mike maloney on the Holy $hit moment

[Large Sarge]

http://www.youtube.com/watch?v=FT7hXCOyU08

[PatColo]

vid is 28 mins, any highlights? where's the holy shit moment?

eta: here's the YT desc, see last paragraph:

Published on Nov 9, 2012 by CapitalAccount (http://www.youtube.com/user/CapitalAccount)
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Welcome to Capital Account. Bloomberg reports UK prosecutors are ready to arrest former traders and rate setters at UBS, RBS, and Barclays for questioning over their role in the Libor scandal. We ask Michael Maloney, founder of Gold-Silver.com, if the larger crime is not LIBOR manipulation, but the ongoing war against the price mechanism itself through reckless central banks and fiscally irresponsible governments.

Also, today House Speaker John Boehner and President Obama outlined plans for reducing the national debt, setting the stage for a contentious debate over the Fiscal Cliff. This morning Boehner announced "I outlined a responsible path forward to avert the fiscal cliff without raising tax rates." Meanwhile, a few hours later, Obama told reporters "If we're serious about reducing the deficit, we have to combine spending cuts with revenue. That means asking the wealthy to pay a little more in taxes." It seems politicians are nowhere near reaching a compromise anytime soon. Would it be so bad if the US fell off the Fiscal Cliff? According to a new Congressional Budget Office report the impact from going over the fiscal cliff would be recession in the US economy next year and an increase in the jobless rate from 7.9 to 9.1 percent by the end of 2013. A deal to avert this would mean a deficit of 503 billion dollars higher than it would otherwise have been in fiscal year 2013. We talk to Mike Maloney of Gold Silver about what the Fiscal Cliff would entail for the long term picture of the US economy, and if going off the cliff could at least be a wake-up call for politicians to do something at long last.

We also speak with Mike Malony, author of "The Guide to Investing in Gold and Silver," about the "Holy Shit" demographic, as he calls it. This is the demographic of retirees or those nearing retirement, who wake up one day and realize that they have no savings, and that they can't rely on the government to protect them as they head into their later years. Plus Lauren responds to viewers in tonight's feedback segment, and she reveals a big name guest that will be on Capital Account next week! Hint...it's a CFTC commissioner with long, blonde hair!




also proper title is,
Mike Maloney on the Fiscal Cliff and the "Holy Sh*t" Demographic Bankrupting America!

[Large Sarge]

govt spending, demographics, etc

and the fiscal cliff thing is just an illusion that sprung to life the day after the election

[mamboni]

vid is 28 mins, any highlights? where's the holy shit moment?

eta: here's the YT desc, see last paragraph:


also proper title is,
Mike Maloney on the Fiscal Cliff and the "Holy Sh*t" Demographic Bankrupting America!



Pat:

I believe the Holy Shit moment refers to the boomers who have or will wake up shortly and realized that they did not save nearly enough for retirement and the big bonus from the house sale ain't gonna happen since RE is in the toilet, And yeah, I am 56 years old and if I was in the position of some of my neighbors from LI, NY I 'd be having that Holy Shit moment about now. Imagine maxing out on your lines of credit and refis out of your ballooning in price LI home in the late 1990s into mid 2000s. Since you are house rich no need to save, no need to pay down those 5 credit card balances. Oh, when the kids go to college just cosign the school loans. Then 2008 comes and RE valuations are in free fall with the economy. Next thing your hours are cut back or you get downsized. You can't refi out of your 7% mortgage because your underwater. Now the sucker punch comes: gas prices triple since 2001. Every dime you earn is paying financing costs, mortgage payments and ballooning food and energy costs. And your paying the highest property taxes in the country, typically $10,000-$20,000. Save money and pay down debt? Forgeddaboutit. I told my neighbors in 2003: sell the fucking house and be thankful for the crazy gains, downsize and stop keeping up with the Jones, your kids don't need a Mercedes and designer T-shirts, and get the hell off LI while you can, bla bla bla. They nodded and yessed me and ignored me. Now Sandy has delivered the coup du gras and let me tell you LI RE is finished for a decade. The south shore is the crown jewel of LI RE and it is devastated, destroyed, leveled and royally fucked. On the one hand I feel sorry for these people. On the other, I am repelled by the recurring tragedy of self-inflicted destruction and willful ignorance and inaction in the face of obvious signs everywhere. It's like talking to an Obama voter: you dissemble the entire socialist argument piece by piece, show the entire economic and political systems to be shams, and while they cannot counter or disagree with the logic of what you are saying they insist that they still support Obama "cause he's a good guy." This is economic Darwinism in action and it's going to be a veritable slaughter.

