Last week I wrote about the US economy ending up in a Depression. Karl Denninger has a hard-hitting piece about our economic future that reaches a similar conclusion.   He believes that our economy could contract as much as 40%. While that might be difficult to accept, his points are well taken. If I were to object, it would be regarding the magnitude rather than the direction. But his number might eventually be correct. This economy is about to implode. There is no question that we are in for a massive change in our lifestyles. As I wrote in Worse than a Depression: We are witnessing the death of democratic socialism. No politician wants it to happen, but none can prevent it. We are at the point where the Ponzi concept of "extend and pretend" has been extended beyond social commitments and banking systems to entire economies. We are approaching what Ludwig von Mises described as "the crack-up boom": There is no means of avoiding the final...(Read Full Post)