I like the gambler analogy, but here is a better one (IMO) that I tell my friends and family:
Imagine you're a banker and one of your clients is coming in to ask for an increase in his line of credit. You review his finances and find that he makes $49,000 per year, but spends $62,700 per year. And, he already has used all of his $314,000 Line of Credit with nothing acquired that could be used as collateral, and is asking for $15,000 more to get him through the next year. "Trust me", he says. Would you loan him more? At least without doing something about the income/spending discrepancy??
These are 2022 numbers, divided by a trillion then multiplied by 10,000.to put it in the range of an average wage earner.
Maybe they should start a war on wisdom. (Proverbs 9:10 The fear of the LORD is the beginning of wisdom, and the knowledge of the Holy One is understanding.)
Bill, I have been a Republican most of my life, I still believe in less government, less taxes and more issues passed down to local and state governess. I enjoy your letters, but it seems as you always see the Democrats as the spend thrifts. I wish this was true, but unfortunately it is not. One just has to look at the deficits of every administration starting with George W Bush and bring it forward. George was roughly 8 trillion in 8 years. Obama, 8 trillion in 8 years . Trump, 8 trillion in 4 years and now Biden's mess. It doesn't matter if you spend it on welfare handouts or an ill advised war, it is still spending and it is still debt. Neither party now has any idea on how to be fiscally conservative. It seems as if which ever party is not in charge blames the other for spending too much...
I keep statements in Word that I like to pass along. (I have to write them down because my memory is poor.) Per Bill's memo today, I'm reminded of his statement awhile back:
"With the internet, the world might be stuffed with information, yet starved for wisdom." -- Bill Bonner
The internet does indeed provide vast amounts of information, and that’s the problem. Our brains can only analyse and classify a modest flow of information. Hooking them up to the internet can be like filling a teacup with a fire hose.
Our brain reacts to this abusé be re-wiring itself to soak up whatever comes with no analysis or evaluation.
That’s why Eric Schmidt could say: “I don’t think folks want Google to answer their question. I think they want Google to tell them what to do.”
The consensus in the media, raise the debt ceiling, lower spending, and somehow that makes sense in Washington, DC? Last time I was near bankruptcy, the debt ceiling was sent to the bilge, while we sold off the deck furniture on our Titanic. It was hard selling off some rare gold coins but they got the pumps going and righted the ship. With no one in DC possessing a modicum of fiscal restraint the USS Dollar is sure to hit bottom.
I’m sure Joe Biden and his poor deranged son could cough up a couple of regurgitated billions coming back to them through the Ukraine 🤔…the democrats do prove that theft and corruption pay off 😳, they just never understand at what cost…hey, what’s an individual soul, or the soul of a nation when you get to reign forever in hell 🤔
Bill, your getting media savvy by 'conflating' historical irrelevant with relevant current issues .. nice try but I suspect that AI will give a slight short reprieve to the impending necessary financial stock market collapse .. at the end of the day we are ALL gamblers .. we just need to learn when to hold em and when to fold em ..? I think Tom and Dan know only to well as do all of you it's time to hold em and travel and enjoy while you can because once the sh** hit the fan the travel/good life will end for a while .. how long who knows?
Politicians: You want something Then pay for it with tax receipts. If there are not enough tax receipts to cover it. Then, cut something else. Or, propose a new tax.
Politicians then ask their constituents to send more money.
If constituents want it they will pay. If not, you don’t get squat.
Feeling melancholy today as I read “Un-civilizing America.” As my time on this glorious planet wanes, I regret my lackluster impact. Sure, I’ve been sort of productive, made a meager contribution. For the last 20-odd years as an Oxford Club member, following Mr. Bonner et al, I could have, should have, done more, maybe or maybe not. Bill’s logic has always made sense to me. It reminds me of my early desires to be like the Count of Monte Cristo. That was not to be, but it’s okay. We do what we can. I guess this is an expression of thanks.For whatever it is worth, I appreciate
Please, can't we give defaulting on the national debt a chance?
I like the gambler analogy, but here is a better one (IMO) that I tell my friends and family:
Imagine you're a banker and one of your clients is coming in to ask for an increase in his line of credit. You review his finances and find that he makes $49,000 per year, but spends $62,700 per year. And, he already has used all of his $314,000 Line of Credit with nothing acquired that could be used as collateral, and is asking for $15,000 more to get him through the next year. "Trust me", he says. Would you loan him more? At least without doing something about the income/spending discrepancy??
