August 11th, 2011
According to Bloomberg News, Federal Reserve Bank of Minneapolis President Narayana Kocherlakota stated: “Central bankers alone cannot solve the world’s economic problems.” One thing WE citizens all can be sure of, however, is that Central Bankers alone can cause the world’s economic problems – and seem to do so with the blessing of national politicians who typically appear as nothing more than lackeys and errand boys of the central banks, of course.
The Federal Reserve System has enabled and brought about the devaluation of the U.S. Dollar/Federal Reserve Note. The massive devaluation of the U.S. currency is readily evidenced by the all-time-high dollar value of gold. (The Fed holds much of the nation’s gold – worth noting.) Also, the massive devaluation of the fiat dollar helped to cause the real estate bubble. The massive devaluation of the dollar clearly has caused the difficulty with the U.S. Bond – its rating and down-grading. So without a doubt, the central banks – or at least the Federal Reserve System – can and have caused the world’s current economic problems.
Adam Trotter / AVT
PS. Please remember that the likely unconstitutional Federal Reserve System is not a government agency. "Shred The Fed!!"
PSS. I will argue in support of these statements in blog entries to follow. AVT
See:
Fed’s Kocherlakota Hinted at Willingness to Break Ranks on Policy in 2010
http://www.bloomberg.com/news/2011-08-11/fed-s-kocherlakota-hinted-at-willingness-to-break-ranks-on-policy-in-2010.html
Showing posts with label Fiat Dollar. Show all posts
Showing posts with label Fiat Dollar. Show all posts
Thursday, August 11, 2011
Fed to Hold Interest Rates Steady and Low – Fed Appears as Stupid and Slow!
August 9th, 2011
While the nation is in the throws of the Great Depression [and liquidity trap] of the New Millennium and with the recent [and probably long overdue] down-grading of U.S Government bonds, The Federal Reserve announced its plan to hold interest at all-time-low rates for two years. While history debatably has shown that lower interest rates during economic down-turns helps to increase dollars in the marketplace to spur economic growth, the present circumstances seem unlike anything in the nation’s history.
The Federal Reserve – while claiming to be acting in the nation’s interest – is quick to keep more and more dollars in the marketplace as this apparently allows the Fed to continue to ‘have its cake and eat it too.’ What I mean by such a statement is that the Fed clearly has a long-standing policy which includes the massive devaluation of the U.S. Dollar/Federal Reserve Note for any number of reasons of which I repeatedly have blogged. Now the Fed can try to flood more dollars into the marketplace through lower interest rates in a claimed attempt to help grow the economy out of this depression while also further devaluing the Dollar which appears as what the Fed has wanted for years. And, of course, it is likely the extremely devalued Dollar has led to this latest Great Depression [and liquidity trap]. This announced and extended low interest effort probably will be fruitless anyhow as the banks seem unwilling to lend money. In the end, Citizens should seek to understand why the Fed desires to appear as helping the nation while, in fact, it ultimately will continue its long-standing policy regime that has surely led us to this Great Depression [and liquidity trap] of the New Millennium – again, such a regime which includes as its cornerstone the extreme devaluation of the U.S. Dollar/Federal Reserve Note.
To continue along the same economic path that the Fed has invoked in the past and which likely caused the current economic difficulties surely seems foolish – in my opinion. So foolish does the policy regime of the Federal Reserve seem that it would appear that President Obama would do better to hire me as Treasury Secretary than to allow the Fed to do its own bidding and to continue its current policy regime with the apparent blessing of the Administration and Treasury Secretary Geithner (a Secretary who appears no more than as a mouthpiece for the Federal Reserve). Why do I say this? Read on….
What should the Federal Reserve System be doing in the midst of the Great Depression [and liquidity trap] of the New Millennium to help the nation? Well…, I think I know what they should be doing during this liquidity trap which has maintained this economic depression and I have blogged about my ideas in the past. Furthermore, without any doubt, I believe the nation would be better served to ‘Shred the [unconstitutional] Fed.’ The apparent fact remains, however, that the nation’s politicians are unwilling to ‘buck’ the all-mighty Federal Reserve System. (Ask me why, if you don’t think you know already.)
