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The Postcatastrophe Economy: Rebuilding America and Avoiding the Next Bubble [Hardcover]

Eric Janszen
4.5 out of 5 stars  See all reviews (33 customer reviews)

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Book Description

September 2, 2010
How government and business can work together to secure our economic future.

The 2008 crisis was just the beginning; according to sought-after analyst Eric Janszen, an even bigger financial catastrophe is imminent. Inclined to disbelieve him? He predicted the last two busts months before they happened.

Our problems, according to Janszen, are rooted in the flaws of the debt-driven FIRE economy (Finance, Insurance, and Real Estate). Applying the tried-andtrue methods of currency depreciation, tax and interest rate cuts, and fiscal stimulus will not work this time around. The only way out is to change our fundamental approach.

The solution is to use private and public monies to develop major for- profit transportation, energy, and communications infrastructure projects. These projects will spark employment and growth, reduce U.S. dependence on foreign energy and our foreign debt, and improve the efficiency of the economy for all growth industries in the twenty-first century.

This thought-provoking book offers solutions for a more sustainable and stable economic future.


Frequently Bought Together

The Postcatastrophe Economy: Rebuilding America and Avoiding the Next Bubble + Currency Wars: The Making of the Next Global Crisis + When Money Dies: The Nightmare of Deficit Spending, Devaluation, and Hyperinflation in Weimar Germany
Price for all three: $49.56

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Editorial Reviews

Review

Early Praise: "Janszen's done it again! Recent books on investing rehash the drama of Wall Street's mega-meltdown, shadowy derivatives, subprime mortgages scam, and too- big-to-fail banks. But that's old news. The Great Recession is over. Investors need to know what's next, and how to invest successfully for the future."
-Paul B. Farrell, columnist and author of The Lazy Person's Guide to Investing

"Eric Janszen has written a powerful and important book about how we can build an American economy in which 'finance once again serves the productive economy instead of rules it.' He describes the job-creating industries of the next ten years and what we have to do to make them thrive."
-Former U.S. Senator Bill Bradley

"There are many who offer a view of what is going to happen to the economy in the future, but few that do so with a strong foundation in financial history and even fewer that have a track record of being correct. Janszen's book is a must- read for any serious investor."
-Weston M. Hicks, President and CEO, Alleghany Corporation

"Janszen provides an unmatched and essential perspective on the financial system's complexities and offers long-term solutions for today's challenges. It's our job to prudently align large pools of capital with secular trends; we have come across no better roadmap than The Postcatastrophe Economy."
-Paul & Wesley Karger, Managing Partners, TwinFocus Capital Partners

"An outstanding read. Eric Janszen's prescription for a more fundamentally sound energy policy is especially perceptive. Janszen's book addresses not only what needs to be done, but the proper roles of government and private interests in securing the real transformative change our economy needs."
-Joe Petrowski, CEO, Gulf Oil

"Can America's economic potential be reached in the face of the debt deflation that Janszen describes? This book describes the financial lobbying and political interests that need to be dismantled for the economy to revive."
-Michael Hudson, Distinguished Research Professor of Economics at University of Missouri, Kansas City

"We need to know where we will be when we get out of this mess, and the Fed's combination of nostalgia, raw hope, and guesswork does not give much guidance. Eric Janszen, seeking scope and depth, contributes significantly to the next, necessary debate."
-Martin Mayer, Brookings Institute Guest Scholar and author of The Fed and the Markets

"Eric has written a book suggesting how we can avoid the worst consequences of our folly as Americans struggle to pay down debt in a damaged economy. If we follow his advice, we may find alternative energy resources and increase productivity in time to become self-sustaining before the United States creates a new financial crisis that will make the current one look like a business boom."
-Janet Tavakoli, president, Tavakoli Structured Finance, and author of Dear Mr. Buffett

"Eric Janszen reinforces the need to look for entrepreneurs to create new companies and new jobs, not to simply expect government economic policy to do so, and this is an all too rare perspective. Refreshing and cogent."
-Bart Stuck, Managing Director of Signal Lake Venture Partners

"Unlike the many 'told you so' books of the past year, Eric Janszen takes a hard look at the foundations of the Great Recession of 2009, explaining why gold prices rose, why the U.S. dollar is safer than we think, and why houses make terrible investments. And rather than suggesting another round of post-hoc regulation, Janszen points the way towards a sustainable future in infrastructure investment. Janszen has the goods."
-Scott Reynolds Nelson, Legum Professor of History, College of William & Mary, author of Crash: An Uncommon History of America's Financial Disasters

"Eric Janszen gives us an eloquent and straightforward analysis of the serious challenges that face the United States today, and a prescription for how America can return to a position of greatness from an author who is optimistic and confident of the resilience and entrepreneurial spirit of the American people."
-Jim Goldinger, founder, Fairhaven Capital Partners

About the Author

Eric Janszen is a financial analyst with more than two decades' experience in the technology industry as an executive and venture capitalist. In 1998 he founded iTulip.com, a financial analysis company that has had an amazingly accurate record of predictions. He wrote an acclaimed cover story for Harper's about economic bubbles and is now a regular contributor to the magazine's Web site.

