No. of Recommendations: 1
If there is a wipeout of the US treasury market and USD, most Americans will be financially destroyed. There is a gathering shadow over the public.
I suspect the holders of the bonds have "his" ear, so they will be protected, at any cost, just as the holders of Fanny and Freddy paper were protected.
As suggested before, the plan could be a matter of blowing bubbles to make a lot of money, fast, then get out of the way, before the collapse.
****historical context****
#40 blew a bubble by exploiting Volker's allowing rates to drop, plus a big supply side tax cut, plus massive deficit spending, the highest peacetime deficits in the history of the republic. The markets flew. Hence the narrative about the "supply side economic miracle".
In the late 90s, the country sort of regained it's financial footing.
#43 fought two wars, and enacted two rounds of supply side tax cuts, to blow another bubble, on the back of huge deficits. He only failed in that he could not keep the bubble inflated until he was out of office, so the next guy would take the blame for the collapse.
So now, I expect another bubble to be inflated. It is interesting that the money that would be used to inflate the bubble, comes from redistributing tariff revenue, rather than putting it all on the credit card. I'm not sure how that would work out. Will companies be able to hide the rising prices under their "moving upmarket" strategies? (more historical context: when I was in school, in the early 60s, we were told about some of the strategies the Soviets used to hide inflation)
Steve