Of course, I am aware that no one may really understand how the nation’s and world’s economies function and interact. Regardless, in light of the Federal Reserve’s recent track record there appears one thing that we can all be sure of, such being that the nation would be in a better position economically if the Federal Reserve was to do exactly the opposite of what it thinks is best!!! Again, why do I say this? Because, given a liquidity trap compounded by an ever-devaluing Dollar, the low bond rates are the likely source of the economic problem!!! At the risk of sounding as arrogant as the Federal Reserve and our nation’s politicians, I find it odd that one such as I would even believe it necessary to explain such an issue to the fat-cats of the Federal Reserve that run and own our nation and its economy!!! As a result, I believe it is clear that The Federal Reserve and all those that endlessly support the Federal Reserve System are either stupid, in denial, or really don’t care about the welfare of the nation and its populace! It is clear at this point in time that the Fed doesn’t know what to do or doesn’t want to do as it should to fix the nation’s and world’s current economic mess.
Adam Vernon Trotter / AVT
See also:
Fed: Low rates to stay till at least mid-2013
http://www.marketwatch.com/story/fed-low-rates-to-stay-through-at-least-mid-2013-2011-08-09
U.S. Federal Government Debt Difficulties? What Should a Citizen Do?
http://adamvernontrotter.blogspot.com/2011/07/us-federal-government-debt-difficulties.html
Incompetence and Confusion: Federal Reserve to Raise Interest Rates? U.S.Dollar, Liquidity Trap, Inflation, and Savings.
http://adamvernontrotter.blogspot.com/2011/06/incompetence-and-confusion-federal.html
A Just Government Fears Not…
http://poetrybyadamvernontrotter.blogspot.com/2011/03/just-government-fears-not.html
While the nation is in the throws of the Great Depression [and liquidity trap] of the New Millennium and with the recent [and probably long overdue] down-grading of U.S Government bonds, The Federal Reserve announced its plan to hold interest at all-time-low rates for two years. While history debatably has shown that lower interest rates during economic down-turns helps to increase dollars in the marketplace to spur economic growth, the present circumstances seem unlike anything in the nation’s history.
The Federal Reserve – while claiming to be acting in the nation’s interest – is quick to keep more and more dollars in the marketplace as this apparently allows the Fed to continue to ‘have its cake and eat it too.’ What I mean by such a statement is that the Fed clearly has a long-standing policy which includes the massive devaluation of the U.S. Dollar/Federal Reserve Note for any number of reasons of which I repeatedly have blogged. Now the Fed can try to flood more dollars into the marketplace through lower interest rates in a claimed attempt to help grow the economy out of this depression while also further devaluing the Dollar which appears as what the Fed has wanted for years. And, of course, it is likely the extremely devalued Dollar has led to this latest Great Depression [and liquidity trap]. This announced and extended low interest effort probably will be fruitless anyhow as the banks seem unwilling to lend money. In the end, Citizens should seek to understand why the Fed desires to appear as helping the nation while, in fact, it ultimately will continue its long-standing policy regime that has surely led us to this Great Depression [and liquidity trap] of the New Millennium – again, such a regime which includes as its cornerstone the extreme devaluation of the U.S. Dollar/Federal Reserve Note.
To continue along the same economic path that the Fed has invoked in the past and which likely caused the current economic difficulties surely seems foolish – in my opinion. So foolish does the policy regime of the Federal Reserve seem that it would appear that President Obama would do better to hire me as Treasury Secretary than to allow the Fed to do its own bidding and to continue its current policy regime with the apparent blessing of the Administration and Treasury Secretary Geithner (a Secretary who appears no more than as a mouthpiece for the Federal Reserve). Why do I say this? Read on….
