Skip to comments.Fed to Spend $600 Billion More To Help Boost US Economy (How low will the dollar go)
Posted on 11/03/2010 1:10:06 PM PDT by Hojczyk
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They are doing this to give another bailout to their bank cronies...JPMorgan/Chase, Goldman/Wells Fargo/ City/ and Bank of America to try to reconsitute the fictitous appearance that any are solvent. This is just another way of taking money from your children and grandchildren and paying for the criminal activity of those banks. Once again the FED/federal government ratifies lawlessness, and under penalty of imprisonment, force Americans to pay for this profligacy. This is the final nail in the coffin of the American standard of living.
Well thanks Metmom. Even if someone “bugs out” where are they planning on going? I’d assume with other family members perhaps.
I think I’m in that denial mode in between trying to determine how best to secure myself. Somehow I thought putting a bumper sticker on my window door that reads..”Protected by a 350 magnum”, showing a gun, might be enough to make someone up to no good wonder. ..”Does she or doesn’t she”? (You can stop laughing now)...But when I read about the economy, the possibilities I do get afraid.
I painted and re-carpeted my little bungalo here last summer. The carpet was that awful commercial type. It was a great project and my landlord was delighted of course since I paid for it and did the work. Great thick padding and the carpet was also high grade at a fabulous price! Course I had that installed for me. But this helped a great deal with insulating the floors better, I have an apartment over a garage and the floors were always cold.
You sound like you’ve got your fair share of projects! I remember when. But that was before I lost my husband..years ago now..I have learned at last how to be single!
Who is ChocChipCookie? I’ll put in search and maybe discover. You are right about city living and once food is gone they’ll go to the country next. But maybe by then gas won’t be available and so few who could get there..ya think?
Another thing about this other apartment. It is built on the backside of a new three bay garage, so it looks like part of the building.(Landlords new business), I wouldn’t have considered it except it is really very nice indeed, inside all the more. But you would not really know it was there. Lots of yard too. Plus a garden area. Downside is it is ground level. Still, as things look like they will be going I am really considering this with all considered. It’s located in a tiny village, with only about five businesses scattered throughout. None are grocery. As said..it is really pretty far off the beaten path. Hummmm-mmm am really thinking things thry now.
Sounds like you are pretty set with all the things stored and talent to can things etc. I’ll chech into the book. Am going to need some reading over the winter and I don’t like reading books on the net.Yulk!
Thanks for the advice.
...and....getting the money all under one system so they know where it is...then they'll have the world banking system in place to oversee it all.
BTW has any body noticed many busineses etc. are changing their computer systems or updating them? Seems every place I go recently they are changing things?
I, like you, am just an average citizen, although I do find the subject of economics fascinating.
You will find so many different views on these things that it will make your head spin! After all is said and done, though, nobody can predict the future. As someone else here said, the best thing you can do is live within your means and store up what you can. I do not think that living out in the woods with a stash of dried food is any way to exist, though. Nothing in this world will ever provide perfect security.
One site I find interesting is zerohedge.com. I probably don’t understand half of it, but it is a lively discussion of current issues in economics. Another is The Foundation for Economic Education at http://fee.org/
Also, some good books: Economics in One Lesson by Henry Hazlitt; Basic Economics by Thomas Sowell; The Road to Serfdom by F.A. Hayek; and The Joy of Freedom by David R. Henderson.
I hope you didn’t put that money in a savings account or buried in your backyard.
Breaking News: Ben Bernanke Caught Issuing Trillions to NAMBLA! In an unauthorized “Helicopter” quantitative easing action, Ben Bernanke was photographed hovering above NAMBLA Headquarters unloading box after box of $100 bills into the downdraft.
I don’t have a fancy doctorate in economics like Ben Bernanke but isn’t cause and effect being reversed here? Inflation is usually thought of as an *effect* of economic expansion not as its *cause*. But whatever, Bernanke is apparently smarter than the rest of us, so I guess we have to trust him...
The serfs have traded liberty for a TV clicker. ALL TV supports the Dems/elites/islam. Even Prince Al Waleed - the largest shareholder in Fox.
TV has empowered the overlords to manage the serfs.
The last guy ferfal is especially interesting insomuch as Argentina went through a collapse as is being described in this thread
There are several youtube interviews with him
Thanks....I have been reading about Argentina..though more from the process of governance and politically. They were faced with the very same thing...default, raise taxes, or inflate the currency. They couldn’t pare back on the government handouts as there they would put a bullit in the politicians for doing so......At that time they had a tax rate of over 40% and their gov. spending like no tomorrow. Well they opted to print the money they needed.
They estimated that inflation would increase about 20%...instead it rose by nearly 700%!!! In LESS THAN A MONTH Retirees, pensioners and those on fixed incomes were destitute!!!
TO CONTROL THE RAMPANT INFLATION THE GOV. FROZE PRICES on public services, buses, hospitals and utilities...but to cover rising costs of imported goods they printed more money.
