Jon sent this sobering news story: 45 percent of world’s wealth destroyed: Blackstone CEO. “Between 40 and 45 percent of the world’s wealth has been destroyed in little less than a year and a half,” Schwarzman told an audience at the Japan Society. ‘This is absolutely unprecedented in our lifetime'”
J.W.P. mentioned this video interview of Dimitri Orlov. J.W.P.’s comment: “I continue to be amazed at how people actually believe that the current U.S. government will “find a way to get us out of this mess.” It can’t, and it won’t. We’ve seen how recent and current this administrations have attempted to spend their way out of this crisis. It’s like trying to dig oneself out of a pit. The pit just keeps getting deeper and wider. It just doesn’t work!” JWR Adds: Don’t miss Orlov’s advice on getting the tools together to start a small home-based business.
Kevin A. sent this: Get Long Torches & Pitchforks: Bailouts “Absolutely Asinine,” Ritholtz Says
“Clearly, fiscal resources do have to be injected in rich countries that are at the epicenter of the crisis,” said World Bank Chief Economist Justin Yifu Lin in a message to summit attendees.
“Channeling infrastructure investment to the developing world where it can release bottlenecks to growth and quickly restore demand can have an even bigger bang for the buck and should be a key element to recovery.”
“In response, the World Bank proposes a Vulnerability Fund. They’re asking developed countries to contribute .7% of their economic stimulus spending to the fund. (So for the United States’ $787 billion bailout that’d be $5.5 billion.) The fund would focus on infrastructure projects, safety net programs to keep children in schools with adequate nutrition and health care, and financing for small businesses.”
From FloridaGuy: Pontiac, Michigan lays off all 622 employees
Items from The Economatrix:
Outstanding Derivatives: 1.28 Quadrillion–95% On Margin ” …the actual totals are even bigger because this number does not include derivatives related to the commodity markets (which the BIS says it can’t track because values aren’t available).”
Gold is Ready to Go Very High Very Fast
Western Military Forces Turning Inward in Anticipation of Domestic Unrest ” …the CIA has added an economic situation report to its threat assessment for the White House.”