no on Japan but just looking at the recent developed of the euro - dollar - gold triangle is scary, there is no real world backing for that. plus the European Central Bank with its guarantee to buy back bad EU member bonds has opened a euro dollar swap gate which China is making good use of - they've been heavily buying those bonds with their USD reserve and selling them back to the ECB, thus far to equivalent to 9% of the greek GNP and they'll keep doing so with other EU bad bond members as well. also, the idea of an artificial inflation as pursued by Bernanke just postpones the bursting of the - then bigger - bubble. the amount of USD in circulation vs national reserve ratio has changed dramatically over the past years. you can't do Keynes 1 (artificial growth through overspending borrowed or printed money) over and over without a thought to Keynes 2 (consolidation and debt reduction). look at what happened to Greece when its CDS ratings went to the shitter and you know the next thing to happen to anyone with a GNP to debt ratio like theirs without some consolidation... all Bernanke wants to do is fuel the economy by giving people the idea that it is a good thing to spend money they don't have until those loans go bad again... or the economy regains momentum which incidentally didn't happen the last couple of times this was tried...
2010/11/16 Bob Sullivan <[email protected]>: > Peter, > No reason to believe Bernanki isn't just as good or better than > Greenspan and the others. > Remember Greenspan is the guy who brought you the mortgage/housing bubble, > talk about irrational exhuberance? ! ! ! > I can't believe folks want to take us back to 1932 and Depression > monetary policies. :-( > Anybody checked Japan's growth lately?!? > Regards, Bob S. > > On Mon, Nov 15, 2010 at 9:54 PM, P. J. Alling > <[email protected]> wrote: >> The Fed is supposed to manipulate the economy within certain limits. Mostly >> to anticipate the size of the money supply required to match economic >> activity, to smooth out peeks and troughs due to natural variations. Money >> acts as a lubricant in an economy, and just as with an engine the wrong >> amount of oil will ruin it . The fact that The Fed has proven to be utterly >> incompetent at it's task, about 3/4 of the time and the Obama administration >> has chosen them to implement policies well beyond it's original scope, >> (which did I mention it is often incompetent at), just scares the bejesus >> out of me. The current Fed Chairman isn't Milton Freedman, he isn't Paul >> Volcker, he isn't even Allen Greenspan, at least Greenspan had some idea >> that something was going wrong... >> >> On 11/15/2010 10:38 PM, Daniel J. Matyola wrote: >>> >>> The point of manipulating the economy is not whether what is done is >>> good or bad; the point is to manipulate the economy. >>> >>> Dan >>> >>> On Mon, Nov 15, 2010 at 10:30 PM, P. J. Alling >>> <[email protected]> wrote: >>>> >>>> I've seen it. The only problem I have with it is that they seem to think >>>> that deflation is good. It isn't any better for the economy than massive >>>> inflation, just bad in a different way. >>>> >>>> On 11/15/2010 10:30 PM, Daniel J. Matyola wrote: >>>>> >>>>> http://www.youtube.com/watch?v=PTUY16CkS-k&feature=player_embedded >>>>> >>>> >>>> -- >>>> "His lack of education is more than compensated for by his keenly >>>> developed >>>> moral bankruptcy." >>>> -Woody Allen >>>> >>>> >>>> -- >>>> PDML Pentax-Discuss Mail List >>>> [email protected] >>>> http://pdml.net/mailman/listinfo/pdml_pdml.net >>>> to UNSUBSCRIBE from the PDML, please visit the link directly above and >>>> follow the directions. >>>> >> >> >> -- >> "His lack of education is more than compensated for by his keenly developed >> moral bankruptcy." >> -Woody Allen >> >> >> -- >> PDML Pentax-Discuss Mail List >> [email protected] >> http://pdml.net/mailman/listinfo/pdml_pdml.net >> to UNSUBSCRIBE from the PDML, please visit the link directly above and >> follow the directions. >> > > -- > PDML Pentax-Discuss Mail List > [email protected] > http://pdml.net/mailman/listinfo/pdml_pdml.net > to UNSUBSCRIBE from the PDML, please visit the link directly above and follow > the directions. > -- PDML Pentax-Discuss Mail List [email protected] http://pdml.net/mailman/listinfo/pdml_pdml.net to UNSUBSCRIBE from the PDML, please visit the link directly above and follow the directions.