Within 6 MONTHS of printing the first currency inflation accelerated to just under 100% per month...so the people lost half of their buying power every single month! Within one year of printing monies all savings were wiped out! No other country would accept their money in payment for anything....
Then the hemmorage began....argentina assets were being transfered to other countries...we see this happening here now. In one year inflation rate was about 5,600% ! All paper was transferred into real assets at rapid pace.
Next the World Bank isisted they declare martial law over the economy. Currency was frozen and all printing of money stopped. Wages and prices were frozen. Bllack marketing was puishable by long prision sentences. Not unitl a year or so after this did inflation drop to 300 % per year.
What a mess and one it appears pretyy clear we may very well be headed into. Tonight I watched International news headlines and stories in Asia....to see all these new manufacturing companies operating in foreign companies which were once here was beyond sad. And they are all leaving the US for other countries...that’s why Bo has such a massive of people going to India with him...many are Ceo’s and the like from our companies to paln with India for going there and getting the people to work for them.
Thanks so much for the websites and the book recommendations! That is very helpful.
We live way below our means, have no credit card debit, one auto loan due in 24 months (wonder if we should just pay it off?), house will be paid for in 9 years....have guns, ammo, silver and food stored away.
I’m just worried about my cash in the bank and our kids’ investment accounts. I’m wondering if I should start the mattress savings plan. Although, with the value of the dollar dropping, not sure if that would be any good either.
Thanks again - I really appreciate your input!
No, I'm pretty much "all in" on dollar depreciation.
Thanks, Gabrial. I need to work on #1 (it’s all in one bank), #4 (only have our house - will be paid off in 8 years) and 6 (I’m no gardener!). Almost there on #8. :o)
If you’re going to bug out (of a city) you do need to make plans about to where and with who.
I saw a NRA window sticker once that said something to the effect of....
“This house is protected by a (some sort of high power rifle) four nights out of the week. You guess which four.”
We live in a small town and they are not to be sneezed at. We do need to drive for groceries, but again, if the SHTF, there won’t be any in the stores anyway.
There’s a lot to be said for laying low and not attracting attention to yourself.
Plus, in a small town there’s a whole different mentality. You do get to know your neighbors and you watch out for each other.
Is this a car mechanic garage? Unless he keeps it squeaky clean, I’d think twice about it. Go check it out during the day and in the evening to see how noisy it is, what kind of exhaust there is from the cars, how clean he keeps it, etc.
Here’s a link to ChocChipCookie’s homepage.
75 billion a month for the next 8 months (that is thru the 2nd quarter of 2011) is the 600 billion. Don't double count.
The Fed is an independent agency, they don't need approval of the House, Senate or President.
You'd have done better if you bought $20 of the S&P 500 and reinvested your dividends.
Just my opinion, but buy gold if you can afford it. Silver is cheaper and still valuable.
My ‘cash sitting the sidelines’ is already invested in wealth protection. In other words, I bought gold bullion coins and some silver bullion coins and some ‘junk’ silver or circulated 90% silver coins. I am very happy with same and see it as my only option to defend my very minor wealth against inflation and other government malfeasance.
If you want to pay off debt, wait till the gold rises in value, then you could take 1/2 of the Gold IRA, pay off the same amount of debt, and sill have a nest egg left. Taxes and penalty will be less expensive in real dollars too. If you are 59 1/2 no penalty applies.
True, but that is not the point. The point is that the dollar has steadily and purposely been devalued for nearly 100 years in order to make a few of the elite very, very rich.
You shouldn't keep your dollars where they won't earn interest or dividends. If you bought bonds you also kept ahead of inflation.
in order to make a few of the elite very, very rich.
Who? And how does the devaluation make them rich?
Never heard of people who trade currencies?
First, the tell you that you can exchange paper money for gold, and then after a while they stop that and all you have is paper money. They use paper money (which they print whenever they need more) to buy REAL assets (including gold) which have REAL value. Meanwhile, the rest of us have just enough of money to get along, hopefully with a few luxuries. And when (as always happens) they have printed so much money to make it virtually worthless, THEY have hard assets and all our savings have been made worthless.
So for a while no one trusts paper money and instead move to a barter economy with the people who have the most valuables (i.e. those who caused the problem) again controlling the economy. Eventually they start it all over again with NEW paper money to manipulate.
People who trade currencies are the elite who got rich from devaluation?
Anyone can trade currencies now, are we all elite?
“People who trade currencies are the elite who got rich from devaluation?”
For the most part, yes. Oh, a lot of other people got rich that way because they figured out the scheme, but those who got the richest concocted the scheme in the first place.
Think of it this way, paper money that can be manipulated is a way for the rich to get richer without having to actually produce anything of value. Isn’t the the core idea behind every con to make money at the expense of another? Do the vast majority of the people gain anything when the dollar is devalued? No, they just end up giving more of their earnings for goods and eventually wages NEVER keep up with inflation.
Can you explain how the decline of the dollar allows these currency traders to make all this easy money you think they make?
Do the vast majority of the people gain anything when the dollar is devalued?
