SOS Commercial Real Estate Next

Good news and Bad news for USA

The Good news is, the bubble for sub prime mortage is poked.

The Bad news is, the bubble of Commercial real estate is next.

History has told us and it is also a fact that .........

• Government do not know how to run a Business (proven)


• Government intervention in the economy will cause misallocation of resources (proven)


• Government intervention into private business will cause more tax payer a lot more (proven)


• Government printing of money will cause hyperinflation (proven)


• Government bailouts will cause burden the taxpayers (proven)


• A bubble or phony economy will sooner or later going to find its next level, printing money will cause a bigger inplosion, however delay the effects (proven)


• Overspent and overgear issues can only be resolve through painful readjustment of savings and deleveragings and much reduced spending

Myths

• stock market rises, of course when the government print so much money and put into the system, but inflation will eventually rise faster than the assets prices rises
• confident index shows recession is over. overgearing and overspending solved? Far from it. Look into the picture above.
• too big to fail myths
• economy is deflating (i.e. standard of living improve)