Sarah Palin: Do Wall Street Journal Reporters Read the Wall Street Journal?

Palin to Fed: Cease And Desist (Fed's Actions Will Impose Future "Inflation Tax" on All Americans) National Review ^ Posted on Monday, November 08, 2010 9:42:42 AM by quesney On Monday, in a keynote address at a trade-association convention in Phoenix, Palin will urge Fed chairman Ben Bernanke to “cease and desist” his “pump priming.” The United States, she says, “shouldn’t be playing around with inflation.” ---- I’m deeply concerned about the Federal Reserve’s plans to buy up anywhere from $600 billion to as much as $1 trillion of government securities. The technical term for it is “quantitative easing.” It means our government is pumping money into the banking system by buying up treasury bonds. And where, you may ask, are we getting the money to pay for all this? We’re printing it out of thin air. The Fed hopes doing this may buy us a little temporary economic growth by supplying banks with extra cash which they could then lend out to businesses. But it’s far from certain this will even work. After all, the problem isn’t that banks don’t have enough cash on hand – it’s that they don’t want to lend it out, because they don’t trust the current economic climate. And if it doesn’t work, what do we do then? Print even more money? What’s the end game here? Where will all this money printing on an unprecedented scale take us? Do we have any guarantees that QE2 won’t be followed by QE3, 4, and 5, until eventually – inevitably – no one will want to buy our debt anymore? What happens if the Fed becomes not just the buyer of last resort, but the buyer of only resort? All this pump priming will come at a serious price. And I mean that literally: everyone who ever goes out shopping for groceries knows that prices have risen significantly over the past year or so. Pump priming would push them even higher. And it’s not just groceries. Oil recently hit a six month high, at more than $87 a barrel. The weak dollar – a direct result of the Fed’s decision to dump more dollars onto the market – is pushing oil prices upwards. That’s like an extra tax on earnings. And the worst part of it: because the Obama White House refuses to open up our offshore and onshore oil reserves for exploration, most of that money will go directly to foreign regimes who don’t have America’s best interests at heart. We shouldn’t be playing around with inflation. It’s not for nothing Reagan called it “as violent as a mugger, as frightening as an armed robber, and as deadly as a hit man.” The Fed’s pump priming addiction has got our small businesses running scared, and our allies worried. The German finance minister called the Fed’s proposals “clueless.” When Germany, a country that knows a thing or two about the dangers of inflation, warns us to think again, maybe it’s time for Chairman Bernanke to cease and desist. We don’t want temporary, artificial economic growth bought at the expense of permanently higher inflation which will erode the value of our incomes and our savings. We want a stable dollar combined with real economic reform. It’s the only way we can get our economy back on the right track.
http://www.freerepublic.com/focus/f-news/2623486/posts

Darn...the prview was good.

Ok here it is again.

Palin to Fed: Cease And Desist (Fed's Actions Will Impose Future "Inflation Tax" on All Americans) National Review ^ Posted on Monday, November 08, 2010 9:42:42 AM by quesney

On Monday, in a keynote address at a trade-association convention in Phoenix, Palin will urge Fed chairman Ben Bernanke to “cease and desist” his “pump priming.” The United States, she says, “shouldn’t be playing around with inflation.” ---- I’m deeply concerned about the Federal Reserve’s plans to buy up anywhere from $600 billion to as much as $1 trillion of government securities. The technical term for it is “quantitative easing.”

It means our government is pumping money into the banking system by buying up treasury bonds. And where, you may ask, are we getting the money to pay for all this? We’re printing it out of thin air.

The Fed hopes doing this may buy us a little temporary economic growth by supplying banks with extra cash which they could then lend out to businesses. But it’s far from certain this will even work.

After all, the problem isn’t that banks don’t have enough cash on hand – it’s that they don’t want to lend it out, because they don’t trust the current economic climate.

And if it doesn’t work, what do we do then? Print even more money? What’s the end game here? Where will all this money printing on an unprecedented scale take us? Do we have any guarantees that QE2 won’t be followed by QE3, 4, and 5, until eventually – inevitably – no one will want to buy our debt anymore?

What happens if the Fed becomes not just the buyer of last resort, but the buyer of only resort? All this pump priming will come at a serious price. And I mean that literally: everyone who ever goes out shopping for groceries knows that prices have risen significantly over the past year or so. Pump priming would push them even higher.

And it’s not just groceries. Oil recently hit a six month high, at more than $87 a barrel. The weak dollar – a direct result of the Fed’s decision to dump more dollars onto the market – is pushing oil prices upwards. That’s like an extra tax on earnings.

And the worst part of it: because the Obama White House refuses to open up our offshore and onshore oil reserves for exploration, most of that money will go directly to foreign regimes who don’t have America’s best interests at heart.

We shouldn’t be playing around with inflation. It’s not for nothing Reagan called it “as violent as a mugger, as frightening as an armed robber, and as deadly as a hit man.” The Fed’s pump priming addiction has got our small businesses running scared, and our allies worried.

The German finance minister called the Fed’s proposals “clueless.” When Germany, a country that knows a thing or two about the dangers of inflation, warns us to think again, maybe it’s time for Chairman Bernanke to cease and desist.

We don’t want temporary, artificial economic growth bought at the expense of permanently higher inflation which will erode the value of our incomes and our savings.

We want a stable dollar combined with real economic reform. It’s the only way we can get our economy back on the right track.

http://www.freerepublic.com/focus/f-news/2623486/posts

Thanks for posting. I read the first one. No paragraphs helps me to keep my eyeballs moving in sync. Not that I suffer from 'lazy eye' (I call it floating eye blues) but I've met a number in N. Ca with the affliction. Wonder if it's something in the water?

It's fun watching this administration try to jump-start the economy. Who hasn't poured gas into a carbuerator before? Usually, it runs a bit, and then sputters to a stop. When that doesn't work, you have to clean gunk out of the carb to get things flowing correctly. In this economy, the gunk is debt- personal debt.

Government tampering in the home loan markets coupled with easy money fueled the spike in equity that 'backfired' in their faces and is what's given consumers a headache.

As consumers move toward greater liquidity, demand will pick-up and the economy should start humming again. That would be a good time to get one's head out from under the hood and get that can of 'easy money' the hell away before somebody gets roasted with the throttle stuck wide-open.

Yo pepperdog—Thanks for your post. So far the silence is deafening. I’ve thrown this challenge out before. I got a couple of responses that amounted to glib generalities followed by name calling.

I was anticipating someone to throw Ron Paul or Boneaur in my face because of the things they said after they won their respective elections. My answer to that would be words are are cheap. It’s deeds that count and Palin has demonstrated her core beliefs as Alaska’s governor. She’s also demonstrated her mental and moral toughness by the way she stood up to all those invented and despicable attacks attacks on her integrity and family.

The people who disparage Palin are so wrapped in being clever and doublespeak (aka politspeak) they have no clue what to do when someone speaks coherently and directly. To them, people like Sarah Palin are unsophisticated and uneducated rubes.

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