My One Hundred Things: The Economic Recession is the Cure, not the Disease

Would you agree that ups and downs are part of life? If so, then why do so many of us argue that this recession should be fought and not allowed to happen? Do we believe we are above the forces of nature?

I’ve argued before that free market forces are massively stronger than Keynesian ideals. They are not two sets of ideas that butt heads. Rather, they are “force of nature” vs “construct of man”. Man can and will always fight to triumph, but nature will always win in the end.

See Bernanke, in my opinion, honestly believes he can help. Either that or he is Satan’s spawn. It could go either way. But I believe people are basically good. We’ll see how it pans out. But I don’t think the guy is a jerk; I just think he’s an idiot. And many of us are as well. See, you have to look at track record, don’t you? I mean, when has this guy EVER been right? With Timmy G at Obama’s side right now, you have to wonder, what is he even doing there? Didn’t Obama run on a platform of “change”? How is this supposed to mix things up? What exactly are we changing? Seriously, these guys have made one mistake after another, refused to admit (or literally didn’t see it altogether) that the crash was coming, and now not only are we looking to the same guys who caused the damage to fix everything, but they’re not even changing course! They’re uber-cool plan to fix this colossal mess is to, what? Spend even MORE money, faster and more furiously than ever. Genius. This is what can lead to a total dollar collapse. Haven’t I said this before? Yet the headlines just don’t seem to change.

See, if you or I attempt this strategy to get out of debt, we’ll eventually hit a brick wall. You and I both know it. If you’re in debt, going out and getting another credit card and spending it up will “stimulate” your pocket book, won’t it? Well, won’t it? But what’s the problem with this? You know the answer. You’ll eventually fill out an application for yet another credit card and they’ll start saying “no”. Then what do you do? You’ve run up massive debt, and you’re cut off. At some point, you’re going to have to get a job. The problem is that Obama and many Americans honestly believe that America will never get cut off. We’re too big to fail. But where is the evidence that it actually works this way? Point me to one nation in history that has ever pulled this off. Please do.

Here’s the crux of the problem: life has ups and downs. The free markets have spoken. Our economy is fake, and a strong storm has come along and knocked us over. It’s cool. We can rebuild. But right now we’re just bleeding, and the more fake liquidity we pump into the economy is causing us to just bleed out all the more. The sooner we admit we’ve toppled over, the sooner we can go back to rebuilding. It will happen, and it’s gonna be awesome. My gloomy outlook on the economy is perceived by many as a gloomy outlook on life. To the contrary. I LOVE the time we’re in. Change is uncomfortable. Change is RISKY. But it’s packed with opportunity. It’s an awesome time to be in business, start a business, and it’s an awesome time to be alive! We WILL rebuild, no matter how hard Obama wants to fight against it.

So I suppose the question remains, how will a massive recession fix the economy, and why should the government stand back and let it happen? It’s simple…do you want to get people back spending again? Do you want more jobs? Do you want higher paying jobs? Do you want to be able to start a profitable business, hire employees and create new high paying jobs for others? Do you want to see your investments start to grow and provide opportunity for you and your family in the future? All of this will begin to happen as soon as we’ve had time to recover, but the recovery won’t start until we stop fighting the recession.

Real money doesn’t disappear, and there is hundreds of billions of dollars just waiting to be invested into our economy. But right now, the government is printing trillions, propping up failed companies and creating an environment where it is impossible to compete for any new start ups. We don’t need failed investment banks running our financial sector. Too big to fail…are you kidding me? No one is too big to fail. As a matter of fact, the rule is this: the bigger you are, the harder you fall. In other words, if you’re huge and you screw up royally, it’s IMPERATIVE that you fail and fail quickly. You have too many people’s resources tied up in your failed systems. Get out of the way and allow innovation to happen. As soon as the government allows people to fail, the principles of risk vs reward will enter back into the marketplace, and real money will buy up assets for what they’re worth. There will be new start ups, offering products and services that people need, selling at profitably prices. This will create jobs that not only pay well but that are actually sustainable.

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