What should the Federal Reserve System be doing in the midst of the Great Depression [and liquidity trap] of the New Millennium to help the nation? Well…, I think I know what they should be doing during this liquidity trap which has maintained this economic depression and I have blogged about my ideas in the past. Furthermore, without any doubt, I believe the nation would be better served to ‘Shred the [unconstitutional] Fed.’ The apparent fact remains, however, that the nation’s politicians are unwilling to ‘buck’ the all-mighty Federal Reserve System. (Ask me why, if you don’t think you know already.)
Of course, I am aware that no one may really understand how the nation’s and world’s economies function and interact. Regardless, in light of the Federal Reserve’s recent track record there appears one thing that we can all be sure of, such being that the nation would be in a better position economically if the Federal Reserve was to do exactly the opposite of what it thinks is best!!! Again, why do I say this? Because, given a liquidity trap compounded by an ever-devaluing Dollar, the low bond rates are the likely source of the economic problem!!! At the risk of sounding as arrogant as the Federal Reserve and our nation’s politicians, I find it odd that one such as I would even believe it necessary to explain such an issue to the fat-cats of the Federal Reserve that run and own our nation and its economy!!! As a result, I believe it is clear that The Federal Reserve and all those that endlessly support the Federal Reserve System are either stupid, in denial, or really don’t care about the welfare of the nation and its populace! It is clear at this point in time that the Fed doesn’t know what to do or doesn’t want to do as it should to fix the nation’s and world’s current economic mess.
Adam Vernon Trotter / AVT
See also:
Fed: Low rates to stay till at least mid-2013
http://www.marketwatch.com/story/fed-low-rates-to-stay-through-at-least-mid-2013-2011-08-09
U.S. Federal Government Debt Difficulties? What Should a Citizen Do?
http://adamvernontrotter.blogspot.com/2011/07/us-federal-government-debt-difficulties.html
Incompetence and Confusion: Federal Reserve to Raise Interest Rates? U.S.Dollar, Liquidity Trap, Inflation, and Savings.
http://adamvernontrotter.blogspot.com/2011/06/incompetence-and-confusion-federal.html
A Just Government Fears Not…
http://poetrybyadamvernontrotter.blogspot.com/2011/03/just-government-fears-not.html
Wednesday, July 27, 2011
U.S. Federal Government Debt Difficulties? What Should a Citizen Do?
July 26th, 2011
To me, solving the long and short-term financial debt levels of the U.S. Federal government appears as an easy-fix. In my opinion, the debt levels could be drastically reduced while government agencies maintained sufficient funding to perform their required functions and no tax increases would be necessary. However, OUR nation’s governments and the politicians who populate those entities seem unable to recognize how to concurrently attain these goals – goals which may seem as a dichotomy to those blinded by long-standing and unnecessary government paradigms.
With our politicians and governments seeming as ignorant or as maintaining motives for not solving the nation’s economic difficulties, the American Citizen is then left in a quandary. Should the Citizen denounce and reject the U.S. [Federal] government, its politicians, and its typical way of business, or should the Citizen demand action within the allowances of nation’s current framework to rectify the many ills of the nation’s on-going economic problems? Essentially, I would tend to the latter choice and some combination of the following actions/changes within the nation's framework are what I would offer as demands to help to bring back the overall economic well-being of the Citizenry – in keeping with our nation’s current framework which allows for such changes:
FIRST, the Citizenry should DEMAND THE REPEAL OF THE ELEVENTH (11th) AMENDMENT to the U.S. Federal Constitution. The First ten amendments to that sacred document are what WE in America recognize as OUR Bill of Rights. It’s ironic that the first follow-on amendment added to the Constitution – after the first ten – is so opposed to the spirit of the Bill of Rights. The first ten amendments, of course, being brilliantly authored to reflect what is known to be Right and proper. Then along comes the Eleventh Amendment which attempts to do its best to negate much of the first ten amendments when such is applied to a U.S. state or government agency (and its officials) in our Land. By allowing the politicians, officials/bureaucrats, and governments themselves to stand in opposition to what is known to be Right and proper and true, and then for the Constitution to provide a shield from any liability for the governments’ negligence/ignorance, appears as contrary to the American way – with the American way being that WE are accountable for our actions and WE attempt to correct our mistakes. However, there is no denying that the Eleventh Amendment allows for absolute negligence from OUR governments. As they are not liable or held accountable for their actions, the government entities and officials then have little reason to care of negligence or ineptitude, apparently.
