Doctors attempt a radical surgery on little Alex in hopes that he will be able to hear for the first time.
Joseph: It's the debt, stupid! Our economy is too leveraged. That's what happens in a fiat money system. The central bank prints the money and injects it into the banks via open market operations, and that lowers interest rates - temporarily, a given income, EBITDA, NOI, etc... can cover more debt. It looks like it makes sense for a firm to borrow to invest in your next project - but for that to be profitable, consumers have to be saving to be able to boost consumption in the future - - - but consumers respond to low rates by spending more now and saving less, which reduces capacity to consume in the future. For a while, it looks great - spending is up, investment is up, thus GDP is up and jobs are up. But then the new money translates into higher prices, demand snaps back when consumers stop being able to borrow to finance consumption and must reduce consumption to service the debt, and the investments flop and commercial loans default. We've been through a number of these cycles, and the Fed's response to each has been to print-lend-spend and thus blow another bubble. A series of bubbles has left us with a lot of debt, no savings, companies afraid to invest because the prospects stink, and workers whose skills relate to past boom cycles (construction, oil...). Historically, cold turkey (sound money) has worked. It will be a painful few years but that's what we need.