Today, he proves his understanding of the political impossibility of hyper-deflation in our derivative-protected, debt-denominated universe of financial assets. All 1.75 quadrillion worth. A number scoffed at many times since 2009 when I first proclaimed it at letthemfail.us, and now uttered as non-chalantly as the price of Apple.
Certain commodities, like gold, are clearly exempt from this phenomenon for related political reasons - and oil is a special case because the Western geo-political / geo-monetary system does not wield complete control over this asset (with energy valuation a wild card due in part to the intricacies of the petro-dollar unwind).
If indeed Charles MacKay pointed this out as early as 1851, then we should perhaps acknowledge the pedigree of A, FOA and FOFOA as following in similar footsteps. The footsteps of Giants. Generations of wealth reaching back far further than the 1850's to wit.
To speak plainly ... the socialization of systemic debt through QE is going to be, without question, a cornerstone of the new normal for as long as the status quo can be maintained - despite all attempts from the FED and its partner CBs to manage expectations to the contrary. If it becomes a public nuisance, it will be accelerated opaquely. Transparency has never been a quality that CBs have been known for, and it never will be.
And the atrocities that will continue to be heightened in places like Ferguson, and now Baltimore (the "Land of Pleasant Living" I grew up in) are at least partly owing to the complete destruction of meritocracy - which in itself is a hallmark of the decaying values of a system based on aging debt pretending to be wealth, as it is politically protected from default by "whatever it takes".
You may be shocked by "what it takes" to end our system of rewarding failure and punishing success. Before it happens you will see success punished and failure rewarded in all you see and do. It will encroach your personal finances, your work, your community, your health and your relationships in many facets.
This is the price we pay, as more and more people gradually realize the cost is too high, and begin their exodus into the physical plane.
It is happening now, as seen by those with the proper lens to view it. We watch.