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PreparationInBubbaNation
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Discussion Starter #1
They are lying anyway, when a company crashes (like Citi), they just take it off the index, or it would be lower now anyway.

How about this, let's make our own index. It's called kSB BBBBBI

that's the kevSurvivalistBoard Bubba'sBeansBaconBullets & Butter Index

It's the cost for a one year supply
of dried Beans and rice
canned Bacon, ham, stew, corned beef, and mason jars to put the gator tail in (no canned chickens, he gets those fresh)
canned Butter, and oil for the turkey fryer
Bullets - a one year supply would be about 2000 rds. (1000 for practice & fun) now there will be no argument about AyArr v. AyeKay, Bubba got both
and 12 boxes of feminine hyjinx items and 12 bottles of lamp oil

That is the Index, i wil calculate it later, but right now we're going to say the index starts 01 January 2009 and the initial value was $3000 FRNs

SO it will look like this:

DJIA 6779, - $20 lying basturds
kSB BBBBIx $3000, +$7
 

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It does however measure how the economy is rolling along...which it isn't since Odrama began printing bills in mass quantities.
 

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Prepared
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They say there's two economies today -- the Wall Street (globalized, abstract, fiat, gambled, speculated) and Main Street (productivity, Joe Sixpacks, physical basis, etc.). Many people, even some privledged Ivy League economists are starting to admit that the Dow has diverged with reality.

Take IBM for instance, one of the Dow Jones index companies. It's got a workforce which is nearing 50% abroad if I recall correctly. Non-Americans, not paying US taxes, not being paid in USD, not buying American goods. If they go up or down, it's really a crapshoot whether it reflects the status of the economy on Main Street hier in der Homeland. Might be a bad day in Bangladore instead.

It does however measure how the economy is rolling along...which it isn't since Odrama began printing bills in mass quantities.
 

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PreparationInBubbaNation
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Discussion Starter #8
thank you for contributing

It does however measure how the economy is rolling along...which it isn't since Odrama began printing bills in mass quantities.
respectfully, No Sir it does not, the DOW was made before computers, it was 30 companies that could be calculated by hand on an abacus way back nearly before Georgie Wahington had dentures (nearly)

Obomba hasn't really cranked any presses yet, the Fed , a private bank, will create the money out of thin air (book entry),
and lend the money to the US Treasury, which will then tax you to return it

this thread by Rackgirl will explain the process
http://www.survivalistboards.com/showthread.php?t=46419
 

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PreparationInBubbaNation
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Discussion Starter #9
Le freak, c'est chic
"A key difference between the theories animating the work of Obama's economists and the theories behind the Levy-Kalecki formula are that the former assume people will act rationally in accordance with government prodding and the latter consider the possibility that people will freak out. Contrary to mainstream economics beliefs that people operate with perfect knowledge, Levy-Kalecki assumes that economic participants -- families, officials, workers, investors and executives -- grope about their lives in an atmosphere of uncertainty, develop false beliefs and make mistakes, especially when surprised.

While mainstream economics argues that markets and people tend toward a harmonious equilibrium that can be guided by didactic government action, Levy-Kalecki suggests behavior instead tends toward disequilibrium. The difference in policy that must be developed in each case is profound, for the former tends to rely on inflexible formulas while the latter would seek to constantly adjust.

The rubber meets the road now in two views of how individuals will react to incentives embedded in the stimulus package. ...
Without directly creating private jobs via public-works projects to give laid-off workers new income streams -- and thus help people stop obsessing about a bleak future -- the Levy-Kalecki model forecasts the next year will feature a steep climb in saving, plunge in spending, wipeout in corporate earnings and disintegration of the stock market. " <<the public works project that worked last time was material production from WW2, most of the previous Depression make work projects just prevented starvation, but couldn't overcome inertia because they didn't really increase GDP. * inserted>>

Anticipating a collapse
One Levy-Kalecki adherent who runs a credit portfolio at a New York investment bank told me he believes that complacent policymakers don't seem to realize the nation faces a grave financial crisis on par with war. If people react to weakening job prospects by stiffing their credit card and mortgage lenders in order to save at a level that will let them survive a financial meltdown, he sees the potential for $6 trillion in lost spending over the next two years."This is what commodity, bond and stock markets are trying to price in right now," said the manager, who asked not to be identified. "Investors gave up waiting for the government to act effectively and are taking down the value of everything in anticipation of collapse."

"If the wealthy are taxed at higher rates, as currently contemplated by the Obama administration, and savings rates go to 10% per annum, the formula suggests corporate profits will be cut in half from their peak two years ago. Because earnings at the companies that make up the S&P 500 totaled $84.70 a share in 2007, that would mean forecasts of the stock market need to start with the assumption that earnings will sink to about $42 per share.

If investors are confident that a decline to that level is just a temporary aberration, they will apply a price-earnings multiple similar to what we see today, around 18, and then you get a forecast of 755 for the S&P 500, which is a little higher than where we are now. But if investors fear earnings will continue to slip, then they'll cut the multiple to as little as 9 or 10, as they did in the 1970s, and if you do the math you get a projection of 420 for the S&P 500, or around Dow 4,000."
<excerpted and resequenced, emphasis added>
http://articles.moneycentral.msn.co...how-savers-could-doom-the-economy.aspx?page=2

I'm going to meet with a client this morning who asked for loan from his retiremen account.
He wanted a loan from his retirement account, with which to pay off his credit cards, in case his wife lost her job in the private sector (he's IT director for public school). The investment carrier bungled the paperwork, and his loan amount decrease by a $1000 in like three business days.

i got a fourth back order out of stock notice from SGO for an item i ordered in November :(

So the kSB BBBBIx is moved to $3000 + $9

the only reason it's no higher is that the price of 50 lbs. sacks of rice went from $29 at Sham's club to $22
(it was $4.98 in 1998)
Guys, your missing it; go get a metal trash can from TSC and a couple of 50 lbs. bags of rice (400 units of food /servings); it's about $60 or less than one case of MREs.

