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Is Uncle Sam your pusher?

Is Uncle Sam your pusher?

Worth It
Aug 29, 2011
One Comment

Overdose: The Next Financial Crisis grabbed my attention as it seemed to be a documentary focusing on the world economy that we’ve experienced this past month. What blew me away is that this film was made a year ago. So, and allow me to say, this film is surprisingly accurate and frighteningly prescient.

Swedish filmmakers, Johan Norberg and Martin Borgs, assemble a tightly packed history of the US (and world) economy since 9/11. They argue that the collapse of the World Trade Center was symbolically and literally the beginning of what has been a series of “bubbles” that have rocked global stability ever since. They explain the dangers of lowering interest rates to staggeringly low levels, as we’ve seen under Bush’s and Obama’s leadership. They concisely show how the poorly designed stimulus packages have falsely boosted the economy. And they explain, with the help of some impressive experts, that with these tactics the US government (and many of the G20 govt’s) have simply created the biggest and most dangerous bubble this world has ever seen. Except the bubble hasn’t burst yet, so we have only to wait and see when that will happen and what the true fallout will be.

“Overdose” is an apt analogy that I’ve never really  thought of before regarding the last 10 years of american economics. The idea is that the american economy is like an addicted patient. Say, an alcoholic. But instead of treating this patient with proper care, the US government has been continually feeding the patient greater quantities of alcohol. After all, while the drunk is drunk, he’s happy and content. But then the hangover hits so the Fed treats the hangover with more alcohol. With this kind of treatment, eventually the patient will die. It’s that simple. Of course, I hate to oversimplify political issues. So, it’s important to note that the film does build on this basic analogy with a wealth of clear data, evidence and expert clarification.

This 45 minute homily on foolish governments and corporations is well produced, organized, gripping and alarming. I say “alarming” because this film was made a year ago and the conclusion of the film essentially warns of what we have been experiencing in the global economy for the last month. They predict the dangers of the US credit rating being dropped from a AAA, which it just did. The stock market got rocked the following day, showing losses unlike anything we’ve seen in years. They predict the increasing troubles in Greece, Italy and other EU nations. They explain that if the US defaults on its international loans (with China, mainly), we will definitely see a world-wide depression unlike anything we’ve ever experienced. It’s all very doom and gloom. And yet, have you seen the news these last few weeks? Why do you think that even in light of all the schoolyard bullying going on in Washington they were able to lift the debt-ceiling in the final hour? Why did they sent VP Biden to China repeating the mantra, “The US will never default, the US will never default…” ad nauseam to the Chinese government? It’s because US government knows that, indeed, if they did default that it would trigger the darkest days America has experienced in almost a century.

So, there’s your pick-me-up for the day! Now if you’re brave enough, you can see it for yourself on YouTube for free and in HD –> Overdose: The Next Financial Crisis


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Craig the Critic

Comments:

  1. I loved the information, but the editing drove me insane. The editor seems like he plays waaaaaay too many video games and watches too many 80s music videos.

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