Posted on 07/13/2012 6:09:27 PM PDT by whitedog57
I’m glad that Mr. Lockhart sees a step-up in output and employment growth by the end of the year. But how will driving interest rates lower help when they haven’t helped yet?
The Fed’s balance sheet hovers around $3 trillion and the Fed Funds Target Rate is at a pitiful 0.25%. Yet, no ignition so far.
M2 Money Velocity has declined below any point since the end of World War II.
And mortgage lending (with the exception of Wells Fargo) has not really rebounded since it peaked in 2008.
Employment still stinks as more and more people go on the dole (disability and food stamps).
That’s right. There has been a net increase in people going on disability versus those dropping off of unemployment rolls since July 2010. And 4,911,742 more people have gone on food stamps over the same period. Yup, the dole is growing!
It is hard to envision a stout economic recovery with staggering, French-like increases in taxes and a growing welfare state when the number of people going on the dole exceeds the number of people getting jobs (and paying for those on the doll).
Here is the Hawaiian White House that emphasizes President Obama’s commitment to building a massive welfare state.
UPDATE: And a big shout-out to the DOJ and FBI Criminal Information System for monitoring today’s blogs by me!
(Excerpt) Read more at confoundedinterest.wordpress.com ...
Easy. Keeping more people on the Dole mean bigger deficits. The lower the interest rate, the easier the deficits are to finance. With a zero interest rate, the deficit costs the Government nothing. With a NEGATIVE interest rate, the Government actually makes $$ off the deficit. That is what the Fed getz out of driving interest rates lower.
QED.
Is there some way that the Executive Order eliminating the WORK requirement for Welfare can somehow make it easier to fudge the unemployment numbers, cause the unemployment percentage to statistically slide below 8% and thereby improve Zero’s chances of getting reelected?
The UK is going to do their own. The US might as well follow their lead like they do in everything else.
That is likely half the equation they are shooting for - another false drop in the unemployment rate. He has also quadrupled the money spent on food stamps, which helps alleviate the pain of some of those who might otherwise wake up and smell sanity. Every extra little executive order giveaway of our tax dollars to those who don't want to support themselves is designed to ease the pain of those out of work. Once the tipping point is reached, the Libs will have to cause even more pain all-around - first by taxing the rest of us into full death spirals, then by taking away these "rights of benefits" from the teat-suckers when the well runs dry.
Every move is calculated towards full and absolute government control.
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