Skip to comments.Pres. Obama: Counterfeiter-in-Chief
Posted on 03/26/2009 7:10:08 AM PDT by arthurus
Last Wednesday, the Fed announced that it would buy $1.2 trillion in new assets--$300 billion of which would be Treasuries, the rest mortgage-backed securities, or, well... we don't really know quite what. The term that's gaining currency (no pun intended!) to describe this phenomenon is 'quantitative easing.' It happens when a central bank has lowered interest rates so low that the only way to continue pumping money into the market is to create it out of thin air.
(Excerpt) Read more at seekingalpha.com ...
It would be interesting to know how much of all that money is finding its way to Swiss or Cayman Island bank accounts of our great thugs in Washington.
Better check Barney Frank’s freezer too !!!!
Speaking of the interest on the money we are borrowing......It was just stated on the floor of the Senate that in ten years, we will be spending $800 Billion just on the interest. That’s more than we spend on the military, education and health care individually. This is crazy. There is no way we can ever pay this back. I also understand that if Obama’s plans don’t work, there is no place we can go to borrow more money. We will basically, go out of business.
I saw a cartoon of a kid looking at his father. He says,”What comes after a trillion, daddy?” There was no answer, just the question but in my own mind the answer immediately was “Weimar.”
Both my parents were depression kids in Chicago. It would be terrible to see them living through a second 'Weimar' AND another depression.
Zimbabwe is doing things the right way. In February they did a trillion-to-one devaluation ($500 new currency = $500T old currency). That was their second trillion-to-one devaluation, they have knocked off 29 zeros so far. So really there is no need to go above a trillion.