I found this article from a former Australian Prime Minister, who was deposed after suggesting raising taxes on the mining industry, to be very insightful.

http://www.themonthly.com.au/monthly-essays-kevin-rudd-global-financial-crisis–1421

Ed Note: Could not disagree with him more. The last thing we need is more big government. That is the problem not the solution, or even a part of it. This guy wanted to tax the Australian mining industry back into the ground to pay for socialism in one country, and they kicked him out. There will be much more of this revulsion against big government. The spending has to stop.

I’d hate to see big government, but I’d like to see a government that gets the balance between the needs of industry and the needs of society right. They both need to be nurtured so they both can grow.
Industry needs society, society needs industry.

You think this is bad, wait until the automatic budget cuts come in after December 23, when the super committee can’t agree on cuts (unless the Democrats give the Republicans whatever they want again) to the Federal budget. Cuts of that magnitude will probably tip the US economy into a recession next year.
Of course, before then, the European debt crisis must be solved by the Germans agreeing to bail out much of Europe. Then again, problems could surface when the other 2 rating agencies also downgrade US debt. And of course, S&P said that the USA is on negative watch with another downgrade possible within 6 months. If, as I expect, the super committee deadlocks along party lines, don’t be shocked if they immediately issue another downgrade. I’m no debt or financial expert, but I would expect another notch down by S&P to set off a MUCH greater crisis than the last one, especially if it happens when the country is in a recession. A LOT of institutions may not want to own US debt after ANOTHER downgrade because they will begin to think, “How long before the NEXT one? Lets dump this crap and buy the new euro bonds.” I wouldn’t want to own bank stocks if they downgrade again.
Want to see the legal power of the US President to steal any gold inside the USA. (It happened once already in 1933.) Go to CNBC US TV and search ‘Jim Rickards’. Watch the first video, ‘Gold Surges Above $1700′ I never heard of the International Emergency Economic Powers Act. I can remember many years ago, when a friend told me about how he was near a dock in New York when all of a sudden a small army of guards showed up. He asked one of them what was going on, and was told they were guarding a gold shipment. It may have been the French removing their gold from US banks in New York. Smart move, if it was.
You definitely want to watch ‘Inside Job’ if you haven’t seen it. The Marc Rich pardon by Bill Clinton listed in the description of the IEEPA in Wikipedia, reminded me of the ‘Inside Job’ types that bought the US government.

Rogoff is an intelligent person with Keynesian blinders on his eyes. Yes, “more QE” will ease the pain for a very short while; but since debt is the principal problem, why do these Keynesians fail to see that adding more debt ain’t gonna help. At some point in the near future, no amount of QE can help.

From a global perspective, the US FED’s printing $16 Trillion and distributing it among the world’s banks from 2008 to Dec 2010 has done almost nothing, unless you are a member of the Banking Elite. The systemic problems of 2007-2008 timeframe have not been addressed (nor even discussed!), but swept under the rug. Keynesian economics has been disgraced globally, yet these fools want to perform the same experiment again.

Einstein’s definition of insanity:
I think it was Einstein who said “insanity is doing the same thing over and over again, and expecting a different result.”

These Keynesian fools never learn!

Word is that Max Baucus from Montana will be one of the Democrats on the super committee. If so, the Republicans will get whatever cuts they want by a 7 to 5 vote. He wants to get reelected out there in rancher/mining/cowboy country.