{"id":4766,"date":"2015-01-22T08:27:44","date_gmt":"2015-01-22T13:27:44","guid":{"rendered":"http:\/\/olduvai.ca\/?p=4766"},"modified":"2015-01-22T12:02:00","modified_gmt":"2015-01-22T17:02:00","slug":"4766","status":"publish","type":"post","link":"https:\/\/olduvai.ca\/?p=4766","title":{"rendered":"When This Ends, Everybody Gets Hurt"},"content":{"rendered":"

When This Ends, Everybody Gets Hurt<\/a><\/h3>\n
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And the end is uncomfortably close<\/strong><\/div>\n<\/div>\n<\/div>\n<\/div>\n

Central banks around the globe have taken us all into unchartered territory, where the possible paths boil down to a binary outcome: either it all works out or it doesn\u2019t.<\/p>\n

Unfortunately, the \u2018it all works out\u2019 outcome has a very low probability of actually happening; so the binary outcome isn’t equally weighted like a coin toss.\u00a0 By \u2018working out\u2019, here\u2019s what the central banks all striving (praying?) for:<\/p>\n

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  • Inflation of 2% to 3% per year<\/li>\n
  • Economic growth of at least 6% per year (nominal) and a real (inflation adjusted) rate of 3% per year.<\/li>\n<\/ul>\n

    The reason that the central banks want all of this growth and inflation isn’t because it’s good for you, me, or anybody we know. Instead, the bankers\u00a0need it because that\u2019s what our exponential money system requires.<\/p>\n

    Slaves To The System<\/h2>\n

    It bears repeating, inflation is not rising prices — those are\u00a0symptoms<\/em>\u00a0of inflation\u00a0— but instead is the expansion of the existing stock of money and credit.\u00a0 If we observe the symptom of ‘rising prices’, then that means the underlying mechanism of expansion of credit (mainly) and money (less important because the money supply is a only fraction of the volume of credit) is functioning.<\/p>\n

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

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

    When This Ends, Everybody Gets Hurt And the end is uncomfortably close Central banks around the globe have taken us all into unchartered territory, where the possible paths boil down to a binary outcome: either it all works out or it doesn\u2019t. Unfortunately, the \u2018it all works out\u2019 outcome has a very low probability of […]<\/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":[124,175,240,426,536,954],"class_list":["post-4766","post","type-post","status-publish","format-standard","hentry","category-economics","tag-central-banks","tag-credit","tag-economic-growth","tag-inflation","tag-money","tag-money-supply"],"_links":{"self":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/4766","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=4766"}],"version-history":[{"count":2,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/4766\/revisions"}],"predecessor-version":[{"id":4768,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/4766\/revisions\/4768"}],"wp:attachment":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=4766"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=4766"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=4766"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}