Editor’s Note: I don’t emphasize this point because it wouldn’t change anyone’s mind. But the comparison Dalio put on the table is one with which I am familiar.
Nobody in Germany ever imagined that an extremist nut like Hitler could ever rise to power, that inflation would be going at 2500% per month and the economy would fall apart. Germany was strong — or so everyone thought. Now as he points out the neo Nazi party is having a resurgence in Greece where the economy is approaching the same free-fall as Germany in the 1930’s.
Unless we fix the housing crisis and the resulting inequality of wealth and income in this country, we are flirting with social chaos. And the fringe people will be delighted because it will show that they were right all along about the apocalyptic vision they have for this country.
Like Clinton has been saying, we are far passed the point where ideology even matters. It is a matter of whether we want to keep our society intact and under the same government that we started with. Remember that all “empires” eventually fall and each time they felt, the vast majority of people thought it could never happen.
Posted on September 21, 2012 by Neil Garfield