He is not even correlating. He is simply denying history.
Bubbles form years or even decades before they finally pop. During that ballooning stage, they can indeed seem like good times, but it's hollow. It has no substance. Note the speculations of 1914 through 1929, resulting in a cash crash. Again in the 1990s through 2001. Again in the years leading up to 2007. People were investing in real estate that had business being in real estate. It was all a speculative bubble, brought about by housing rules implemented by Bill Clinton in the late 90's and enhanced by a Democratic Congress during the Bush administration. Further, keeping interest rates artificially low (the price of money is also a market. The Fed institutes prices controls on money itself) put too much money into the system at a time when wealth creation was being curtailed in favor of speculation. The Fed and the Democrats caused the 2007 debt crash.
Yet another demonstration that Keynesian economics doesn't work. You can't buy, borrow, or print your way out of a financial problem.
The U.S. government is too big. It spends too much money. It's broke. It can no longer pay its debt except with empty dollars printed from the Fed. Each taxpayer owes approx. $214,000 in their share of that debt. They can't afford to pay it.
The ONLY thing saving our ass right now is that practically all other nations in the world are doing the same thing.
It's a race to the bottom. Who will get there first. When it happens, it will be a worldwide crises. It will likely be war. Not WW3, but a worldwide Civil War, as each society chooses a different currency to use, rejecting the fiat stuff their government is printing.
That's bigger than Trump. No one can stop it now. It WILL eventually happen. The only question is, when? If Trump can do anything, he can do a lot to mitigate the worse effects of it here in the United States while he is in office.
In Japan, they are experiencing NEGATIVE interest rates. The government is PAYING the population to take their cash. Other nations are following suit. Will what happened to the Yen happen widespread?
Fiat currency came about as a result of the debts racked up during WW1 and WW2. Governments couldn't pay that debt. Now it's worse. Much worse. Currently, gold is trading at $3300/oz. If we return to gold as the currency, we could see $60,000/oz easily. Of course that would be in a world of multimillion dollar houses being considered cheap.
We shall see.
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