These are 2022 numbers, divided by a trillion then multiplied by 10,000.to put it in the range of an average wage earner.
The war on poverty has resulted in more poverty.
The war on drugs has resulted in more drugs.
The war on terror has resulted in more terror.
The war on crime has resulted in more crime.
Maybe they should start a war on wisdom. (Proverbs 9:10 The fear of the LORD is the beginning of wisdom, and the knowledge of the Holy One is understanding.)
Bill, I have been a Republican most of my life, I still believe in less government, less taxes and more issues passed down to local and state governess. I enjoy your letters, but it seems as you always see the Democrats as the spend thrifts. I wish this was true, but unfortunately it is not. One just has to look at the deficits of every administration starting with George W Bush and bring it forward. George was roughly 8 trillion in 8 years. Obama, 8 trillion in 8 years . Trump, 8 trillion in 4 years and now Biden's mess. It doesn't matter if you spend it on welfare handouts or an ill advised war, it is still spending and it is still debt. Neither party now has any idea on how to be fiscally conservative. It seems as if which ever party is not in charge blames the other for spending too much...
AI can be no smarter than the smartest person. Intelligence is not what is lacking in this country, it is common sense that we are short of
Starting to think the AI thing is another avenue to get VC money. Go public and then dump the stock on the herd.
I keep statements in Word that I like to pass along. (I have to write them down because my memory is poor.) Per Bill's memo today, I'm reminded of his statement awhile back:
"With the internet, the world might be stuffed with information, yet starved for wisdom." -- Bill Bonner
The internet does indeed provide vast amounts of information, and that’s the problem. Our brains can only analyse and classify a modest flow of information. Hooking them up to the internet can be like filling a teacup with a fire hose.
Our brain reacts to this abusé be re-wiring itself to soak up whatever comes with no analysis or evaluation.
That’s why Eric Schmidt could say: “I don’t think folks want Google to answer their question. I think they want Google to tell them what to do.”
The consensus in the media, raise the debt ceiling, lower spending, and somehow that makes sense in Washington, DC? Last time I was near bankruptcy, the debt ceiling was sent to the bilge, while we sold off the deck furniture on our Titanic. It was hard selling off some rare gold coins but they got the pumps going and righted the ship. With no one in DC possessing a modicum of fiscal restraint the USS Dollar is sure to hit bottom.
Maybe we need to refer the Federal Govt to “Borrowers anonymous”.
Do we have such a thing?
I’m sure Joe Biden and his poor deranged son could cough up a couple of regurgitated billions coming back to them through the Ukraine 🤔…the democrats do prove that theft and corruption pay off 😳, they just never understand at what cost…hey, what’s an individual soul, or the soul of a nation when you get to reign forever in hell 🤔
Today's NVDA Close: $304.15
Today's current price in after-hours trading): $382.70
Profit since today's close: $78.55 / share
Blowout earnings!
Bill, your getting media savvy by 'conflating' historical irrelevant with relevant current issues .. nice try but I suspect that AI will give a slight short reprieve to the impending necessary financial stock market collapse .. at the end of the day we are ALL gamblers .. we just need to learn when to hold em and when to fold em ..? I think Tom and Dan know only to well as do all of you it's time to hold em and travel and enjoy while you can because once the sh** hit the fan the travel/good life will end for a while .. how long who knows?
Stop blaming parties. Who cares?
The problem is Washington DC.
Simple: take away the Credit Card.
Politicians: You want something Then pay for it with tax receipts. If there are not enough tax receipts to cover it. Then, cut something else. Or, propose a new tax.
Politicians then ask their constituents to send more money.
If constituents want it they will pay. If not, you don’t get squat.
Feeling melancholy today as I read “Un-civilizing America.” As my time on this glorious planet wanes, I regret my lackluster impact. Sure, I’ve been sort of productive, made a meager contribution. For the last 20-odd years as an Oxford Club member, following Mr. Bonner et al, I could have, should have, done more, maybe or maybe not. Bill’s logic has always made sense to me. It reminds me of my early desires to be like the Count of Monte Cristo. That was not to be, but it’s okay. We do what we can. I guess this is an expression of thanks.For whatever it is worth, I appreciate
Bill’s perspective and his consistency.
This conversation is to old,and has gone on for too long.Government defaults=new connversation.