Thursday, May 18, 2017


It puzzles me how otherwise smart individuals can be so fooled. Nearly everyone who works in financial media believe a recovery happened during the Obama years. No recovery ever happened. I have shown as much in Q1 2017 GDP IN TRUE DOLLARS™ SHOWS THE GREATEST DEPRESSION IS STILL ON. THE OBAMA PRESIDENCY WAS AMONG THE WORST, PERHAPS ALL-TIME.

Instead, Americans have suffered through the Greenspan-Bernanke Greatest Depression, which came after the crash of the Greenspan-Bernanke Great Inflation, the greatest credit bubble in the history of mankind.

Elsewhere, I have shown how the CPI never could measure inflation and how Real GDP is mere propaganda. Real GDP is fake statistics. So rather than cover the same ground, you should read these works if you have yet to do so:

Measurement is one of those great inventions of mankind, which has advanced mankind. Without accurate measurement, few could have achieved anything and mankind simply would not have advanced. Key to measuring is having an invariant standard. 

It is impossible to have a variable standard. Yet, that is what an implicit price deflator is. It's basis is a past inflated measure. Could you ever measure the distance of something with an always increasing yardstick?

In current dollars (US$), construction spending looks up. That is the illusion Fed Res bankers and politicians would like you to believe. In True Dollars™, the only invariant yardstick known to mankind, construction spending is down and continues to be down.

As you can see above, peak construction spending happened near peak GDP, which happened in Q4 2007. Back between 2005 and 2007, I watched thousands of farmland acres get turned into sprawling planned neighborhoods within spans of six to twelve months from the time ground had been broken. That is what boom times look like.

Today, I see almost no construction. This is what hard times look like.

You should know that always you can see the latest of these charts from the menu above.

Politicians and financial media reporters have told you many times that Obama turned around the economy and there was a full recovery. That simply is not true. Instead, Federal Reserve bankers merely papered over a declining economy through the process of quantitative easing. 

If you believe politicians and financial media reporters, spending today is practically the same as the all-time high. If that were so, shops would be full, restaurants would be full, wages would be rising by leaps and bounds.

See these: