David Saied

The principal problem with the current economic crisis is that the authorities are trying to solve the debt crisis by adding more debt — which is akin to trying to cure a viral infection by injecting more viruses.

Mainstream economists and so-called experts have filled the minds of most Americans with many economic myths that are constantly reinforced by the media and repeated on the streets. These myths are erroneous at best, sometimes based on half truths. The majority of them are just false. We will examine the most common ones and proceed to explain the reality behind these myths.

If mainstream economists and market analysts’ predictions (wishes?) come true, and the US Federal Reserve lowers rates several times in the next few months, contrary to popular belief, things in the medium and long term will unequivocally get worse, writes David Saied. The upcoming events and the current Fed seem to be reminiscent of the early 1970s, where the Fed continuously “inflated” the money supply to fend off recession, therefore creating stagflation. A rising level of CPI “inflation” and higher unemployment — the so-called “misery index” — is quite possible. Unfortunately, in this centrally planned monetary system, only the Fed can know if stagflation will be allowed to show its ugly face again, wreaking the havoc it did in the awful 1970s.