Here goes nothing……

There we go then. We will foster trade, and pursue economic growth. Just the one wee thing – trade is in tangibles. Real things. Perhaps we could categorise them as ‘resources’. Then (and you’ll get this from me more than once) they will be looking for growth. Growth is expressed in terms of ‘doubling time’, ie 3% growth doubles in 20 years, 10% growth in 7 years.

Can we double the extraction of anything? Fisheries perhaps? Grain? Timber? Fresh water? Uranium? Oil?

Ah, oil. The linchpin. It drives the trade, it makes the tradeable. Sorry guys. You just found the ceiling. Boompha. Next time you hit it, it will be lower. How can they be so stupid?  Or is the potential punter-angst not something they can collectively contemplate?

Watch – if they get things going, oil will go to where it did. And we will all be back where we are.

The worst thing about it is that if they keep on issuing non-underpinned credit, the debt is ultimately held by the physical planet, whos stock was not properly valued. Pity – that’s the thing we live on.

The old Bard had it right – neither a borrower or a lender be – but he might just be right about the pound of flesh thing too. It could well be ours.


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