[EE_]

Pat:

I believe the Holy Shit moment refers to the boomers who have or will wake up shortly and realized that they did not save nearly enough for retirement and the big bonus from the house sale ain't gonna happen since RE is in the toilet, And yeah, I am 56 years old and if I was in the position of some of my neighbors from LI, NY I 'd be having that Holy Shit moment about now. Imagine maxing out on your lines of credit and refis out of your ballooning in price LI home in the late 1990s into mid 2000s. Since you are house rich no need to save, no need to pay down those 5 credit card balances. Oh, when the kids go to college just cosign the school loans. Then 2008 comes and RE valuations are in free fall with the economy. Next thing your hours are cut back or you get downsized. You can't refi out of your 7% mortgage because your underwater. Now the sucker punch comes: gas prices triple since 2001. Every dime you earn is paying financing costs, mortgage payments and ballooning food and energy costs. And your paying the highest property taxes in the country, typically $10,000-$20,000. Save money and pay down debt? Forgeddaboutit. I told my neighbors in 2003: sell the fucking house and be thankful for the crazy gains, downsize and stop keeping up with the Jones, your kids don't need a Mercedes and designer T-shirts, and get the hell off LI while you can, bla bla bla. They nodded and yessed me and ignored me. Now Sandy has delivered the coup du gras and let me tell you LI RE is finished for a decade. The south shore is the crown jewel of LI RE and it is devastated, destroyed, leveled and royally fucked. On the one hand I feel sorry for these people. On the other, I am repelled by the recurring tragedy of self-inflicted destruction and willful ignorance and inaction in the face of obvious signs everywhere. It's like talking to an Obama voter: you dissemble the entire socialist argument piece by piece, show the entire economic and political systems to be shams, and while they cannot counter or disagree with the logic of what you are saying they insist that they still support Obama "cause he's a good guy." This is economic Darwinism in action and it's going to be a veritable slaughter.

I've been saying this to people for a while now. 79 million boomer's are running for the exit and most don't have any savings. How can the system possibly take care of them? Even if they want to work longer, the jobs aren't there. This generation is totally fucked!
I'm expecting the suicide rate to sky rocket in the next 10 years.
This is a very bad cycle we are in, and it won't be over until the "boomer's" are all dead...about 20 years from now. The next new cycle will start then...if the earth is still inhabitable? Outside of that, everything is great!

[Sparky]

I think the major social change that's going to come out of this is a return to multiple generations living in the same household. You already see the first evidence of this now, with so many 20-somethings still living with mom and dad, or returning home to mom and dad. This trend will be accompanied by grandma and grandpa returning as well.

This is not such a bad thing, unless their is "bad blood", but most families have several different options as to how they can re-align. And this paradigm is more efficient. All those McMansions that get mocked for being symbols of self-indulgence and waste? Those houses will start to be a home for 7 or 8 people, rather than 3 or 4 or 5.

Most people I know who are not "prepared" would be able to get by if they pooled resources with family members. Many may shudder at the very thought, but in a lot of cases it's going to be the practical solution. It's really going to change the social dynamic, which will be challenging because people are used to having so much for themselves, and controlling their own environment.

So I don't see devastation and destitution so much as I see a painful social reorganization. This may ultimately prove beneficial in the long run for a society which has become so splintered and divided.

ApocalOptimist.

[PatColo]

This "retiring boomer glut" has been written about in books published 10+ years ago; it's no surprise! It's surely a major factor in TPTB's rolling out their warrenterra hoax-- with accompanying domestic police state rollout. Yes I've long felt there'd be spiking suicide rates, sharply lower "average life expectancies" across the board really as people hit bottom economically and see no future, not to mention the multitude of ways "they" are seeking to poison & sicken us.

I'd have to look up the numbers, think I heard from one of Spingola's (http://www.spingola.com) WW2 revisionist guests- but in early 1930s Germany, suicide rates were through the roof.