http://www.cnbc.com/id/15840232?video=1170590726&play=1

Excerpt of the interview
Don’t be fooled by a complex system… The system is very fragile. We’re talking about something that is deleveraging. You may have what they call green shoots, you may have temporary relief, but you’re still in a world that is breaking. And, that world should break. We’re gonna break, it’s gonna go.

If you look at nature, nature breaks anything that is too big. Not to reach interdependence, just to reach equilibrium. So anything that is fragile, eventually will crash. The system is very fragile, it is crashing. We’re in the middle of a crash.

So, if I was going to forecast something, I know it’s going to get worse, not better.

Re: Road Trip. I was too busy to give you a proper reply on Tuesday. So here it is.

lynn:
I really did watch the video, but just because it’s a video, doesn’t mean it’s infallible. I do not know if the inflation-adjusted calculations, mph, distance, etc., are correct, therefore I will not dispute them. However, there are things that are definitely misleading. For example, it totally misses the fact that the debt car COMPLETELY REVERSED under Clinton. The last year of H W Bush shows a deficit of $290 Billion. Every single year of the Clinton Administration shows a deficit reduction. The last 3 years actually had a SURPLUS. Clinton’s last year showed a surplus of $236 Billion. Clinton inherited a $290 Billion dollar deficit and turned it into a $236 Billion dollar surplus. This is not opinion, just fact. W Bush inherited a terrific car and simply drove it off the cliff. Obama inherited a wreck on its way to oblivion. The economic wreck destroys revenues – massive deficits are inevitable even without increased spending.

I do NOT love Obama. I don’t think he’s a savior, but I also don’t think he has horns. When I said “Good luck Barack!!!!” I was being sarcastic. Bush really did total the car and no one will be able fix it. It will require a total rebuild – this will take many, many years, methinks.

I would love America if I were American, but I’m Canadian, so I love Canada. Surely, you can accept this.

Finally, Ronald Reagan’s spending sprees had little to do with winning the cold war. I don’t think spending billions to refit old WWII battleships drove the Soviet Union to oblivion. The reason for the Soviet collapse was a complex combination of events, including overspending on the military and a disastrous war in Afghanistan leading to a stagnant economy. Sound familiar?

Starquestor:
I don’t know why pointing out the flaws in a video about debt makes me a commie. Can you please explain this?

EricT:
You are correct. The finger-pointing won’t change the outcome. But it does serve an important purpose. “Those who don’t know history are destined to repeat it.” (Edmund Burke)

Time to Short Goldman

Here’s a link to the article from Rolling Stone Magazine

some interesting reading…
http://www.scribd.com/doc/16781569/16750352GoldmanSachs

and today, on Business News Network in Canada the contributing editor, who wrote that article was interviewed.

http://watch.bnn.ca/the-close/july-2009/the-close-july-2-2009/#clip189690

http://www.youtube.com/watch?v=Dboo8kLHvfM

If oil closes below 68 today, do you still believe it will continue lower in the next few weeks? Happy 4th!!!

Regarding the rodney dangerfield of juniors donner metals.Am I misguided in thinking that something should have been released by now regarding the scoping study?If I am remembering correctly,it was supposed to be out by mid June and we are now in July

I am not sure exactly how free you are to speak about other companies that are not connected to you. So I will post the question and see if you can respond. I am wondering if you have any input about the company Azteca Gold (V-AZG), and thier drilling being run by Matt Russell. It seems like there could be huge potential in this project, and I am wondering if you can comment. Thanks in advance.

Ryan