Reflections On Trumplandia: America “Embodies Elements Of A Societal Disintegration”

Via Edelweiss Journal,
Reflections on Trump’s America
That which has been is that which will be, And that which has been done is that which will be done. So there is nothing new under the sun. Perhaps it was inevitable that a man like Mr Trump would some day end up in the White House. Immodesty notwithstanding, he is intelligent, patriotic, and richly endowed with that American can do disposition. His election, at least within the context of financial markets both in America and elsewhere, has been greeted thus far with the exuberance and fervour reserved for the second coming of an industrial revolution. Yet, even as one ought to welcome Mr Trump’s businesslike ideas for a country that has veered further and further into an economic unknown, there is scant reason for the boundless euphoria of anticipated greatness – the subject of this brief essay.
To some folks, Mr Trump’s words and promise to ‘make America great again’ resonated with those of the late President Reagan. On one hand, it seems that he understands what’s what. In a September interview with Reuters, he accused the Fed of having created a ‘false economy’ (true) and ‘keeping the rates down so that everything else doesn’t go down’ (also true). Responding to claims of alleged economic robustness, he said: ‘The only thing that is strong is the artificial stock market.’ On the other hand, the grandiose economic policies and promises he has outlined demand a cheap dollar and even greater deficits and debt creation. His administration faces a federal debt of $20 trillion, unfunded liabilities of more than $100 trillion and 50% of a population dependent on (most, in fact, feel entitled to) some kind of government spending, which translates to the fact that much more credit/debt is a necessity and not an option. When Mr Reagan took office, circumstances were a lot different. Thus, the euphoria among financial and political pundits is unlikely to last long. The exuberance of the moment, no matter the soundness of expectations, may, for a while, give rise to higher share and dollar prices, but its consequences are trivial.

This post was published at Zero Hedge on Dec 17, 2016.