Biotech Values

[zipjet]

Dew, Barron's Roundtable Article today is very interesting. Basically, 10 financial people state that basically our economy is going to hell in a handbasket, but that's not enough reason that the markets won't scream ahead 10% to 30% this year.

It is quite a problem.

The the federal fiscal authorities (Congress and President) have no coherent plan to restore full employment and balance the deficits (spending, trade and current accounts).

The monetary authorities can use their limited tools or allow financial sector and GDP to collapse.

Who wants the Fed Chair job in that situation? And who, understanding the situation would fiddle while DC burns?

Republicans largely want governmental budgets balanced by cuts, but they are not willing to do the necessary cutting. The Democrats favor balancing budgets largely, if not exclusively by tax increases, but are unwilling to raise taxes on enough of the population or by enough to balance the budget.

So if the fiscal authorities will not balance the budget, the FED is left in this catch 22 situation.

ij