The pressures from not allowing the 2007 Great Recession to cleanse the corrupt behaviour that caused it has built and built and built.
We are seeing the perverse impact of printing trillions in global bubble stocks and assets and the warning signs that a global backlash is due to rupture the financial markets are wrangling louder than ever.
The conditions are set for a flash collapse, what will be the trigger? A political shock? China? War?
Will Black Tuesday October 29th of 1929 come back and bite Wall Street this year?
Apple collapsing almost 2.3% in extended trading post their uninspiring results at a time when the stock market is looking to burst is grim on the eve of Black Friday.
Another global economic shockwave will be devastating for NZ.
Beyond putting all our cows in a Beijing paddock, rebuilding from a natural disaster and helping fuel the property bubble with lazy immigration, this Government have done sweet FA to help build NZ, preferring to allow their blessed free market to stake out a Darwinian economic survival of the richest.
560 suicides a year, 41 000 homeless, 300 000 kids in poverty, huge domestic violence issues, sky rocketing incarceration rates and the latest i-phone – this is the broken New Zealand that neoliberalism has given us.
The unequal distribution of wealth and unregulated greed of modern capitalism, symbolized by the Great Recession of 2008, has fostered movements which challenge free market capitalism. Brexit, Sanders and Trumpism is the political manifestation of these angry pressures.
The ‘solution’ to the Great Recession of the 2007-2008 has been printing money with zero interest, which has managed to kick the can down the road for America and the half a Trillion China poured into it’s economy has resulted in the pressure’s we are seeing now…
Fear China’s stock-market earthquake
Here’s the chilling thing. What’s going on in China is madly redolent of the 1929 Wall Street crash.
The 150% rise over a year in the Shanghai Composite Index to its mid-June peak was largely driven by investors borrowing to buy shares, or margin trading in the jargon, just as happened in the US during the Roaring Twenties.
And the subsequent self-reinforcing collapse has been driven by China’s indebted investors being forced to sell shares to meet their debts.
As for the economic significance of what is going on, well these very big stock markets in Shanghai and Shenzhen are no longer serving their core purpose of supplying equity capital to businesses – which will have a significant negative impact on Chinese growth.
…the despicable injustice of the wealthy elites looking after their greed is best summed up here…
…and the consolidation of power into the hands of a corporate elite is embodied within the TPPA…
…this so called Rock Star economy has had a terrible impact on the poorest of us while National’s rich mates have prospered. Real political solutions will be demanded by voters who can’t afford to be consumers any longer.
The middle classes voted for Key in 2014, despite the dirty politics, despite the mass surveillance lies, despite his office colluding with the SIS to smear the Leader of the Opposition months before the 2011 election because his policies have continued to push their house prices up and up and up.
What happens when the only reason they are voting National pops and does the Left have the answers and policy ready when it does?