Demographics and real estate

Spengler makes the case that the financial shenanigans are actually the lesser evil:

It is fashionable these days to blame the Americans for borrowing instead of saving. In effect, Americans borrowed a trillion dollars a year against the expectation that the 10% annual rate of increase in home prices would continue, producing a bubble that now has collapsed. It is no different from the real estate bubble that contributed to the Thai baht’s devaluation in 1997, except in size and global impact.

The monster is not the financial system, crooked and stupid as it may have been. The monster is the burgeoning horde of pensioners in Germany and other industrial countries. It is easy to change the financial system. The central banks can assemble on any Tuesday morning and announce tougher lending standards. But it is impossible to fix the financial problems that arise from Europe’s senescence.

It’s interesting to see how often basic economics lines up in opposition to the secular narrative. Regardless, the evidence is rapidly accumulating that the progressive vision of the inevitable Shiny Secular Science Fiction Society requires far more faith than any religious fundamentalist has ever had to muster. The religious fundamentalist at least has the comfort of knowing that he cannot know what comes after this lifetime, whereas the secular fundamentalist is forced to deny the material events that are taking place right in front of his eyes. No wonder so many of them appear to be wearing blinders as they resolutely ignore everything that surrounds them.