Product Details

  • Hardcover: 224 pages
  • Publisher: Portfolio Hardcover (September 2, 2010)
  • Language: English
  • ISBN-10: 1591842638
  • ISBN-13: 978-1591842637
  • Product Dimensions: 6.3 x 0.8 x 9.2 inches
  • Shipping Weight: 15.2 ounces (View shipping rates and policies)
  • Average Customer Review: 4.5 out of 5 stars  See all reviews (33 customer reviews)
  • Amazon Best Sellers Rank: #773,221 in Books (See Top 100 in Books)

More About the Author

Over 20 years of experience as a product management and sales executive in the high technology industry. CEO of two venture-backed companies. Managing Director of a seed stage investment firm that enjoyed six liquidity events, including two IPOS and four sales to Cisco, Microsoft, Nortel, and EMC. Founder of iTulip.com in 1998, and President of iTulip, Inc. since 2006. Author of "The Postcatastrophe Economy" in 2010, Harper's Magazine cover "The Next Bubble" in 2008, and co-author of "America's Bubble Economy" in 2007, and frequent writer for the Harvard Business Review. Speaker at a range of investor conferences from MIT and Standford to Hard Assets NYC and Las Vegas. Interviewed on national shows including NPR and CNBC, and quoted in numerous publications internationally. University of Massachusetts, Amherst Eleanor Bateman Alumni Scholar in 2010. Serves on several Advisory Boards including Twin Focus Capital Partners and on the Board of Directors of Article One Partners.

Customer Reviews

I read a lot of blogs. rjwjr  |  4 reviewers made a similar statement
Most Helpful Customer Reviews
29 of 32 people found the following review helpful
5.0 out of 5 stars In A League of His Own September 2, 2010
Format:Hardcover
Simply put, for over a decade no one else, save Eric Janszen, has foreseen with such clarity each and every twist and turn in the U.S. economic road. His data driven forecasts and just in time warnings of the tech bubble, housing bubble & following recession, global central bank reflation, disinflation, inflation and the predictable political response to each, put him in a class by himself.

In the past he eloquently presented detailed analysis of the two (FIRE + productive) economies within one. In the book he summarizes, in highly readable form, this analysis and discusses:
- the dominant former FIRE (1971-2007) and how it eclipsed the productive sector
- the impending debt deflation
- the stagflationary outcome
- the central bank response
- the role of gold
- and the policy alternatives to steer through this mess

The focus and thrust of the book is on the last point and there the discussion involves well thought out objectives and plans to steer us through this transitional economy and back to productive supremacy.

What better source exists for determining the proper course of action going forward for U.S. Economic Policy than this entrenpenueur and macroeconomic analyst?

If you care about your own financial well being or your children's, this is a must read to navigate the scenario ahead.

If you are a policy maker, perhaps this clarity will lend the courage necessary to thwart financial & political interests and economic ignorance that continue to pull our ship off course.
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23 of 26 people found the following review helpful
5.0 out of 5 stars A fresh look September 2, 2010
By Jay
Format:Hardcover
If you are looking for answers as to why we are in such a terrible economic mess and want a fresh perspective on how we might get out of it, this is the book for you. Most main stream views are co-opted by big finance, and yet the alternatives often devolve into doomer dreck. Mr. Janszen has been a forward thinking economic voice for over a decade and has been gaining traction with the public for his unwavering commitment to sound economic analysis and his remarkable record of being right. Among the many contrary views that he has held and has been proven right about are: calling the top of the dot com bubble, investing in gold at its nadir, describing the real estate bubble and predicting the date of its end, and also calling the stock market collapse in 2008. This book continues that trend of prescience and offers insights into what steps need to be taken from here to turn the economy around. Who would you rather listen to, a media face screeching falsehoods, or a well written voice with a track record of being right?
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17 of 20 people found the following review helpful
5.0 out of 5 stars Janszen At His Best September 2, 2010
Format:Hardcover
Eric Janszen has the uncanny ability to analyze and assimilate complex data and situations and challenge mainstream views with "macro" conclusions that time and time again prove to be correct. His contrarian calls have included loud warnings of the stock market crash of 2000, investing in gold in 2001, predicting the 2007 collapse of the housing and credit bubble, and laying out the multi-year stages of its decline (SPOILER: It ain't over yet.)

