In order to save some of America's most moribund metropolises we must bulldoze them into the ground. That is the Obama Administration's newest proposal to deal with urban decay. Return cities like Flint, Michigan to the pristine state of nature as it were. Hmm. In the meantime, Goldman Sachs, who had a profitable first quarter made possible by The Treasury and dying insurance behemoth, AIG, handed out in excess of ten billion dollars in bonus money to its employees. Now, if you can be bothered, try and make a deep connection between the proffered idea of bulldozing dying U.S. cities into the ground with the engineered, of late, fat and happy state of uber Wall Street firm, Goldman Sachs.
My view is that the bulldozing of that which is deemed a blight on the U.S. landscape needs to start in D.C. and Wall Street. But rather than deal with an utterly corrupt political sphere and a desperately mendacious financial complex, both of which are inextricable, team Obama would prefer to ignore these enormous problems. Their hope is that by doing so the good ship U.S.S. lollipop can be steered away from the shoals of its own self destructiveness into a calm and sunny lagoon. In the meantime, what isn't being reported is that the rest of the world, or at least the part that systematically buys U.S. sovereign debt, has decided that team Obama is enacting a charade, and is responding accordingly. This is playing out in a fashion that can be described in two words, capital flight. That's right, sports fans, the furriners are pulling out their money from these shores at an annualized rate in excess of six hundred billion dollars. Such a turnabout has profound consequences for U.S. currency and the bond market, which by now I'm sure you know is a game changer of orpic perpitions.