From The Auto Bubble To… Carmageddon

The corporate world is full of surprises and bottomless deceptions. We are being sold the perception that money buys happiness and sorry, it is completely untrue. Since the beginning of the industrialization era, the velocity of money has caught society at its own games and ignorance of Natural Laws. That we cannot cheat them, and when trying to do so, they fire back like a multitude of boomerangs!

In the Greater Schemek Of All Things

Every human is born with the right to access Natural Resources, meaning that any control schemes are a crime against humanity

Chickens come back home to roost. Today corporations are engaged in stock buybacks to make their balance sheets look great. Shareholders are taken for fools because they think that if the company buy its own shares, their investments remain safe. But in fact, the money/loans used for these buybacks are destroying pension schemes and create more social inequality.

Corporations spent 54% of their earnings on buybacks in 2018… and the media reassure us that the economy is vibrant!! They are the black holes of the world.

Corporations have always tricked the demand and supply with the blessing of central banks and their interest rates. And now, as a result, the entire global economy is distorted. We cannot be sure of the value of anything. But value is itself subjective anyway and therefore can easily be stretched by artificial demand.

Monetarism is just a smokescreen for manipulations. From The Tulip Bubble until today, nothing has changed. But let’s think further: this auto bubble and staggering unsold number of cars have required a lot of natural resources, and who is going to pay for that?

The plunder of Nature in the name of “profit-seeking” cannot and will not end well. Natural resources define global wealth and Nature will never cooperate with greed. Instead, when people see greed around them, they should immediately question their own knowledge, investigate and catch up.

Fighting greed while remaining ignorant does not work. That is why social structures claiming otherwise are a failure and never were able to prevent this massive plunder, which is going to impact us all at some point.

157 of World’s 200 Richest Entities Are Now Corporations https://steemit.com/informationwar/@earthcustodians/157-of-world-s-200-richest-entities-are-now-corporations

Over the last 100 years, there never was any wealth created but a mere transfer of wealth, along with the grand illusion for the masses which are going to inherit widespread poverty. But the few in power will make sure that universal basic income will help many afford at least one meal a day. Or two.

Recently Earth Custodians have come up with the following axiom, which we encourage you to quote to spread the truth: wealth extracts its power from ignorance. And as we can see here, this axiom does completely stands on its own. Undebunkable.

Stock Prices Are Surging Because Corporations Are Spending More Money On Stock Buybacks Than Anything Else . And the trend may not be done yet. Goldman Sachs predicted that share buyback authorizations among all US companies in all of 2018 will surpass $1 trillion for the first time ever. For the first time in a decade, Corporate America is steering more money into stock buybacks than investing in the future…. Apple (AAPL) alone spent a whopping $45 billion on buybacks during the first half of 2018, triple what it did during the same time period last year, the firm said. That included a record-shattering sum during the first quarter. …. (sept 2018) https://money.cnn.com/2018/09/17/investing/stock-buybacks-tax-cuts/index.html.

CRISIS In The Auto Industry – The Bubble Will Burst! (2018)

https://wolfstreet.com/2017/06/02/inventory-unsold-cars-hyundai-sales-crushed-gm-ford-others-struggle/

Secrets car dealers don’t want you to know
He worked undercover as a car salesman for three months, and he’s now revealing the secrets that dealers don’t want you to know.

Automakers are steadily increasing incentive spending, as U.S. light-vehicle sales continue to slow heading into the second half of 2017.
http://www.autonews.com/article/20170703/RETAIL/170709943/incentives-june-2017
https://media.ford.com/content/dam/fordmedia/North%20America/US/2017/07/03/june-17-sales.pdf

 

Why The Auto Loan Bubble Is As Important As The Student Loan Bubble
New car loans have become the new hot product and Wall Street
Together, loans for cars and education contributed 90 percent of the growth in consumer debt since the end of 2012
http://thefederalist.com/2016/04/04/why-the-auto-loan-bubble-is-as-important-as-the-student-loan-bubble/

Is the Auto Loan Bubble Ready to Pop? (2016)
While the media claims that this record has been reached because of drastic improvements to the US economy, they are once again failing to account for the central factor: credit expansion.
https://mises.org/library/auto-loan-bubble-ready-pop

Car buyers are going deeper in debt and for longer periods to afford new vehicles, with more of them leasing rather than financing to save a buck–is this a bubble that’s set to burst? Unfortunately, we suspect the car companies will continue to roll the dice as before, slap big incentive money on the hoods of their slower selling models as needed, and otherwise just wait and see which bubble, if any, bursts first.
https://www.forbes.com/sites/jimgorzelany/2016/12/07/why-the-auto-financing-bubble-is-really-an-affordability-issue/#70fb88e17644

The One Trillion Dollar Consumer Auto Loan Bubble Is Beginning To Burst (2016)
http://theeconomiccollapseblog.com/archives/the-one-trillion-dollar-consumer-auto-loan-bubble-is-beginning-to-burst
https://www.usatoday.com/story/money/cars/2016/09/06/car-loans-now-top-1-trillion-delinquency-rates-rise/89911210

 

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