As Obama's former economic advisors argue in the financial press that the 3.2% booming GDP numbers are not real, but, in fact, merely one offs while the real economy is dying. Who to believe? Karl Denninger of Market-Ticker.org believes the naysayers. Things may look rosy and the stock markets are hitting all time new highs, but very little of it is trickling down to the real economy. They look at the specific case of California, the fifth largest economy in the world, where recent data suggests companies in the state are earning a near 60% profit margin. That is because, Denninger says, they don't produce anything but stuff that costs nothing to make — including getting new-age taxi drivers to take on all the risk of transporting passengers while the software owner collects all the reward. But if extractive business models with predatory practices are the future, what next for the economy? Tune in to hear more.
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