The SECOND DEMAND that the American populace should put forward to fix OUR current economic mess, in my opinion, is to DEMAND THE REMOVAL OF ANY POWERS ENUMERATED TO THE FEDERAL RESERVE SYSTEM concerning OUR nation’s economic well-being – powers which would appear as improperly/unconstitutionally enumerated from OUR Federal government. Aside from the nation’s current economic mess, even former Fed Chairman Alan Greenspan himself stated in his book that the economic boom years of the President Clinton era were a testament to the inability of the Federal Reserve to properly control the nation’s economy. Forgoing his explanation for his statement, such a statement nevertheless shows the Fed is not as all-knowing as it would hope to appear concerning our nation’s economy in spite of having the better part of a century in which to practice its economic operations. So it would seem to this day that the nation would probably be better off without the Fed – as was the nation for much of its history. Whatever the Fed might be doing to better the nation’s economy, such does not appear to be bettering the matter for the nation and the populace. Then again, maybe the Fed does not want to better the economy of the nation – as it is not a government agency, it maintains no fiduciary responsibility to anyone other than itself, nor does this federal/national banking cartel seem to be required to uphold the nation’s Constitution either, as would be required of Federal government employees/entities.
As a possible THIRD DEMAND to be in the best interest of the populace to fix the American nation’s current economic mess, I might suggest that AN INTRINSIC/REAL VALUE BE SET FOR OUR NATIONAL CURRENCY. I am aware that we have all heard (or been told) that a non-fluctuating [U.S.] currency or fixed exchange rate could not function in the modern financial era. Of course, for many years, OUR nation had no nationally recognized/issued paper currency. Once adopted, OUR printed currency then generally maintained a fixed-exchange rate for significant periods of time. Then, long about the 1970’s, or so, the American/U.S. Dollar (or Federal Reserve Note) became a traded commodity – and from the People’s perspective, the nation has slipped down the hill of economic well-being ever since. All the while during the nation's economic slide, the value of the Federal Reserve's gold holdings have likely increased ten-fold. Of course, the currently traded fiat Dollar and its varying exchange rate is essentially managed by the Federal Reserve System (with our dollar also being known as the Federal Reserve Note) – which brings us back to the first two demands as delineated above in this writing.
So again, I would suggest that its time to dump the Federal Reserve System and probably time to repeal the Eleventh (11th) Amendment to the U.S. Federal Constitution as well as fixing OUR currency. I can’t guarantee that these steps will immediately solve all the nation’s economic difficulties nor do I claim that there exists no other valid idea(s) for bettering OUR current economic well-being. However, I could guarantee that such steps/demands as explained above would likely go a long way toward fixing much of the nation’s current economic woes.
Adam Trotter / AVT
The Economy is Bad. Where is The Fed?
http://adamvernontrotter.blogspot.com/2011/07/economy-is-bad-where-is-fed.html
The U.S. Federal Government: Its Debt and Its Apparent Stupidity.
http://adamvernontrotter.blogspot.com/2011/07/us-federal-government-its-debt-and-its.html
To me, solving the long and short-term financial debt levels of the U.S. Federal government appears as an easy-fix. In my opinion, the debt levels could be drastically reduced while government agencies maintained sufficient funding to perform their required functions and no tax increases would be necessary. However, OUR nation’s governments and the politicians who populate those entities seem unable to recognize how to concurrently attain these goals – goals which may seem as a dichotomy to those blinded by long-standing and unnecessary government paradigms.
