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Ok, It's Been 18 Months



May 19, 2010 – Comments (19)

The Recession (really a Depression) is pretty much at the 18 month mark now. 

It would have been over, we would be recovered, not recovering... RECOVERED, if the market had liquidated.

Told ya so.

Enjoy the bonus video while I chuckle at anti-gold bugs, their paper money fantasies, and what Obama is having for dinner.

David over coffee in Cali 


19 Comments – Post Your Own

#1) On May 19, 2010 at 12:38 PM, nthought (< 20) wrote:

The recession is over and we are in the recovery phase which will last another 18 months or so.  I urge you to be cautious with overdosing on the Gold. 

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#2) On May 19, 2010 at 12:45 PM, PeteysTired (< 20) wrote:

David -

The following is brilliantly written and I copied it from your link above.  The whole blog is good and I encourage all to read and rec.  I hope you don't mind me copying my favorite part here?

7. Richard can not imagine an actual free market economy.

A collapse of the megabanks scares Richard (and most people.) They can not imagine a world without Citigroup or AIG or maybe even GM. It's scary. Others businesses would fail. People would be put out of work. There would be chaos and maybe even, revolution. Why doesn't this scare me? Because I'd still have my brain, and you would too. As I have said before, mining for gold starts in your own brain. Those of us that have filled it with knowledge will prosper no matter what supposed calamity arises.  Having an imagination makes humans special. Nearly everything in our world was created thanks to the imagination of an individual. 

I also never fell for the easy credit ideas of the leveraged society. I bought only what I could afford. I lent only what I could afford. If I needed credit for an emergency situation, I paid it off quickly. I have never held a loan to maturation. Not a home loan. Not a car loan. Not a school loan. I pay for everything in cash these days. It's the reward for my success and my knowledge. It is people like me that would thrive should the big banks disappear. There are a lot of people like me. Do you think we deserve it, or would you rather have megabank bureaucrats in charge?

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#3) On May 19, 2010 at 12:58 PM, whereaminow (< 20) wrote:


I'm not overdosing on anything and have made no gold purchases in the last six months.  I just find it humorous that the most vehement supporters of the "we are recovering" crowd are also so ruthlessly anti-gold.  Probably because gold prices are a referendum on the incorrectness of the "we are recovering" part.


Thanks. And they say we are permabears.  Nonsense.  We are optimists in the power of individuals.  We are pessimistic on the power of a coercive group of bureaucrats to repeal economic law.

David in Liberty

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#4) On May 19, 2010 at 1:21 PM, nthought (< 20) wrote:

A short term spike in Gold markets is not a meaningful referendum.  In fact, it's probably an example of the irrational nature of some investors.  With inflation at 44 year lows, Gold has gone up solely on speculation.  That's why I've been urging people to get out of it.  My recent blog post outlines my case. 

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#5) On May 19, 2010 at 2:11 PM, whereaminow (< 20) wrote:


You are walking into a trap.

David in Qatar

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#6) On May 19, 2010 at 3:04 PM, nzsvz9 (< 20) wrote:

Question: What do tulip bulbs, the tech sector, the bio-tech sector, the housing market, gold and John Travolta have in common?

They've all been involved a bubble. Common folk dipping into rampant speculation are the people who'll get hurt when this bursts.

The eventual collapse of the Federal Reserve Note notwithstanding! Irrational exuberance indeed.

Now, that's a big if.

Known also as gold-loving nzsvz9

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#7) On May 19, 2010 at 6:32 PM, AltData (31.93) wrote:

I like gold, and it should be part of everyone's portifolio.

Aluminum would've been in a similar situation to gold if it wasn't discovered how to easily produce it.

Earlier in history Alchemists were highly discriminated against for their efforts to cheaply produce gold from lead.(Which is impossible.) That would've seriously devalued gold but it would still be a useful commodity in thousands of applications.

I believe a similar fear of the Gold interests today has seriously delayed our entry into space.

Cuz there's gold out thar, in them thar asteriods. ;)

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#8) On May 19, 2010 at 6:35 PM, AltData (31.93) wrote:

That's "asteroids"

I know I know.

I sound like a conspiracy nut.

blesto, who's always looking for investments past orbit.

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#9) On May 19, 2010 at 7:17 PM, ChrisGraley (28.61) wrote:

Gold is one of the few safe investments right now. This administration hasn't even started pumping enough money in the economy to buy the next election yet.

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#10) On May 19, 2010 at 7:55 PM, angusthermopylae (37.91) wrote:

I've always felt (no real numbers to back it up) that it would take 3-5 years before this thing got sorted out.  18 months in, 18 more months until the "recovery" is complete--sounds like the short side of my belief.

I'm tending to think it'll go 4-5 years in all:  4 years is pretty much a complete election cycle.  It's also forever in terms of the market, economics, and international trade...'s also long enough for criminal and civil cases to be filed, investigated, tried, and judged.  I say within the next year we'll see more pleas, deals, and "looking forward, not backward" with respect to who's going to get hung out to dry.

Humans...not very bright, but entertaining as hell...

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#11) On May 19, 2010 at 8:38 PM, whereaminow (< 20) wrote:

I'm surprised.  I expected to hear complaints that

1. How would I know that we would have recovered by now?


2. We are recovering and it's just a matter of time.

But I think people know that something is not right.

David in SacTown

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#12) On May 19, 2010 at 10:23 PM, HarryCaraysGhost (81.57) wrote:


Airing of greivances.

1. How would you know that we would have recovered by now?

2. We are recovering and it's just a matter of time.

But I think people know that something is not right.

1. cause you looked at the same numbers I looked at.

2. Bingo.

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#13) On May 20, 2010 at 12:26 AM, ChrisGraley (28.61) wrote:

After the airing of grievances, we need to move on to the feats of strength.

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#14) On May 20, 2010 at 1:11 AM, HarryCaraysGhost (81.57) wrote:


what was the pole called :)

A festivus for the rest of us.

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#15) On May 20, 2010 at 11:33 AM, nzsvz9 (< 20) wrote:

Festivus. My second favorite holiday, after Love Day.

(chuckles as the country goes down the drain)

Known as partied-while-the-USA-burned nzsvz9

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#16) On May 21, 2010 at 2:44 AM, FleaBagger (27.54) wrote:

David - It looks like I won't make it out to California while you're still there. I'm applying for a job as a stable hand in the Dallas area right now.

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#17) On May 22, 2010 at 10:33 AM, kdakota630 (29.11) wrote:

Another excellent video blog from Thomas E. Woods.

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#18) On May 22, 2010 at 10:34 AM, kdakota630 (29.11) wrote:

Wait, technically that's not a video blog, but it's good nonetheless.

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#19) On May 24, 2010 at 12:58 AM, MGDG (32.93) wrote:

David, I enjoyed the video and I agree with most of the points in Mr. Woods presentation. Unlike the first few comments, I didn't hear any reference to Gold in the presentation.

 While the weather has been a little on the cool side in Cali, I'm sure it's quite a relief from Qatar.

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