Maybe the US Isn’t Rich After All
Most politicians and pundits claim that America is the richest country in the world.
But Bill Bonner, writing in the June 10 edition of Bill Bonner’s Bonner Private Research, does a great job of exploding this “rich myth.” He suggests, as I have in past posts, that one could argue that the US is the poorest country in the world, afloat like a hot air balloon hovering above an invisible spike that will sooner or later blow it all up.
“The proposition on the table is provocative,” Bill writes. “And illuminating. What if we Americans aren’t nearly as rich as we think we are? As outrageous as it seems, ‘fictitious wealth’ appears to explain why the richest country in the world still can’t pay its bills or win its wars.
“Simply put… the idea is that America’s fake money – introduced in 1971 – led to an economy with a lot of fake wealth. In short, much of US stock, bond, and real estate wealth… and much of the US economy itself (GDP)… was ‘f’-ed up – …fictitious, fraudulent, or fantasy.”
Read on here.