You might assume then, that Janszen is just a predictor of doom, making one negative call after another. Not true. He is an entrepreneur who believes in the American spirit, and The Postcatastrophe Economy lays out what it will take to rekindle the fire of America's productive economy in our 21st century world. Witty, intellectual and never trying to be popular, Janszen cuts through partisan rhetoric to make his impartial assessments and recommendations. I sincerely hope the ideas in this book resonate with the American people and our leaders. Read it and spread the word!
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8 of 9 people found the following review helpful
5.0 out of 5 stars What next? Eric Janszen knows September 10, 2010
By Neeraj
Format:Hardcover
Very few economic commentators truly understand what just happened to the US economy. Mostly, they talk about the so-called "Great Recession" without really getting to the heart of why this particular recession is so "Great". More importantly, these commentators are constantly behind the curve, and seem unable to provide any guidance on what will happen next, and they sharply disagree on how exactly we can get out of this mess.

Eric Janszen has been ahead of the economic curve for over ten years (just take a look at this website and you will see what I mean). In this book, he provides a clear understanding of how the US economy has fundamentally changed since 1971, and why those changes culminated in the so-called "Great Recession" that began in 2007. He also lays out a roadmap for what we (as a nation) can do next, in order to lay the foundation for a return to sustainable, long-term prosperity.

Because he is a private citizen and businessman (not an economist or an academic), Janszen's work is very readable, and he effortlessly draws on both economic theory and real-world economic events to paint a complete picture of the actual workings of the modern political economy. I wholeheartedly recommend this book to anyone who cares about our country's economic future.
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5 of 5 people found the following review helpful
5.0 out of 5 stars Janszen Does It Again October 21, 2010
By rjwjr
Format:Hardcover|Amazon Verified Purchase
I read a lot of books. I read a lot of blogs. Nobody, and I mean nobody, compares to Eric Janszen or his iTulip.com web site. With so much material out there and so many "talking heads" with group-think opinions, it is virtually impossible to find a beacon of truth, common sense, and predictive accuracy amongst all of the noise. Author Eric Janszen is that beacon.

I got lucky to find Eric Janszen when iTulip.com was mentioned in another book by another author that I was reading. I visited the web site, could immediately tell that I had stumbled upon a gold mine of information, signed-up for full membership on the spot, then spent the next 10 hours into the wee hours of the morning reading all of the current postings, then most of the archived articles. The wealth of information and the accuracy of Janszen's predictions was immediately obvious and incredible. I wish I had found him in 1999, but with such likely chaotic times ahead, I feel very fortunate to have found him when I did in March of 2009. Yes, his advice and direction have allowed me to make some good money on my investments since then, but the true value in his work is the education and understanding that his writings create for his many devoted followers. The current state of the economy and the prospects for the future of America don't seem nearly as dire or daunting when you have Eric Janszen to light the way. The Postcatastrophe Economy is a perfect example of this.

If you find you like Postcatastrophe Economy then you must also read Janszen's earlier work; America's Bubble Economy. But, to really stay abreast of this incredibly uncharted and fast moving economic environment, you must, must, must visit his iTulip.com web site on a regular basis. It's a life saver.
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Most Recent Customer Reviews
4.0 out of 5 stars The best prognosticator I've read
Of all the prognosticators I've read about dealing with the economy, he has been the most elaborate and most research. Read more
Published 15 days ago by Jaric Fontaine
5.0 out of 5 stars Awesome book
Here is a book written by an economist who correctly predicted the dot com bubble crash, and the housing bust.

He has a dim view of our economic future, but ... Read more
Published 4 months ago by packer fan
4.0 out of 5 stars Janszen follower
I'm a longtime follower of EJ, and have subscribed to his website back in the day when it only cost $240/year. Read more
Published 6 months ago by Mango Chutney
5.0 out of 5 stars Very knowledgeable.
Makes good sense to someone that is not trained in finance or economics. I haven't finished the book yet, however, I expect the rest to be as informing as the early chapters.
Published 10 months ago by R. C. Dickey
5.0 out of 5 stars Good Source, but beware of reviews
I came across Eric Janszen when I found that he was interviewing Dr Michael Hudson, and asking intelligent and complex questions. Read more
Published 18 months ago by Scott Roberts
4.0 out of 5 stars Lucid Discussion of Structural Challenges Required of US Economy
The author provided a clear and convincing explanation of the transition the US economy needs to make form one based on FIRE to the TECI economy. The impact of cheap oil vs. Read more
Published 19 months ago by Edward Lombardo
5.0 out of 5 stars Do we have a future?
Mr. Janszen's credibility is high and earned by his work, published on his web site iTulip.com and elsewhere. Read more
Published 22 months ago by D. Mathern
4.0 out of 5 stars Hey dude, where is our FIRE extinguisher?
It is an interesting book, written in plain and hard-hitting English. It's all "doom and gloom", which is probably is not terribly far from the truth. Read more
Published 23 months ago by Igor Biryukov
5.0 out of 5 stars Excellent
This book is a great read for every citizen and a must read for every politician. It is the answer to recovering the US economy. Read more
Published on May 24, 2011 by Brian Geery
3.0 out of 5 stars A nice introductory read.
His thoughts on what will work in the America of the future are spot on, but whether or not the "postcatastrophe economy" actually comes into being is going to depend on long term... Read more
Published on January 18, 2011 by M. Gaffey
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