U.S. Moral Bankruptcy Could Lead to Economic Depression Fundraiser - Econ Lessons

[TexasTowelie]

Hi, my name is Mark. I am an Economist. I explain how moral bankruptcy among leaders in Washington and Moscow could, in theory, lead to economic collapse through a karmic butterfly effect. Drawing from Austrian economics and the Robinson Crusoe analogy, I explain why a system without property rights and moral foundations is doomed to fail.

With Washington implicitly enabling Moscow while cutting off key trading partners, the U.S. is accelerating its negative comparative advantage, increasing the risk of a severe recession. As reckless spending continues—outpacing even previous administrations—the Federal Reserve is left with no choice but to raise interest rates, potentially plunging the economy into a deep recession.

In this breakdown, I argue that good moral leadership is not just ethically necessary—it’s economically essential. Without it, the U.S. risks spiraling into economic decline, proving that moral bankruptcy leads to financial ruin. If we want to improve the world, we must see this connection between moral and financial bankruptcy.

[bucolic_frolic]

1. Economics & morality? I'm not following his reasoning.

The Fed created this monster with 25 years of low interest rates. Began with Greenspan's "extraordinary, extraordinary, extraordinary" low rates. That flooded capital markets with liquidity. A little money trickled down to those least able to manage it, and they bought houses, cars, educations they could never hope to pay back, and all the while the bulk of money went UP the income scale to corporations, CEO's, private equity, and Oligarchs. This wealth at the top has been manufactured by central bankers as they try to keep the economy steady. The loan is coming due. I think any reference to moral bankruptcy is ludicrous. It's simple greed, same as it always was.

[progree]

2. Wall Street Down 1.29% at 847 AM CDT

from Friday's close
S&P 500
Down 1.6% since election day,
and down 5.1% since inauguration day eve,
and down 3.3% year to date,
and down 7.4% from all-time high
Market quotes at top right of page: https://finance.yahoo.com/
S&P 500 history (daily highs, lows, and closes) https://finance.yahoo.com/quote/%5EGSPC/history/

"Trump Is Saving Consumers Millions.”

Update at 858 AM CDT: Down 1.42%
Update at 904 AM CDT: Down 1.78%