We are not so slowly reaching the point when a consensus will form around the idea that our present circumstances are more accurately described by the term depression than recession. I myself am beginning to feel a sense of despair mixed with nausea at the sense that we really are headed into a period of extraordinary turmoil and uncertainty. The health of this nation's banking system, well at least the major name institutions, is clearly terminal, and to the extent that the the Central Bank and the Treasury have allowed themselves to be anchored to the dying financial mass, the entire economic ship of state is in imminent danger of taking on the appearance of something desperately clawing with bloodied fingers and bruised hands to the jagged, abrasive edge of a very steep cliff
Meanwhile, the new executive is led by a genial, intelligent, and at times even inspiring young politician who, lamentably, due to temperament and experience, is probably out of his depth at a time when the nation can ill afford a leader who is not extraordinarily able.
I think the next stage of the ever growing national debacle will involve events that we have thus far, at least nominally, averted. These events will include large institutional failures and market shutdowns of one kind or another, and will likely cause widespread social panic the likes of which we have not yet experienced and which will prove in chilling fashion that the authorities are themselves vastly overwhelmed.