{"id":2723,"date":"2014-12-10T07:35:56","date_gmt":"2014-12-10T12:35:56","guid":{"rendered":"http:\/\/olduvai.ca\/?p=2723"},"modified":"2014-12-10T07:35:56","modified_gmt":"2014-12-10T12:35:56","slug":"this-time-is-the-same-like-the-housing-bubble-the-fed-is-ignoring-the-shale-bubble-in-plain-sight-david-stockmans-contra-corner","status":"publish","type":"post","link":"https:\/\/olduvai.ca\/?p=2723","title":{"rendered":"This Time Is The Same: Like The Housing Bubble, The Fed Is Ignoring The Shale Bubble In Plain Sight | David Stockman’s Contra Corner"},"content":{"rendered":"

This Time Is The Same: Like The Housing Bubble, The Fed Is Ignoring The Shale Bubble In Plain Sight | David Stockman’s Contra Corner<\/a>.<\/p>\n

We are now far advanced into the third central bank generated bubble of the last two decades, but our monetary politburo has taken no notice whatsoever of its self-evident leading wave.Namely, the massive malinvestments and debt mania in the shale patch.<\/strong><\/em><\/p>\n

Call them monetary bourbons. It is no exaggeration to say that\u00a0inhabitants of the Eccles\u00a0Building deserve every single word of Talleyrand\u2019s famous epithet: \u201cThey learned nothing and forgot nothing.\u201d<\/p>\n

To wit, during the last cycle they claimed to be fostering the Great Moderation and permanent full employment prosperity. It didn\u2019t work. When the housing and credit bubble blew-up, it washed out all the phony gains from the Greenspan\/Bernanke printing spree. By the time the liquidation was finished in early 2010, there were\u00a02 million\u00a0fewer payroll jobs than there had been at the turn of the century.<\/p>\n

\"\"<\/p>\n

Never mind. The Fed simply doubled-down. Instead of expanding its balance sheet by\u00a050%,<\/strong>\u00a0<\/em>as happened during the eight\u00a0years\u00a0between 2000 and 2008, it went into monetary warp drive, ballooning its\u00a0made-from-thin-air liabilities\u00a0by\u00a05X<\/strong>\u00a0<\/em>in only six years.\u00a0Yet even after Friday\u2019s ballyhooed jobs report there\u00a0were three million\u00a0fewer\u00a0full-time breadwinner jobs in November 2014 than there were in the\u00a0early 2000s.<\/strong><\/em><\/p>\n

<\/p>\n

…click on the above link to read the rest of the article…<\/span><\/p>\n

<\/p>\n","protected":false},"excerpt":{"rendered":"

This Time Is The Same: Like The Housing Bubble, The Fed Is Ignoring The Shale Bubble In Plain Sight | David Stockman’s Contra Corner. We are now far advanced into the third central bank generated bubble of the last two decades, but our monetary politburo has taken no notice whatsoever of its self-evident leading wave.Namely, […]<\/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":[1799,122,1800,1390,1798],"class_list":["post-2723","post","type-post","status-publish","format-standard","hentry","category-economics","tag-bubbles","tag-central-bank","tag-mal-investment","tag-monetary-policies","tag-shale-oil-bubble"],"_links":{"self":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/2723","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=2723"}],"version-history":[{"count":1,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/2723\/revisions"}],"predecessor-version":[{"id":2724,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/2723\/revisions\/2724"}],"wp:attachment":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=2723"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=2723"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=2723"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}