printI’m not talking about “The Queen Elizabeth 2” cruise ship, but of “‘Quantitative Easing,’ which is state-speak for the government’s monkeying with the money supply.” That ship has indeed sailed a long time ago. At the end of September, we reported here on a $1 trillion Fed infusion of paper into our hot-air balloon of an economy.
How many pinpricks away from runaway hyperinflation are we?
Now you know why a stock market rally does not a recovery predict. In fact, stocks will be buoyed after a funny-money injection. “But as usual,” concedes Larry Kudlow, ignored are “the plunging dollar and soaring commodity prices, which will lead to an inflation tax on consumers and businesses, something that is not good for profits or economic growth.”
I loved your article! I was mesmerized at the President’s Speech last night and how he was totally engaged with the rescued miners! He had no sense of his surroundings as the last miner came out. Rather, he was immersed in speaking to him alone…it was magical! And to give the praise to God was also refreshing! God must be crying at our lack of attention and praise to him for these types of miracles and blessings! Anyway, thanks for a well written and “right on” summary of last night’s miners miracle! I can’t wait to read more of your upcoming analysis!
Quantitative easing? Big whoop. As I’m sure most are aware I am a simple minded person who likes simple answers. The more the government monkeys with a problem the worse it gets. It’s also very likely that government monkeying caused the problem in the first place.
Other impending financial wreckage – I found out that “banks” (e.g. the pusillanimous, cheating, “privatized” arms of the Fannie/Freddie
Government) are “lending” 30 year mortgage money out at 4% fixed. This is clearly to prop up housing prices artificially high and to prevent more (deserved) foreclosures.
QUESTION to all: Given the trillion dollar deficits, would YOU personally lend out 30 year money at 4%. QUESTION # 2 – What will happen (again) to these “banks”? FINAL QUESTION – Will there be any money for the next round of bailouts??
BONUS QUESTION: Which makes better toilet paper – Lincoln on the $5 or Jackson on the $20??