Dear Mr. LA Famous Dog, Sir:

OK, we sure can enjoy a good joke.  Believe me, every day I look in the mirror and laugh like mad!  It takes a Moron to know one... But seriously, the concept for you to use, when determining price points in any business, is to think about the consumers (Johns) of the services offered first.  My observation is that the Johns in the Transsexual area, come from the Upper levels of income and net-worth.  Is this in line with your general observations???  If the top 20-25% of income curtail spending, because the economy and the Stock and Bond Markets roll over, then they will reduce spending as their "Confidence" Drops...Not because they are "Broke."

"Confidence" in the USA is still high today...Fly to New York City, (Or LA or Frisco) go into a bar in an expensive hotel, and talk (BS) with some fellow drinkers.... Most will tell you that they are not really worried yet. By example only, over at Jefferies and Morgan Stanley, this day, in NYC a bunch of "high rollers" have been brought down by the prospect of -0- Bonuses this year, due to problems in the bond market.  This is merely used as an indication of what is coming...You may laugh at the way this is being described......but it is designed to serve as an indication of a sea-change in attitudes, which are just beginning to shift.  

Here is what matters:  You are Confident, you have a net worth of 1 million, so you spend $___________ on your "hobby."  Great!  You lose Confidence (economically speaking) you get depressed, you now spend $________ x .60 on your "hobby."  If conditions get really bad (late 2016--17) then the new multiplier will be .40, or whatever.  All aspects of the hobby are connected...but your very impulse to laugh, makes this analysis all the more useful to possibly consider.

Perhaps you ought to also think about the Projected Income Level of $150,000 for a provider.  Bet you think this is do-able today, for the best grulz???  If the Collective Confidence in the economy of the collective Johns Drops by 30%, do you think prices demanded now will continued to be paid??  Who knows, but this is the concept behind this analysis.

Analysis, not for this week, or next month, but for the coming annual periods ahead.  Dare it be said, please print this out and put it in you top desk drawer.  Read it in one year, when the providers cry crocodile tears, as all them that were trowing coin around lose their propensity to "over-spend."  Projections?? yes...let's see how this all plays out..let's see if these expectations eventuate!

Regards to you, Mr. Dog, you are truly a master of the game!

-- Modified on 10/20/2015 7:12:12 PM

Dear sserviceman,
It is a bit late, and, before the mockers emerge, a few key points can be made.  Economics is a dismal science, for sure.  

Since the Lehman entity was put under, the world has not been the same.  The monetary authorities have bot bonds and tons of junk from the banks for years.  This has driven the prices of treasury bonds to record highs. (record low yields).  The monies have remained as excess reserves held by the banks with the fed, and yield 0.25%.  Bank managements will not lend these amounts into the system, BECAUSE THEY KNOW WHAT I AM TELLING YOU, they know they will not get paid back, as the cycle turns down.  

The record low rates have destroyed the middle class.  EG: You are 64, and you have 200k in the bank.  If rates were a realistic 7%, then you would earn, risk free, $14,000.  Instead, you are paid maybe 1/2 of 1 % or $1,000.  Add in social security, and you can see the difference!  This year, -0- social security increase. All these are hurting now.  They have lost spending power.  They are very depressed.

Really good jobs are very difficult to get, unless you have a degree in systems or computer science, programming, certain kinds of math, etc.  The younger generation has Student Loans they can not pay and can not Discharge in BK court, thanks to Clinton.  HooHa indeed!  The government will not vote for Fiscal (Spending via congress) measures to open jobs to the underemployed.  Half the population has negative net worth..Taxes at the State and Local level are zooming up, as the public employees bleed everyone dry.  

Both parties, (except the Donald) are bot and paid for. The TWO GREATEST FACTORS are the long term collapse in the Velocity of Money, this is causing Deflation, and the Concentration of Wealth in the hands of the top 10%.  The Why is  best comprehended as follows:  Why should there be any Federal Debt??? All it does is kill the goose.  If there were -0- federal debt, and you were a Billionaire, you could not park $800 million in treasury bonds and sit on you ass.  YOU WOULD HAVE TO BECOME A CAPITALIST.  YOU WOULD HAVE TO INVEST, to make more money.  You might have to open a business and hire people to work for you.  The top 10% could not give a rat's ass...they are safe in treasuries...they are NOT capitalists.

Finally, when the panics, now starting in Euroland and Japan/China really get rolling, the wealthy there will move even greater sums into the Dollar, which will go UP!!! This makes all dollar debt harder to service and pay off.  The rising dollar will destroy the us Economy...just watch, you will see.  

Hence, my advice, spend nothing extra, save Dollars (the are going up in relative value, so you will win!). The cycle down may last for 4 years, into 2020. Only a world war can stop it now...you do notice how the potential for fighting, with Big Forces now, (Russia and China getting involved)...Russia in Syria, China with the South China Sea naval struggle for ocean sovereignty, is being amped up?  Hmmmmm.

Of course, as more and more lose confidence, more money will be Saved, out of fear, and a desire to be "protected." This will accelerate a downward spiral.  These are just a few high points of the dynamics that are emerging.  Watch the next 6 months and you will see what I mean.  If you don't see this by Jan 2016, post back and call me a fool.  Stay tuned! Protect yourself, if you can...every penny will be needed soon enough!

-- Modified on 10/22/2015 2:19:51 AM

-- Modified on 10/22/2015 2:21:00 AM