With our politicians and governments seeming as ignorant or as maintaining motives for not solving the nation’s economic difficulties, the American Citizen is then left in a quandary. Should the Citizen denounce and reject the U.S. [Federal] government, its politicians, and its typical way of business, or should the Citizen demand action within the allowances of nation’s current framework to rectify the many ills of the nation’s on-going economic problems? Essentially, I would tend to the latter choice and some combination of the following actions/changes within the nation's framework are what I would offer as demands to help to bring back the overall economic well-being of the Citizenry – in keeping with our nation’s current framework which allows for such changes:
FIRST, the Citizenry should DEMAND THE REPEAL OF THE ELEVENTH (11th) AMENDMENT to the U.S. Federal Constitution. The First ten amendments to that sacred document are what WE in America recognize as OUR Bill of Rights. It’s ironic that the first follow-on amendment added to the Constitution – after the first ten – is so opposed to the spirit of the Bill of Rights. The first ten amendments, of course, being brilliantly authored to reflect what is known to be Right and proper. Then along comes the Eleventh Amendment which attempts to do its best to negate much of the first ten amendments when such is applied to a U.S. state or government agency (and its officials) in our Land. By allowing the politicians, officials/bureaucrats, and governments themselves to stand in opposition to what is known to be Right and proper and true, and then for the Constitution to provide a shield from any liability for the governments’ negligence/ignorance, appears as contrary to the American way – with the American way being that WE are accountable for our actions and WE attempt to correct our mistakes. However, there is no denying that the Eleventh Amendment allows for absolute negligence from OUR governments. As they are not liable or held accountable for their actions, the government entities and officials then have little reason to care of negligence or ineptitude, apparently.
The SECOND DEMAND that the American populace should put forward to fix OUR current economic mess, in my opinion, is to DEMAND THE REMOVAL OF ANY POWERS ENUMERATED TO THE FEDERAL RESERVE SYSTEM concerning OUR nation’s economic well-being – powers which would appear as improperly/unconstitutionally enumerated from OUR Federal government. Aside from the nation’s current economic mess, even former Fed Chairman Alan Greenspan himself stated in his book that the economic boom years of the President Clinton era were a testament to the inability of the Federal Reserve to properly control the nation’s economy. Forgoing his explanation for his statement, such a statement nevertheless shows the Fed is not as all-knowing as it would hope to appear concerning our nation’s economy in spite of having the better part of a century in which to practice its economic operations. So it would seem to this day that the nation would probably be better off without the Fed – as was the nation for much of its history. Whatever the Fed might be doing to better the nation’s economy, such does not appear to be bettering the matter for the nation and the populace. Then again, maybe the Fed does not want to better the economy of the nation – as it is not a government agency, it maintains no fiduciary responsibility to anyone other than itself, nor does this federal/national banking cartel seem to be required to uphold the nation’s Constitution either, as would be required of Federal government employees/entities.
As a possible THIRD DEMAND to be in the best interest of the populace to fix the American nation’s current economic mess, I might suggest that AN INTRINSIC/REAL VALUE BE SET FOR OUR NATIONAL CURRENCY. I am aware that we have all heard (or been told) that a non-fluctuating [U.S.] currency or fixed exchange rate could not function in the modern financial era. Of course, for many years, OUR nation had no nationally recognized/issued paper currency. Once adopted, OUR printed currency then generally maintained a fixed-exchange rate for significant periods of time. Then, long about the 1970’s, or so, the American/U.S. Dollar (or Federal Reserve Note) became a traded commodity – and from the People’s perspective, the nation has slipped down the hill of economic well-being ever since. All the while during the nation's economic slide, the value of the Federal Reserve's gold holdings have likely increased ten-fold. Of course, the currently traded fiat Dollar and its varying exchange rate is essentially managed by the Federal Reserve System (with our dollar also being known as the Federal Reserve Note) – which brings us back to the first two demands as delineated above in this writing.
