mtyrikos wrote:This is an interesting time, no doubt. I don't, however, think it's unique within the scope of history and so on.
There's a consistent, almost predictable track record of how economies are first expanded and then invariably contracted; for instance, ever since the federal reserve act of 1913, it's been fairly easy for a central bank to manipulate these things when the entire economy is predicated on credit.
How does it go... "Give me control of a nation's money supply, and I care not who makes its laws?"
The top of the "pyramid," is most definitely the central banking system and any government, corresponding laws and yes, economies, will develop but only if they are in line with the agenda and interests behind central banks. If they get out of control or if they expand too fast or power/influence is becoming less centralized then it's quite easy to manufacture a collapse if you control the medium of exchange (and supply of it) that the entire economy relies on.
This isn't a "secret" or "conspiracy theory," in fact it's a virtually self evident truth if you simply take an honest look at how the entire system functions. I think the largest issue that lead to today is that Wall Street took too much advantage during the period of relatively unregulated markets and the entire sytem had to be "corrected." The leveling we're experiencing in the economy now is a figurative "cracking of the whip," so to speak and economies will rebuild, slowly, but with more centralized control.
The counterexample to this theory is Japan from 1990 on. Their government spent money like water; their central bank borrowed money and attempted to dilute the currency for years; yet their economy basically never grew and even faced significant deflation at times. Their stock market was around 40,000 in 1989 and hit 8,000 20 years later in 2008 (very rough numbers). Real estate prices suffered a similar fate.
I think economic forces are far less under the control of central powers than we are led to believe.