{"id":38815,"date":"2018-10-06T19:35:31","date_gmt":"2018-10-07T00:35:31","guid":{"rendered":"http:\/\/olduvai.ca\/?p=38815"},"modified":"2018-10-06T19:35:31","modified_gmt":"2018-10-07T00:35:31","slug":"most-bearish-of-economic-charts-are-reason-to-be-most-bullish-on-financial-assets","status":"publish","type":"post","link":"https:\/\/olduvai.ca\/?p=38815","title":{"rendered":"Most Bearish of Economic Charts Are Reason To Be Most Bullish on Financial Assets"},"content":{"rendered":"<h3><a href=\"https:\/\/econimica.blogspot.com\/2018\/10\/most-bearish-of-economic-charts-are.html\">Most Bearish of Economic Charts Are Reason To Be Most Bullish on Financial Assets<\/a><\/h3>\n<div id=\"post-body-416802623611479969\" class=\"post-body entry-content\">\n<div dir=\"ltr\">In the land of the blind (economics),\u00a0the one eyed man is king.\u00a0 So, forget everything you know (or don&#8217;t know) about economics and follow some very simple math that economists (and financiers, Fed chiefs, and administration after administration) are unwilling to publicly acknowledge.\u00a0 Disregard theories about ever greater production equating to economic growth&#8230;all that truly matters is the ability to consume that production (otherwise production turns into excess inventories).<\/p>\n<div>\n<div>\nSimply put, every person on earth is a unit of consumption multiplied by their income, savings,\u00a0and access\u00a0to and\/or utilization of credit (even if it is government provided via social programs).\u00a0 Thus, it is the annual change in the population (multiplied by these levers) which is the primary driver for the\u00a0annual\u00a0change in consumption.\u00a0 But population growth\u00a0among the nations with\u00a0the income, savings, and access to credit has fallen in half since peaking decades ago&#8230;and growth among the all important work force is facing imminent and ongoing decline.<\/div>\n<\/div>\n<div>\n<div><\/div>\n<\/div>\n<div>Thus to maintain consumptive growth, a series of stop-gap steps have been undertaken, each more drastic than the last.\u00a0 First, unfunded governmental social programs alongside interest rate cuts\u00a0were used to entice higher consumption absent higher income or savings.\u00a0 Once this broke down, governments and central banks took over debt creation and asset\u00a0eradication\u00a0in an attempt\u00a0to maintain still higher consumption without the concomitant rise in income\/savings.<\/div>\n<div>\nHowever, these policies and actions to maintain consumptive growth (enabling higher production)\u00a0are about to become far more difficult if not impossible.\u00a0 The lack of population growth among the\u00a0consumer nations coupled with the\u00a0negative distribution of that\u00a0growth (almost solely among the elderly) is set to\u00a0slow growth\u00a0to a crawl or cause outright declines.\u00a0 Why?<\/div>\n<div>\n<p>\u2026click on the above link to read the rest of the article\u2026<\/p>\n<\/div>\n<\/div>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>Most Bearish of Economic Charts Are Reason To Be Most Bullish on Financial Assets In the land of the blind (economics),\u00a0the one eyed man is king.\u00a0 So, forget everything you know (or don&#8217;t know) about economics and follow some very simple math that economists (and financiers, Fed chiefs, and administration after administration) are unwilling to [&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":[11943,16387,18287,8989],"class_list":["post-38815","post","type-post","status-publish","format-standard","hentry","category-economics","tag-bear-vs-bull","tag-chris-hamilton","tag-economica-blog","tag-financial-assets"],"_links":{"self":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/38815","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=38815"}],"version-history":[{"count":1,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/38815\/revisions"}],"predecessor-version":[{"id":38816,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/38815\/revisions\/38816"}],"wp:attachment":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=38815"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=38815"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=38815"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}