So again, I would suggest that its time to dump the Federal Reserve System and probably time to repeal the Eleventh (11th) Amendment to the U.S. Federal Constitution as well as fixing OUR currency. I can’t guarantee that these steps will immediately solve all the nation’s economic difficulties nor do I claim that there exists no other valid idea(s) for bettering OUR current economic well-being. However, I could guarantee that such steps/demands as explained above would likely go a long way toward fixing much of the nation’s current economic woes.
Adam Trotter / AVT
The Economy is Bad. Where is The Fed?
http://adamvernontrotter.blogspot.com/2011/07/economy-is-bad-where-is-fed.html
The U.S. Federal Government: Its Debt and Its Apparent Stupidity.
http://adamvernontrotter.blogspot.com/2011/07/us-federal-government-its-debt-and-its.html
Monday, July 18, 2011
The Economy is Bad. Where is The Fed?
July 16th, 2011
The national U.S. economy seems really bad. Where is The Federal Reserve System [/The Fed] and what are they doing about the nation’s current economic situation? As The Federal Reserve System has had the better part of a century to practice running the nation’s economy and while concurrently/potentially owning OUR Federal government, what is the U.S. central bank (who we call ‘The Fed’) doing to make the situation better and to end the on-going “Great Depression of the New Millennium?”
Is The Fed merely inept – as seems most of the national-level, government-type entities which run OUR country? (The Fed is not a government entity, however.) Is The Fed attempting to reduce the U.S. nation to “third world developing nation" status – with The Fed’s endless devaluation of the American Dollar? Or, is The Fed attempting some other clandestine undertaking of which the rest of us are unaware and such an operation requires the concurrent devastation of the “American way of life”– as we are all aware The Fed essentially is not required to answer to anyone for its actions?
I understand attempting to run a nation’s economy has many challenges, no doubt! Nevertheless, the apparent long-standing and on-going policy regime of The Fed currently [and long since] appears as ineffectual at protecting the nation’s economic well-being.
Unless some rational and verifiable excuse exists for the inability of The Federal Reserve System to better the nation’s economic condition – other than an excuse of its own ineptitude, clearly the time is at hand to “SHRED THE FED!!” Surely, the nation’s economy would be better off with no national banking cartel acting as a central bank while said cartel concurrently controls our currency and financial institutions and while this same central bank/cartel (The Fed) routinely seeks “arbitrage opportunities” for itself in addition to claiming no fiduciary responsibility to anyone – seemingly the least of which would include a fiduciary responsibility to the American people and the U.S. nation!
Adam Vernon Trotter / AVT
PS. The Fed appears content to have its New York mouthpiece, Mr. Timothy Geithner, running the U.S. Treasury Department while handing trillions of dollars to its banking buddies in ‘stimulus’ monies. (See: Geithner Said to Consider Leaving Treasury After Debt Debate; located at: http://www.bloomberg.com/news/2011-06-30/geithner-said-to-weigh-leaving-treasury-after-debt-ceiling-debate-resolved.html)
Also see:
On The Federal Reserve’s Plan to Buy-Back $600B in U.S. Government Debt…
http://adamvernontrotter.blogspot.com/2010/11/on-federal-reserves-plan-to-buy-back.html
Thomas Jefferson and the Federal Reserve System.
http://adamvernontrotter.blogspot.com/2010/06/thomas-jefferson-and-federal-reserve.html
Incompetence and Confusion: Federal Reserve to Raise Interest Rates? U.S.Dollar, Liquidity Trap, Inflation, and Savings.
http://adamvernontrotter.blogspot.com/2011/06/incompetence-and-confusion-federal.html
Definition of Terms: "Shred The Fed"
http://adamvernontrotter.blogspot.com/2011/02/definition-of-terms-shred-fed.html
The Great Depression of the New Millennium
http://poetrybyadamvernontrotter.blogspot.com/2011/03/great-depression-of-new-millennium.html
The Time to ‘Shred the Fed’ Appears to be At Hand.
