I see the FED being debated here again
#1
Posted 30 December 2006 - 07:11 PM
#2
Posted 30 December 2006 - 10:39 PM
perhaps you may want to listen to G. Edward Griffin
and his view?
IMO a brainstroming session would accomplish more than a debate.
As far as I can tell, the Fed is not doing one single thing to cause M3 to grow.
If the fed is messing with M3, someone in the world should be able to precisely describe a possible process they could use to do it. And, then produce some stats to demonstrate thay they are doing it.
M3 is rising but it doesn't appear that the Fed is responsible for causing its growth.
It is mostly the gold nuts who seem to think the Fed is playing a trick on everybody. But, the gold nuts never seem to feel the need to explain themselves when someone questions one of their premises. Most start with the flawed argument that fiat money automatically bad and then expect people to accept everything else they say on faith.
These guys are more of a con than the people they criticize.
Hey, I am a conspiricy kook in good standing. But, people still have to explain how the Fed is doing what they are doing, if they are blaiming them for something.
I find it interesting that M1 is falling at the same time M3 is rising.
#3
Posted 30 December 2006 - 11:40 PM
It is mostly the gold nuts who seem to think the Fed is playing a trick on everybody. But, the gold nuts never seem to feel the need to explain themselves when someone questions one of their premises. Most start with the flawed argument that fiat money automatically bad and then expect people to accept everything else they say on faith.
These guys are more of a con than the people they criticize.
I am probably one of those gold nuts
But I prefer to trade it via shares...I hold nothing long term, except for the house, paid off.
The FED is inflation, I don't see how you can not see that. They practice a private fiat/fractal system that enables congress to spend the country further into debt each year. Most western countries are based on that model. Insanity. The system is comprised of bankers and beaureucrats whose job is to distort and report numbers. Most people have no faith in the government's reporting anymore. We all live in an era of Lemmings/the emperor has no clothes. All empires end, even ours will pass the torch, probably to China. Fiscal irresponsibility is always one facet of the demise.
Stay out of Federal notes, one day you will be able to wallpaper your house with them.
#4
Posted 31 December 2006 - 12:07 AM
Currently, the Fed's message is also clear with over $40B in short term and $6B permanent repos. Some of the short term repos will expire next week, but I am thinking the action from the dealers says the Fed will not abandon them until the commodity prices start to heat up again or the dollar takes another nose dive.
The PPI took one of the largest decline, similar to every other major economic slowdown, I am certain that they have every reason to believe that the USD made a strong bottom and it is time to inject more...
- kisa
Edited by kisacik, 31 December 2006 - 12:08 AM.
#5
Posted 31 December 2006 - 12:15 AM
Edited by pdx5, 31 December 2006 - 12:24 AM.
#6
Posted 31 December 2006 - 01:07 AM
#7
Posted 31 December 2006 - 01:44 AM
#8
Posted 31 December 2006 - 03:19 AM
#9
Posted 31 December 2006 - 07:42 AM
G. Edward Griffin
Except that Griffin, a discredited kook of the first magnitude, has nothing to contribute to a serious discussion of anything.
The poor guy can't even get basic facts right. He's a nutter.
They need to raise the taxes on the rich
I've noticed your posts indicating that you think a big slowdown/recession is likely. That would certainly do it.
Edited by ..., 31 December 2006 - 07:52 AM.
#10
Posted 31 December 2006 - 09:38 AM
The FED is inflation, I don't see how you can not see that. They practice a private fiat/fractal system that enables congress to spend the country further into debt each year. Most western countries are based on that model. Insanity. The system is comprised of bankers and beaureucrats whose job is to distort and report numbers. Most people have no faith in the government's reporting anymore. We all live in an era of Lemmings/the emperor has no clothes. All empires end, even ours will pass the torch, probably to China. Fiscal irresponsibility is always one facet of the demise.
Stay out of Federal notes, one day you will be able to wallpaper your house with them.
The problem is not fiat currency. The problem is democracy. The Full Employment Act of 1946 and the Full Emploement Act of 1978 sound good but are bad laws.
There is nothing wrong with fiat money and the world will never collapse because of it.
Fiat money provides a means of meauring the value of one item in terms of others, just as gold does. Dollars can still be redeemed in gold, but by dealers instead of the Federal Government. Also, the price of gold is not fixed. As long as there is not to much money there are fewer problems than with metal based currencies. The gold standard produced more problems than our current system.
Central banks will never destroy the world and neither will fiat currency but democracy might.
With all of that said, I agree that there is too much money in the world today. I just don't agree that the Fed is pumping M3 and tricking everyone into believing they are tightening money. I am willing to be convinced. So, precisely what and when has the Fed done anything to goose M3?
James