Central Banks May Choose Helicopter Money Over Negative Rates

Here comes the Fed…Hooray.

The definition of “helicopter money” appears to be shifting a bit. Generally it means pouring currency (printed by a central bank) into the economic system by directly depositing it into accounts. What type of accounts appears to be an open question. Whatever the Fed chooses (assuming that it does) it is a bad idea however.

How about we let rates adjust to where they should be naturally? How about we let things clear. How about we get real now,

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Japan Is Dying And We Still Don’t Get It?!

Japan, you gave us karate, Godzilla, walkmans (remember those?), sushi, Hello Kitty, and cars which didn’t fall apart. Though we fought you bitterly in World War II America came to love you more than any other country in the world with the exception of the United Kingdom (and maybe Australia, Canada doesn’t count). We hate to see you in your current straits. One, because we have a general affinity for the Land of the Rising Sun. But two, because we are riding the same bullet train here in the States,

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Bernanke’s printing only delayed the pain

It is interesting to hear (some) people praise Mr. Bernanke for having “saved” the United States and the world from Great Depression II. This praise is misplaced to say the least.

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There is no way out for the Fed (and the World) Marc Faber says QE could go to $1 trillion/month

From the very beginning people have asked how the Fed would ever exit its Quantitative Easing program. Every time the Fed has indicated that it would stop its extraordinary measures the markets dip. Look at this chart.

There appears to be nothing under this market but freshly printed hundred dollar bills, cotton candy, and unicorn wishes. Throw in a good bit of marginally positive animal spirits too.

Faber says that the Fed will not taper its efforts but will instead be forced to print even higher amounts than the $85 billion (who knows) in funny money it is currently pouring into the world economy every month.

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The best, simplest, explanation of the US monetary system (debt, currency, money, taxes, what’s really going on) that I’ve ever seen. An important video.

Many people are mystified by the kids at the Ron Paul rallies screaming “End the Fed!”

They ask themselves, “Why should we end the Federal Reserve? The Fed helps maintain economic stability right? Every country has to have a central bank. These “End the Fed” kids are nothing but “Paulbots.” The people on CNBC and Bloomberg tell me that the Fed acts in my best interest. I think the people on Bloomberg and CNBC ought to know what’s right for me and my money.  

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A Case Against Janet Yellen For Fed Chairman

A case for Janet Yellen is that as the Fed’s current vice chair, she represents continuity. Based on her comments and past record, she would either continue Bernanke’s policy or even take them up a notch, creating even more new money in order to “help” the economy. A case against Janet Yellen is the flip side of this. Bernanke’s policies have been a complete failure, so choosing an acolyte of his would be the worst possible thing to do.

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QE Is Not Money Printing, It Is Betrayal

I don’t agree with every single point made, but the attached is a very interesting essay. The core point is dead on. “Quantitative easing” is a trick. It is fundamentally about deception. And people want to be deceived especially considering the economic chickens waiting to come home to roost.

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Worried About Global Warming? Then End The Fed. (In all seriousness.)

Our current Fed based economics is not “sustainable.” It encourages reckless speculation with other people’s money, which in turn facilitates the plowing under of bazillions of acres of natural land (in a multitude of ways). Easy money means death for large parts of the biosphere, yet many on the “Left” continue to defend deeply destructive “easy money.”

Not a perfect examination of the issue, but a pretty good intro.

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