Snapshot Of Our Calamity Economy

Rome, civilization shows,
is known for the circus games...

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Rome, civilisation des spectacles, est connue pour les jeux du cirque, mais on ignore que le théâtre y tint une place au moins aussi importante.

Les Romains, dès la République, allaient au théâtre dix fois plus que les Athéniens. Ce livre veut donc rendre justice à la tragédie, la comédie, mais aussi au mime et à la pantomime romaine. Car ce théâtre fut aussi profondément original. Par la place qu'il tint dans la vie du citoyen romain, comme espace de libertés - liberté politique et libération de l'imaginaire. Parle statut ambigu des acteurs véritables stars, ils fascinent les Romains, reçoivent des cachets somptueux et sont suivis par des foules d'admirateurs, en même temps qu'ils sont marqués d'infamie et assimilés à des prostitués.

Par le caractère musical des représentations, chantées et dansées, où il faut voir l'origine de l'opéra. Il est impossible de comprendre ce que fut véritablement Rome si l'on ne reconstitue pas ce loisir privilégié du citoyen, qui peu à peu dévora sa vie privée et publique, au point que saint Augustin, à la fin de l'Empire, définira le Romain comme un spectateur, pour ainsi dire, " drogué " de théâtre.

English "translation"
Rome, civilization shows, is known for the circus games, but it is unknown to the theater held a place at least as important.

The Romans, when the Republic went to the theater ten times more than the Athenians. This book is therefore to do justice to the tragedy, comedy, as well as mime and pantomime Roman. Because this theater was also deeply original. For the place it held in the life of a Roman citizen, as a space of freedom - political freedom and liberation of the imagination. Ambiguous status of the actors talking real stars, they fascinate the Romans, the stamps are gorgeous and are followed by crowds of admirers, while they are marked with infamy, and treated as prostitutes.
The musical character of representations, song and dance, where to see the origin of opera. It is impossible to understand what was truly Rome if we do not reconstitute the privileged leisure of the citizen, which gradually devoured his private and public life, to the point that St. Augustine at the end of the Empire, will define the Romain as a spectator, so to speak, "drug" in the theater.

The economy is going back to hell, but stock markets are surging. Nothing new. We've been there before. It always ends in tears. But this time, the Fed's money-printing strategy will make things only worse. Today's horrid numbers show us why.

Red-hot inflation in August. CPI is up 3.8% from a year ago and .4% from July. For the last three months, it's running over 5% on an annualized basis. But wait: That's inflation in goods and services. Stuff we spend money on. Not wages!

Wages dropped 1.8% from a year ago and .6% for the month on an inflation-adjusted basis, continuing their inexorable 12-year trajectory, having peaked in 1999. Since then, they have dropped 8% or so, depending on who's doing the counting (the Census Bureau yesterday announced a drop of 7.1% from 1999 to 2010, not including the decline since).

The combo of rising inflation and declining real wages is the formula the Fed has chosen. And it has been vocal about it (for more detail, read my Dear-Ben posts). It causes the creeping impoverishment of the middle class. Just yesterday, the Census Bureau reported that 46.2 million Americans live in poverty, more than ever. So, don't expect that middle-class consumer to rev up the economy.

Corporations have offshored production and investments, particularly to China. Consequence: job creation in these countries and job destruction in the U.S. Today, we got another ugly detail, weekly jobless claims, which jumped to 428,000. Offshoring is also responsible for our gigantic trade deficit: $433 billion through July. Government deficit spending, a "stimulus" of sorts, has been used to fill the holes for the last ten years, but now, the economy is addicted to it, and even a $1.5 trillion deficit—10% of GDP!—isn't enough anymore to keep it growing. So, this is the end game. In its infinite wisdom, and as an election ploy, the White House has called for even more deficit spending in its jobs bill. I mean come on. Do the dang math.

Fed Surveys are deep in the negative. New York Fed's Manufacturing Survey is depressing. General business conditions dropped to -8.8, new orders stayed at -8.0, shipments plummeted 16 points to -12.9, prices climbed (inflation heating up), and employment fell (whole report). The Philadelphia Fed's Business Outlook Survey came in at -17.5, an improvement over the collapse last month, but still deeply in negative territory (whole report).

Another kick at the housing market: Foreclosure activity spiked in August. Homes that received an initial default notice jumped 33% nationwide and 55% in California, according to RealtyTrac. Banks are finally grappling with their huge overhang of mortgages that have been in default for months or even years, while people live there for free. Bank of America's default notices jumped 200%. Eventually, these homes will end up in foreclosure sales. Watch for downward pressure on home values.

Read The Rest at Testosterone Pit

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