Waiting for the train-wreck

Interesting imo

The danger in those years [2011/2012] will be that Ben Bernanke will attempt yet again to refloat the U.S. economy through inflation, buying government debt to fund the deficit and forcing short term rates well below the inflation rate. This danger is exacerbated by the Obama administration’s insouciance about deficits. Ben Bernanke on his own (and his predecessor Alan Greenspan) bears a large share of responsibility for the 2008 crash, but the Bernanke/Obama combination is potentially even more dangerous. If expansionary monetary and fiscal policies are pursued regardless of market signals, the U.S. will head towards Weimar-style trillion-percent inflation. That would make the government’s position easier as its mountain of Treasury debt became worthless, but devastate everybody else’s savings and impoverish the American people as Weimar impoverished 1920s Germany.

As I said, a train wreck. Probability of arrival: close to 100%. Time of arrival: around the end of 2010, or possibly a bit earlier. And at this stage, there’s very little anyone can do about it; the definitive rise of gold above $1,000 marked the point of no return.

Add to this a few more things:
Next January, people will pay more in taxes than they have in years-at a time when most are worse off than they have been in years (ie w greater effect)
Unemployment is expected to remain high, and even rise MORE before midterms in 2010
Democrats blew their one chance at real economic stimulus on political payoffs, and will increasingly be held to account (it’s already started) for is failure to stimulate, create, or save jobs
Democrats losing independent voters
Democrats are incumbents controlling Congress in a midterm election where the party in power will normally lose
Democrats have accomplished very very little (might not even pass healthcare)
Democrats have pushed back deficit control efforts to 2010
Democrats have broken EVERY major 2006 campaign promise that got them control of Congress

…and then there’s natsec issues
Obama/Dems promised to end the war in Iraq, but just before midterms will still have 50-70,000 troops in Iraq (though re-named from “combat brigades” to “security, logistics, and training forces”)
There’s no way that Afghanistan is gonna end or end well in the next 11 months
Iran has been a complete failure and will likely end w an Israeli strike+possible regional war in the next 11 months
And let’s not even start to talk about how Dems will can’t look tough on natsec before the midterms w a KSM trial of the millenium on 24/7cable!

So….what is it Dems are gonna use as a campaign crutch in 2010?