When capital can\'t earn a return(mannfm11)

the one most of the USA has been in. Cut out Wall Street and therearen't many people doing as well as they were 8 years ago and as far asthat goes, as well as they were doing 20 years ago. When capital can'tearn a return (3.5% bonds now, 5% at the peak)it is generally becausethe economy is pushing on a string. There is an industry that hassprung up since the 1960's called the consumer credit business. It hasdriven out all production in the US. There is a very slim amount ofproduction in the US. What do you think $10 is today, minimum wage in1969 is what it is. My father made $20,000 a year in the early 1960'sin a part time job. He worked 6 to 8 weeks in the fall, 6 to 8 weeks inthe spring selling a few lines of men's clothing, drank beer and wentto the lake all summer and hunted nad fished in the winter. A newCadillac was $5000 decked out and the gas that went in it was $5 atank. $20,000, you can get in public housing today if you know who tocall, can't afford a car unless there is fancy financing, need foodstamps if you have kids, can forget about clothes from anywhere besidesWalmart and K-Mart.

There are a hell of a lot more peopletrying to live on $10 an hour or less than are making over $45,000 ayear. The whole thing is financed, financed consumption aka the NewDeal of the 1930's. We have merely found a group of people to deal withthat have been so poor, they have allowed us to live like kings in adepression and now are about to find out how monetary economics works.