PS your preps are a source of wealth and that wealth is increasing in value right now
 

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PreparationInBubbaNation
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2,503 Posts
Discussion Starter #10
Today's tiddlybits

record Unemployment numbers
http://www.foxnews.com/politics/2009/03 ... ob-losses/

They can Federalize your Victory Garden, some bureapoodles bright idea
http://www.govtrack.us/congress/billtext.xpd?bill=h111-875

Here is somebody elses Inane babble how about yuor garden being Obamatized and FDIC rescue
http://www.survivalistboards.com/showthread.php?t=46811

Yep FDIC is insolvent, of course they move to head of the line for bailout $$$$$$$

I'm doing an emergency SGO order, i'll let yuo know if they have anything left

BBBBIx $3000 + $11 (increase due to no beans at Sams, and more ammo indef out of stock)

"Trust the governement you say, I tried it once, didn't work for me." Bob the Nailer

tactical underground/forum; Plague Paratrooper
Posts: 1019
Location: TN
 

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PreparationInBubbaNation
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Discussion Starter #12
I firmly believe we will see the following: GM wil file bankruptcy this year, so will a dozen of tis suppliers. The DOW will dip down to at least 5800, possibly as low as 4800. One of the major banks will end up taken over by FDIC, necessitating a second "FDIC is insolvent" rescue of a $400+ billion of FRN dollars monopoly money dollars.

At that point a Trillion will have been assigned to FDIC (probably necessary); a Trillion FRNs to with disbursements and future obligations (including interest) to the Unconstitutional TARP flop; and a Trillion on stimulus packages and their future interest. That is 3000 billion dollars; but hey what's 1000 billion dollars here or there, right? We sholdn't be worried because if we start an inflation at the back end of this thing, we can repay it in devalued FRNs right?

Inflation you say? but we're having this deflation thingie right now, is that not the opposite? Look here
Here at YourDictionary, we define inflation as an increase in the amount of money and credit in relation to the supply of goods and services. Often, inflation is erroneously defined by the effect that it has on the economy. When people notice that gas, food, and lodging is getting more expensive, they often label that phenomenon inflation. Rising prices, however, are really just the result of inflation.
Monetary inflation can be thought of as the printing of money by the federal government. (or e book entries)
http://www.yourdictionary.com/dictionary-articles/Definition-of-Inflation.html

"as an increase in the amount of money and credit in relation to the supply of goods and services"
gee, isn't that the very definition of the 'stimulus' package?

A market for window shoppers
http://articles.moneycentral.msn.co...a-market-for-window-shoppers-only.aspx?page=2

"What is brokenBloomberg is already making analogies to The Depression:

As in the Great Depression, world trade is collapsing, wealth is evaporating and the banking system is broken. Deflation is a growing threat as companies slash production, pay and prices. And leaders worldwide are having difficulty making headway in halting the self-perpetuating decline." http://market-ticker.denninger.net/archives/858-Heh-Mr.-President;-How-Ya-Like-This.html

Getting back to that inflation thing, and what to do about it

recommendation, only keep enough money in the bank to pay this month's bills, keep a house payment and utilities $ at home where you can buy money orders at home while you wait to get an FDIC settlement. :roll: Convert some savings into real goods - that would be preps i think and ammoniciones. Most of us should already done some of that. :mrgreen:


the kSB BBBBIx still $3000 + $11 (+ gunshow ammo prices; - rice at Sam's went from $21 to $18 per 50 lbs.)
 

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PreparationInBubbaNation
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Discussion Starter #13

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PreparationInBubbaNation
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Discussion Starter #14

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PreparationInBubbaNation
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Discussion Starter #15
http://www.reuters.com/article/hotStocksNews/idUSTRE52I0M020090319
"HONG KONG (Reuters) - The U.S. dollar nursed large losses on Thursday, while Asian stocks and government bonds rallied after the Federal Reserve pledged to pump an additional $1 trillion into the ailing U.S. economy.

The Fed surprised investors by announcing on Wednesday it would buy $300 billion worth of U.S. Treasuries -- its first purchases of government debt since the early 1960s -- as part of a move that also includes buying more mortgage and agency debt."

And then this little gem
"With the Fed now effectively undermining the dollar, the worry is that central banks are playing competitive devaluations," said Tony Morriss, senior rates strategist at ANZ.

"The Fed won't say it outright, but they would likely welcome a weaker currency." .....< or a new one>

"That comes after the euro jumped 3.9 percent against the dollar on Wednesday according to Reuters data, its biggest one-day percentage gain since the launch of the single currency in 1999."
No inflation coming huh? For a little balance, this might be good for exports, but we're not a manufacturing country anymore. What do we export - food, and jobs. The food will make it more expensive here. But I hardly see us sending $17 DVD players to the people who are sending us $29 ones.

On another agitation Note, The House of taxation without Representation (sound familiar) has decided they can tax specific individuals now. Is this something we really want to get started? Now they did really have it coming, but what a precedent. Let's tax jus the epoeple with blue eyes, or how about gunowners, (oh yeah, i forgot, we already do - it's called CCP); or how about we tax just the people who store food.
http://www.foxnews.com/politics/2009/03/19/house-vote-taxing-aig-bonus-bonanza/
Oh and here's your sign, lying bass turd
http://www.foxnews.com/politics/fir...mits-adding-bonus-provision-stimulus-package/
 
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