Is the US headed for another great depression?

America’s sense of economic infallibility may be about to be tested.

Apart from the fact that the US dollar has been artificially inflated since it became the defacto standard for international trade, especially oil sales, the insane burden inflicted by military expenditure has stretched US financial resources to breaking point. Little wonder then that for the first time, the US treasury ceased to provide its M3 report last year. This is significant because the M3 reports the amount of money printed by the Treasury. The only reason for withholding this information would be to stave off a sell off of the all mighty greenback.

And so it is today: our empire won’t retreat from its distant borders but these same borders are bankrupting us for we never recovered from the Vietnam War, we literally papered over the mess which remained and continues to poison our nation. The military/industrial complex is not making us rich, it is making us poorer. And the paper being laid over all this is the same paper the Germans used in 1924 to paper over their own bankruptcy: printed money.

Is history repeating itself?

The housing bubble has been prolonging the inevitable, but the record number of foreclosures in the US indicate that this too has well and truly burst. They say that when the US sneezes, the world gets a cold. What then would be the reaction to a great US depression?

Text and images ©2024 Antony Loewenstein. All rights reserved.

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