QE3 is now official
Offline http://www.washingtonpost.com/blogs/ezra-klein/wp/2012/09/13/qe3-what-is-quantitative-easing-and-will-it-help-the-economy/#comments
QE1 and QE2 worked so great, our economy has just been booming the last four years thanks to these great programs and unemployment is so low... So let's do it again! QE3 will consist of the fed waving their magic wand and conjuring $40 billion a month into existence and purchasing mortgage backed securities- for those keeping track, combined with the "twist" where the government is purchasing its own bonds, the fed will now be creating $85 billion a month. What does this mean for you? More inflation, a continued weakening of the US dollar, growth in the stock market, lower interest rates (especially for mortgages) and continued high level of unemployment for the foreseeable future. Bernanke is a fucking idiot and our economy doesn't stand a prayer of reaching a real recovery until we get his ass thrown out into the street.
If, if a white man puts his arm around me voluntarily, that's brotherhood. But if you - if you hold a gun on him and make him embrace me and pretend to be friendly or brotherly toward me, then that's not brotherhood, that's hypocrisy.- Malcolm X
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Thank you for making a thread where you and Brian can yell at each other, instead of bringing it up in the middle of a random debate.
Everything makes more sense now that I've stopped believing.
Lol, yeah some things never change. Welcome back mellestad
If, if a white man puts his arm around me voluntarily, that's brotherhood. But if you - if you hold a gun on him and make him embrace me and pretend to be friendly or brotherly toward me, then that's not brotherhood, that's hypocrisy.- Malcolm X
This really amounts to welfare for wall street and investors. The wealthy from around the world can borrow money at near zero interest rates, then use this money for whatever investment they please, then pay the fed back with much less valuable dollars in the future. If their risky investments go bad, they just declare bankruptcy, then the government will have to bail out the financial system again.
The thing to do is bet against what the government is trying to do with interfering in the free market. That is the way to make money. Government intervention in the free market can only work temporarily. Housing prices will stabilize for a few years then crash. Same with wall street. The dollar will go down steadily for a few years and only stabilize after the next crash.
Taxation is the price we pay for failing to build a civilized society. The higher the tax level, the greater the failure. A centrally planned totalitarian state represents a complete defeat for the civilized world, while a totally voluntary society represents its ultimate success. --Mark Skousen
So making them pay taxes at Clintonian levels is "punishing success" and quantitative easing is welfare for them?
"I do this real moron thing, and it's called thinking. And apparently I'm not a very good American because I like to form my own opinions."
— George Carlin
*Barely remembers a time when the Canadian dollar wasn't on par with, or superior to, the US dollar*
Enlightened Atheist, Gaming God.
Let me make my position clear again so you get. I believe in a rational efficient economy, there needs be a high correlation between cost and benefit also between wealth and productivity. With income tax, we get very little correlation. A lot of poor and some rich get a benefits at little or no cost. Some rich overpay, some underpay taxes.
With the Fed printing money we get little correlation between wealth creation and productivity. The rich that will benefit are the non-producers like banks, payday loans, speculators. They are getting to play with houses' money. The rich that actually help develop products and services will generally loose out because of inflation and being pushed into higher tax brackets. The poor and middle class will in the long run be hurt by inflation and by not creating a long term fix now.
Taxation is the price we pay for failing to build a civilized society. The higher the tax level, the greater the failure. A centrally planned totalitarian state represents a complete defeat for the civilized world, while a totally voluntary society represents its ultimate success. --Mark Skousen