Friday, February 5, 2010

Global Movement Toward Quixoticism on a Par with Narcissism; Days of Chivalric Free-Market Romance in Danger under Obama ...

Pimco's Heavyweight Champion of Safe Money, William H. Gross, appeared on CNBC after the enigmatic unemployment data long & palefaced.
He tactfully and effectively jabbed at the developing socioeconomic conundrum when addressing where future global economic growth would come from:.
"We're now delevering instead of levering, and we're now regulating instead of deregulating".
POTC added this emphasis we feel Gross meant to convey in a time constrained CNBC episode:
"Businesses and consumers are now delevering (selling assets and cutting expenses/workers), instead of levering (buying assets and investing in R&D and workers), all in the midst of governments now regulating banks with new rules and taxes, instead of deregulating and allowing free-market forces to reward the winners and punish losers".
POTC does not believe any global movement toward socioeconomic quixoticism today is sexy, even with our Cowboy leading the charge. We'd prefer kill or be killed Darwinian-type markets, where winners and losers, booms and busts, and profits and bankruptcies are all critical elements in order for the American Dream to thrive.
We're against any fiscal or social policies that would destabilize Wall Street and stain the art of risk taking. Any legislation that would layer government on the private sector: Public Heathcare, Cap and Trade Tax, and the Employee Free Choice Act (EFCA) are all dangerously quixotic to us Old-Fashioned free-market Chivalrists.

Giant financial minds, like Gross, agree that Western European Governments' falling in love and subsidizing alternative energy projects has turned out to be a bust, hence Obama not backing away from such foolhardy idealogies in midst of 8.4M unemployed borders on narcissism.

POTC credits Gross for supporting the socioeconomic argument we've been making even before Obama took office. Today Gross is alerting investors to this emerging paradox of flawed global governmental idealisms in the midst of global economic crises.

Lower Manhattan's capital spigots must flow unrestricted, with no uncertainties of useless government  regulations ahead. POTC believes the hard lessons learned in real estate and banking would be better corrected and adjusted by free-market forces. Today's current economic woes mustn't be used as a tool in favor of stoking class warfare, but especially against Wall Street; the Street that donates more to charities than most countries.

Larry Kudlow said it best on CNBC's morning show "The Call" with Melissa Francis:
"Obama's policies are focused on eating the rich". POTC is worried this insane ideology could win out and choke-off risk-takers.

Citizens in free-market societies must be leary of governments that consistently attempt to legislate policies that would undermine the foundation of entrepreneurship. Government's ability to outlast the private sector post severe depression, God forbid a terrorist strike for example, is why POTC is vehemently opposed to current policies of: print-print-print, spend-spend-spend, tax-tax-tax, and regulate-regulate-regulate.

Such long-term fiscal policies work to starve the private sector and stimulate a very Un-American banking paradigm, especially if the worst case scenario of terrorism unfolded: Federal Reserve Bank would take on title: "Lender of Only Resort, instead of Last Resort." Pardon our playfullness with only and last, as the socioeconomic ramifications betwixt the two are merely socialism vs capitalismCheers to Wall Street, and Long Love for $upply-$ide Economists like Larry Kudlow.   
Thanks for reading and supporting the Psychology of the Call blog, Where Forward-Thinkers Evolve ... .....


Anonymous said...

My friend and I were recently talking about technology, and how integrated it has become to our daily lives. Reading this post makes me think back to that debate we had, and just how inseparable from electronics we have all become.

I don't mean this in a bad way, of course! Societal concerns aside... I just hope that as memory gets cheaper, the possibility of downloading our brains onto a digital medium becomes a true reality. It's a fantasy that I dream about every once in a while.

(Submitted from Net5s for R4i Nintendo DS.)

Anonymous said...

Your best by far. Your trade calls have been scary good too.

Anonymous said...

I agree with the thoughts. I like your blog a lot.
K and B Ireland

Anonymous said...

Larry is a true American! Obama will be out soon, we need more good Americans that respect freedom and Wall Street. I thank you for your work.