More descriptively: the dollar bubble (looming) dwarfs the housing bubble (in the midst of) and the Nasdaq bubble (late 1990's)!
Think of the process of boiling water. As things heat up small bubbles form and everything looks like it is in an excited state. As the intensity increases the bubbles are released and rise to the surface. At first the bubbles that come to the surface are the small ones because they can travel through the medium more quickly because of their size.
The large bubbles which begin to form at the interface with the source of heat travel slower to the surface than the small bubbles but they bring with them a much greater volume of inflation. Eventually all the bubbles are large and all the bubbles come to the surface quickly causing total disruption of the medium.
There have been small bubbles coming to the surface ever since the adoption of a fiat currency. These small bubbles represented certain segments of the economy that were affected in specific ways by the manner in which the artificial credit entered into the economy.
But the ego-driven interventionists changed the temperature from medium to medium-high. Consequently the bubbles became larger and more frequent. The Nasdaq bubble is an example of the seriousness of a medium-sized bubble. At that size of inflation the surface of the medium churns and there are widespread secondary effects as the bubbles pop and splash in unpredictable directions.
Helplessly ignorant and hopelessly addicted, the ego-driven interventionists changed the temperature to high. The last of the medium-sized bubbles then comes to the surface but at an accelerated rate. That bubble is the housing bubble that we are now seeing!
When the first large bubble inflated by the high heat (chosen by the interventionists) arrives it will pop and exclaim - 'I am the dollar bubble!!!!!' Know then that the full boil of the medium is about to occur!
There is only one solution. Turn off the heat and ride out the volatility until it subsides. Stop inflating!
There is only one statesman in America who understands the economy - because he is a scholar in the classical liberalism tradition - and that is Ron Paul.
There are two sources of the inflation and both are taken care of by the Constitution. 1. The ego-driven interventionists (also known as politicians) are under oath to uphold the Constitution and should be convicted of treason if they violate their oath. The Constitution outlaws intervention. 2. The Federal Reserve is unconstitutional. Whether prosecuted for its crimes or made irrelevant by allowing gold and silver to be monies (as specified in the Constitution) the source of the inflation and its vehicle (a central banking system) will be terminated.
Tranquility and peace will return and from that and the other freedoms granted by the Constitution prosperity will return as our American birthright. That example will inspire the rest of the world and America will begin fulfill its destiny as a beacon of hope and justice.
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