What can you do with your money during a Great Correction?

Consumers are paying down their debt -- or defaulting on it -- at a rate of about 6 percent per year.

There are signs of weakening. GDP growth figures are being revised downward. Consumers aren’t spending. Banks aren’t lending -- except to the federal government.

Economists are finally beginning to ask questions. How come the economy isn’t doing better? Why aren’t consumers spending? Why aren’t businesses hiring?

Bill Bonner still has little doubt that this market is headed down. Why?

Eventually, the Fed probably will get the printing presses going. But not just because it is desperate to re-start the economy.

The Fed is in a trap of its own making. It doesn't really understand what is going on. It thinks there is a problem in the economy caused by consumers who are unwilling to spend.

The Fed has already shot off its monetary ammunition. It has been lending money without asking anything in return for the last two years. What else can it do?

After 18 months and $2.5 trillion in counter-cyclical budget deficits, people have begun to realize that the "recovery" is a flop.

It's really very simple. The private sector ran up too much debt. It didn't have the income to support the debt.