The Holiday Season- no piano music necessary
Thanksgiving has come and gone, and with it are the usual witchdoctor pronouncements regarding the Christmas shopping season, with the usual economic suspects wringing their hands about the mentatlity of the American shopper, and whether the Christmas induced shopping spree will keep the shops, and therefore the economy going.
Great! Of course, the answer is a qualified yes. Never mind that for many people their mortgages will reset, and that they could go bankrupt, that they could lose homes. People must spend on Christmas. Why?
Because the whole world depends on the American consumption and debtedness- and depends on the American shopper in particular.
Now, I blogged a while ago how the mortgage crisis was a case of greed, institutionalized racism, classism- all for making record profits for investors, many of them foreign pension funds looking for higher returns. This was a failure of teh press in general here in America and the Black Press, who is supposed to speak truth to power. And of course, no European or Asian reporter would look at this angle, of course. But this week BBC sent some of their reporters to America- the Virginia-Maryland-DC area- for various stories. Under the Evanomics blog the reporter Evan Davis blurts it all out: the world dpends on us to keep on spending. Spend, Spend, Spend- hey, that pension fund must grow, so let the america borrow and borrow, and pay back at high interest rates.
And what credit crunch? To whom? Where? I am still getting mail and phone calls for credit cards, car loans and idiot mortgages.I am not interested, yet every time I send a student loan payment, I get deluged. Apparently, Evan Davis talks to a car dealer who had no problem getting loans written, even if the customers have very low credit scores.
But what I find interesting is the disconnected nature of the stories on the mortgages crisis and credit, and the not so suprising finding that trillions of dollars of this country's money is being transferred to our good friends the Chinese,The Saudis and the other Oil Gulf States, amongst others. No connection to our national security, or to why countries that help foster anti-American thinking and terrorism simply cannot take us seriously.
Why should communists, fascists, cruel oligarchs and other who oppose human freedom, kindness and decency take us seriously, anyway?
We are busy shopping.