Anyone who bought hard assets with debt gains.
No, they just end up giving more of their earnings for goods and eventually wages NEVER keep up with inflation.
Historically, wages always beat inflation.
“Can you explain how the decline of the dollar allows these currency traders to make all this easy money you think they make?”
If countries use gold or hard assets in trade, an ounce of gold is worth the same no matter who stamped it. A barrel of oil is worth a barrel of oil. Did the cost of oil REALLY go up or did the value of the US dollar go down? Does the AVERAGE person benefit when oil is $80 a barrel vs $35 a few years ago?
But who is to say how much a rupee is worth in dollars? Currency traders buy currencies that are going up in value and sell currencies that are going down. In the past several months they have been buying nearly anything except US dollars. When the dollar goes down, they trade their foreign currencies back for MORE dollars than original and then purchase hard assets before the devaluation trickles down to the rest of us. Have the produced ANYTHING of value?
“Anyone who bought hard assets with debt gains.”
Eventually, yes. During hyperinflation those with high debt can pay it off with worthelss paper money.
“Historically, wages always beat inflation.”
UNTIL! Until the people who print the money print too much of it, too quickly and start the rapid decline into hyperinflation.
Since currency traders are trading with other currency traders, you can also say, currency traders sell currencies that are going up in value and buy currencies that are going down.
Oil went up today as the dollar went down. Food and other commodities are going up, too. Did your paycheck go up?
Anyone who bought hard assets with debt gains.
Oil went up today as the dollar went down. Food and other commodities are going up, too.
Told you so.
LOL how did you know that is the novel I was thinking about.
It’s really not funny but it is. I have been in an ER out of commission please tell me this threads headline made the news or are they all still talking about the election only?
Exactly. The only paychecks that went up are the governments. And that is both dem and pub.
And certainly not the retired or AD military paycheck.Retired paychecks did not get COLA’s. Maybe Obama’s fat cat bankers,execs and wall street but that is all. You need three jobs to buy groceries and gas your vehicle. It is shameless
as these senators and congresscritters jet of to their beach homes!
Because all of our life has sounded like a left Behind novel since Nov 2008. The parallels are astounding.
Money? What money? Debt? What article?
And watch the fools want a Clinton/Clinton ticket to save us. Clinton did the community reinvestment Act garbage that destroyed us and Barney Frank sealed the deal for us to be the titanic. The rats all need to go (the party will never be steered back to the center) and a lot of the pubs as well -but maybe a handful- to truly clean up this mess.
Do you have enough of those hard assets to increase your net worth significantly?
Let me rephrase that, do most people have enough of those hard assets to increase theirr net worth significantly?
The rich get richer and the poor get poorer and the middle class gets eliminated.
Just my house.
Hope you have plenty of other hard assets because during the times of hyperinflation, you will spend 95% of your cash on food.
He also just about owns Citi mortgage too. I was shocked when I saw his Fox shares.
The House cleaning has just begun I think....allot more to do to get the rest cleared out of Washington...until then the creeps remaining will make it difficult at best for the new team.
Al Waleed owned tons of Citicorp. The Feds pumped $380 billion - yes Billion - almost half a trillion to “save’ Citi. The Citi Bob Rubin ran as Vice Chairman making at least $20 m a year as he was such a “genius.” Al Waleed owns everything cause it is really Saudi Arabia’s stock portfolio not his.
True but Wallstreets bank accounts continue to look more than healthy as well...
You want physical gold. It is believe that there is not enough gold to back up the the iras
tungsten gold bars
your gold ira could be backed with this stuff
is there gold in Fort knox
Even if you have gold you can not eat it! and some one has to want it you want to have like 1/10 oz coins for easy transaction
Also the new finance law is going to track all gold purchases sooo are they going to confiscate it again
Gold has risk also
I agree with the points you are making, and have already seen the links you provided. I never at any time said Gold did not have risk. In fact, the best time to have acquired gold was several years ago. I would buy one of the cheaper precious metals to store at home, myself.
If you cash in your IRA or 401k, you could raise yourself to a higher tax bracket, and pay 10% penalty. I have no intention of paying the government 60% or more of the money I have left in my retirement nest egg. I simply gave one of hundreds of options to consider - not a blanket recommendation. Must I also point out that your portfolio should be diversified? I kinda assumed Freepers were smart enough to know that.
If a person did invest in a gold IRA, they could treat it like a ponzi scheme, get in & get out before the crash of the coming gold bubble. Get necessities in order, stash some precious metals, and goods likely to keep for a long time and able to be bartered. etc etc.
You are still going to need liquidity to pay your property taxes, and buy perishables. If hyperinflation hits, that liquidity can not be cash in the bank, because it will loose it's value too fast. Bottom line there are no perfect options.
By the way, everyone knows you can't eat gold. I assume everyone has enough sense to know to get the necessities covered first, especially since that has been a recurring theme on this forum for months.
Yes the 12 districts - 2 in Missouri. I guess they were trying to cover both sides of the Mississippi.