Heinberg: A Back-Row Seat at the Collapse Revue

…The actions of national governments and the central banks to shore up the credit market have constituted an effort to establish a floor below which the credit markets cannot fall further. Whether these efforts will be successful we shall discover soon enough.

However, the deeper Peak Everything crisis effectively establishes an ever-descending ceiling above which a recovery can never rise. The recession is lowering the price of commodities that would otherwise be at all-time high prices due to scarcity. Why? Demand is falling because fewer people can afford food or gasoline.


So far, despite massive efforts to infuse trillions of dollars in new money and credit to keep the international financial system at proper pressure, this is a textbook case of deflation.

The masters of the financial universe are applying their wizardry with no understanding whatever of the larger context within which the financial world breathes or expires