

    1- I would close at lest 50%-75% of all foreign military bases. If they p/u the tab then maybe keep a skeleton base. Especially JAPAN. Why are WE in Japan protecting as major financial and economic power with OUR money????

    2- I have no problem keeping the UN in NY, I would NOT fund them. If that is a problem so be it-we are not the deep pockets of the world.

    I would stop printing money. The country needs some strong medicine, and there is NO ONE who has the courage to even suggest a plan, much less implement the plan. Only ONE PERSON had a plan to erase the deficit-it was H Ross Perot in 1992-20 years ago. 50 cent gas tax to pay off the debt.

    Freeze ALL gov salaries.

    Make the gov employees pay MORE towards their pensions and medical.

    Make gov employees work to age 67 like SS does. If they want to double dip at age 67 I say great-more power to them. But no more of this “retiring” at age 50 just to go work for another employer while pulling down a $100K+ pension.

    Reply this comment
  18. BobA
    BobA 12 October, 2012, 21:30

    Rex:

    All good points. The only point of contention I have is with the UN staying in New York but I’ll relent on that point provided that we lease the property to them and all UN member countries chip in and pay their fair share of utility bill. If they don’t like they can leave once the terms of the lease agreement have been fulfilled.

    Reply this comment
  19. Dyspeptic
    Dyspeptic 12 October, 2012, 21:53

    “Democracy and Islam can not exist in the same place at the same time yet we keep trying to impose our values on them.”

    Even if democracy and Islam were compatible you would just see very ugly, theocratic, oppressive forms of democracy. Democracy is actually a pretty dangerous form of government as The Founders knew full well.

    Anyway, I agree we can’t afford to be the worlds policeman and we don’t have the moral authority to be one anyway.

    “Why are WE in Japan protecting as major financial and economic power with OUR money????”

    Because we are a nation of suckers. Our allies laugh at us behind our backs and use the money they save on national defense to steal our manufacturing base.

    We should close most foreign military bases and withdraw from NATO to avoid World War III.

    Treat Israel like a foreign nation, not the 51st state.

    Defund or lowball the U.N. and have NYPD impound all of their double parked limousines.

    Fire 50% of all local, state and federal government employees and see if it makes a difference. Probably not.

    Tax all Nobel Prize winnings at 100% and use the money to get Joe Biden some decent hair transplants and better dentures.

    Ban neck tattoos in Major League Baseball.

    Reply this comment
  20. Ted Steele, The Decider
    Ted Steele, The Decider 12 October, 2012, 22:03

    Dyslexic and Boba and Poodle— you sound like you’d run the world about like a Marks Bros. film. I doubt there’s much of anything three knuckleheads like you could truly be in charge of.

    And be honest here fellas, do you guys think the gov still has the Roswell alien bodies? Do you think the WTC was an inside US job? And do you think we faked the moon landings?

    0 for 13 ™

    Reply this comment
  21. Queeg
    Queeg 12 October, 2012, 22:24

    The globalists and ivy league psuedo royality suck out all the cream from the financial markets each and every day. Latest scams are high frequency trading, bloated tech IPO’S and dark pools.

    Reply this comment
  22. Rex the Wonder Dog!
    Rex the Wonder Dog! 13 October, 2012, 00:12

    Dyslexic and Boba and Poodle— you sound like you’d run the world about like a Marks Bros. film. I doubt there’s much of anything three knuckleheads like you could truly be in charge of.
    ==
    Troughie, you have the brain power of a rock-but step up and tell us YOUR plan…oh wait, your GED educated brrain cannot use logic.

    Reply this comment
  23. Queeg
    Queeg 13 October, 2012, 09:46

    Very sick post…….no shame?

    Reply this comment
  24. BobA
    BobA 13 October, 2012, 13:03

    Dyspeptic:

    I like the way you think. Another thing I would do is demand 100 million barrels of oil each from the Saudis, Kuwaitis and the Iraqis for services rendered. I would also send the Europeans a bill for services rendered during WW2. The statute of limitations has run out for us to collect on the services rendered during WW1.

    It’s time all the countries we helped with our blood and treasure to start paying us back. Cash, grass or ass; no checks, no IOUs and no credit cards accepted.

    Reply this comment
  25. Ulysses Uhaul
    Ulysses Uhaul 13 October, 2012, 17:09

    You bunker dwellers are hilarious…

    Reply this comment
  26. Ted Steele, The Decider
    Ted Steele, The Decider 14 October, 2012, 09:58

    Poodle— Shouldn’t we let the normal people, you know, the grownups, have their blog back?

    Reply this comment
  27. Rex the Wonder Dog!
    Rex the Wonder Dog! 14 October, 2012, 14:00

    Tell that to your sock puppets troughie 😉

    Reply this comment
  28. Ulysses Uhaul
    Ulysses Uhaul 14 October, 2012, 14:01

    Poodle:

    Did you patch up your beat down with Big Betty?

    Reply this comment
  29. Ted Steele, The Decider
    Ted Steele, The Decider 14 October, 2012, 15:15

    no– I mean it Poody—- Don’t you think that the normal people here deserve a blog free of our sort of contentless back and forth?

    Reply this comment
  30. Ulysses Uhaul
    Ulysses Uhaul 14 October, 2012, 19:11

    Yeah….Poody!

    Reply this comment
  31. Rex the Wonder Dog!
    Rex the Wonder Dog! 15 October, 2012, 00:04

    Nov 6 one of us is taking a vacation, and that one of us is YOU teddy (and your sock puppets) 🙂

    Reply this comment
  32. Ted Steele, The Decider
    Ted Steele, The Decider 15 October, 2012, 08:23

    Poody—- Are you going to comment on your lawsuit prediction failures in the OC cops cases??????

    We are waiting still…..

    Reply this comment
  33. Rex the Wonder Dog!
    Rex the Wonder Dog! 15 October, 2012, 09:03

    I am commenting on Nov 6, prop 30 going down in flames, spectacular flames 😉

    Reply this comment
  34. Ted Steele, The Decider
    Ted Steele, The Decider 15 October, 2012, 20:32

    LOL— but still no comment on the 3 times your prediction s failed on the biggest anti pension lawsuits in history? I thought you said you knew all this law????

    lol

    0 for 13 ™ !

    Reply this comment

Write a Comment

Leave a Reply



Related Articles

Video: Gov. Brown’s funny money and why California still could go bust

June 28, 2013 By Brian Calle Alexis Garcia interviews me about the California budget, Gov. Jerry Brown’s funny money and

Time is Ripe for California Flat Tax

MAY 18, 2011 By JOHN SEILER Now is the time for the innovative Gov. Jerry Brown of the 1970s to

Will California repudiate its debt?

AUGUST 12, 2010 By JOHN SEILER California’s government soon could be paying its bills with IOUs, Controller John Chang announced