{"id":2655,"date":"2014-12-08T12:00:35","date_gmt":"2014-12-08T17:00:35","guid":{"rendered":"http:\/\/olduvai.ca\/?p=2655"},"modified":"2014-12-08T12:00:35","modified_gmt":"2014-12-08T17:00:35","slug":"world-in-a-box","status":"publish","type":"post","link":"https:\/\/olduvai.ca\/?p=2655","title":{"rendered":"World in a Box"},"content":{"rendered":"<p><a href=\"http:\/\/dollarcollapse.com\/the-economy\/world-in-a-box\/\">World in a Box<\/a>.<\/p>\n<p class=\"spx_inspected_extr spx_global\" style=\"padding: 0px; margin: 0px 0px 1.467em 0px;\">Of all the problems with fiat currency, the most basic is that it empowers the dark side of human nature. We\u2019re potentially good but infinitely corruptible, and giving an unlimited monetary printing press to a government or group of banks is guaranteed to produce a dystopia of ever-greater debt and more centralized control, until the only remaining choice is between deflationary collapse or runaway inflation. The people in charge at that point are in a box with no painless exit.<\/p>\n<p class=\"spx_inspected_extr spx_global\" style=\"padding: 0px; margin: 0px 0px 1.467em 0px;\">Prudent Bear\u2019s Doug Noland describes the shape of today\u2019s box in his\u00a0<a style=\"color: #ae2525; outline-style: none; outline-width: initial; outline-color: initial; text-decoration: none; padding: 0px; margin: 0px;\" href=\"http:\/\/www.prudentbear.com\/2014\/12\/the-unavoidable-peril-of-financial.html#.VITKVzHF8jV\" target=\"_blank\">latest Credit Bubble Bulletin<\/a>:<\/p>\n<blockquote style=\"background-image: url('http:\/\/dollarcollapse.com\/wp-content\/themes\/thesis_185\/custom\/md\/images\/blockquote.png'); background-position: 22px 22px; background-repeat: no-repeat no-repeat; border-width: 1px 0px 1px 0px; border-color: rgba(0, 0, 0, 0.0976563); border-style: solid; padding: 22px 22px 22px 6em; margin: 0px -22px 1.467em -22px;\">\n<p class=\"spx_inspected_extr spx_global\" style=\"padding: 0px; margin: 0px 0px 10px 0px;\">Right here we can identify a key systemic weak link: Market pricing and bullish perceptions have diverged profoundly both from underlying risk (i.e. Credit, liquidity, market pricing, policymaking, etc.) and diminishing Real Economy prospects. And now, with a full-fledged securities market mania inflating the Financial Sphere, it has become impossible for central banks to narrow the gap between the financial Bubbles and (disinflationary) real economies. More stimulus measures only feed the Bubble and prolong parabolic (\u201cTerminal Phase\u201d) increases in systemic risk. In short, central bankers these days are trapped in policies that primarily inflate risk. The old reflation game no longer works.<\/p>\n<\/blockquote>\n<p class=\"spx_inspected_extr spx_global\" style=\"padding: 0px; margin: 0px 0px 1.467em 0px;\">In other words, most real economies (jobs, production of physical goods, government budgets) around the world are back in (or have never left) recession, for which the traditional response is monetary and fiscal stimulus \u2014 that is, lower interest rates and bigger government deficits. Meanwhile, the financial markets are roaring, which normally calls for tighter money and reduced deficits to keep the bubbles from becoming destabilizing.<\/p>\n<p class=\"spx_inspected_extr spx_global\" style=\"padding: 0px; margin: 0px 0px 1.467em 0px;\">&#8230;click on the above link to read the rest of the article&#8230;<\/p>\n","protected":false},"excerpt":{"rendered":"<p>World in a Box. Of all the problems with fiat currency, the most basic is that it empowers the dark side of human nature. We\u2019re potentially good but infinitely corruptible, and giving an unlimited monetary printing press to a government or group of banks is guaranteed to produce a dystopia of ever-greater debt and more [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[2],"tags":[124,1670,1769,309,538,1770],"class_list":["post-2655","post","type-post","status-publish","format-standard","hentry","category-economics","tag-central-banks","tag-centralization","tag-corruption","tag-fiat-currency","tag-money-printing","tag-state-power"],"_links":{"self":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/2655","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=2655"}],"version-history":[{"count":1,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/2655\/revisions"}],"predecessor-version":[{"id":2656,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/2655\/revisions\/2656"}],"wp:attachment":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=2655"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=2655"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=2655"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}