Depopulation – More Really Scary Post China Talk

I really don’t like the pompous tone of the duet of doomsters over at the Automatic Earth.

DPC Heart of Chinatown, San Francisco, after earthquake and fire 1906

I like their propounding of the peak oil myth even less and I wonder why they do this (they are smart enough to know better), but if you want to hear some scary stories about where we’re headed the Automatic Earth blog is the place to go.

David Stockman reposted their recent comments on the Chinese devaluation and the inevitable deflation that will follow.

Some of this stuff will really give you the willies:

China is the end of the line…

The yuan devaluation shatters that hope once and for all…

Central banks are not “beginning” to lose control, they lost control a long time ago…

Debt deleveraging leads to … debt deflation…. It will now accelerate to wash over our societies like a biblical plague.

Deflation will obliterate our economies as we know them. Imagine an economy for instance where next to no-one sells cars, or houses, or college educations, simply because next to no-one can afford any of it….

Where everything that today is bought on credit will no longer be bought, because the credit will be gone. Where homes are not worth more than the cardboard they’re made of, and still don’t sell…

Where ships won’t sail because letters of credit won’t be issued, where stores won’t open in the morning because they can’t afford their inventory even if it arrives in a nearby port…

If you’re feeling a little too perky and want to slow yourself down you should head over to the Automatic Earth and read some more.

They head up most of their entries with mostly depressing photographs from the early part of the 20th century – many of them depression era shots – like the one that illustrates this post.

This isn’t really a world you can prepare for.

Now you know why all the rich guys are headed for New Zealand.


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