http://adamvernontrotter.blogspot.com/2010/08/time-to-shred-fed-appears-to-be-at-hand.html
Allow the Federal Government to Control America’s Currency.
http://adamvernontrotter.blogspot.com/2009/06/allow-federal-government-to-control.html
What Would Happen With No U.S. Federal Government Debt?
http://adamvernontrotter.blogspot.com/2010/11/what-would-happen-with-no-us-federal.html
The national U.S. economy seems really bad. Where is The Federal Reserve System [/The Fed] and what are they doing about the nation’s current economic situation? As The Federal Reserve System has had the better part of a century to practice running the nation’s economy and while concurrently/potentially owning OUR Federal government, what is the U.S. central bank (who we call ‘The Fed’) doing to make the situation better and to end the on-going “Great Depression of the New Millennium?”
Is The Fed merely inept – as seems most of the national-level, government-type entities which run OUR country? (The Fed is not a government entity, however.) Is The Fed attempting to reduce the U.S. nation to “third world developing nation" status – with The Fed’s endless devaluation of the American Dollar? Or, is The Fed attempting some other clandestine undertaking of which the rest of us are unaware and such an operation requires the concurrent devastation of the “American way of life”– as we are all aware The Fed essentially is not required to answer to anyone for its actions?
I understand attempting to run a nation’s economy has many challenges, no doubt! Nevertheless, the apparent long-standing and on-going policy regime of The Fed currently [and long since] appears as ineffectual at protecting the nation’s economic well-being.
Unless some rational and verifiable excuse exists for the inability of The Federal Reserve System to better the nation’s economic condition – other than an excuse of its own ineptitude, clearly the time is at hand to “SHRED THE FED!!” Surely, the nation’s economy would be better off with no national banking cartel acting as a central bank while said cartel concurrently controls our currency and financial institutions and while this same central bank/cartel (The Fed) routinely seeks “arbitrage opportunities” for itself in addition to claiming no fiduciary responsibility to anyone – seemingly the least of which would include a fiduciary responsibility to the American people and the U.S. nation!
Adam Vernon Trotter / AVT
PS. The Fed appears content to have its New York mouthpiece, Mr. Timothy Geithner, running the U.S. Treasury Department while handing trillions of dollars to its banking buddies in ‘stimulus’ monies. (See: Geithner Said to Consider Leaving Treasury After Debt Debate; located at: http://www.bloomberg.com/news/2011-06-30/geithner-said-to-weigh-leaving-treasury-after-debt-ceiling-debate-resolved.html)
Also see:
On The Federal Reserve’s Plan to Buy-Back $600B in U.S. Government Debt…
http://adamvernontrotter.blogspot.com/2010/11/on-federal-reserves-plan-to-buy-back.html
Thomas Jefferson and the Federal Reserve System.
http://adamvernontrotter.blogspot.com/2010/06/thomas-jefferson-and-federal-reserve.html
Incompetence and Confusion: Federal Reserve to Raise Interest Rates? U.S.Dollar, Liquidity Trap, Inflation, and Savings.
http://adamvernontrotter.blogspot.com/2011/06/incompetence-and-confusion-federal.html
Definition of Terms: "Shred The Fed"
http://adamvernontrotter.blogspot.com/2011/02/definition-of-terms-shred-fed.html
The Great Depression of the New Millennium
http://poetrybyadamvernontrotter.blogspot.com/2011/03/great-depression-of-new-millennium.html
The Time to ‘Shred the Fed’ Appears to be At Hand.
http://adamvernontrotter.blogspot.com/2010/08/time-to-shred-fed-appears-to-be-at-hand.html
Allow the Federal Government to Control America’s Currency.
http://adamvernontrotter.blogspot.com/2009/06/allow-federal-government-to-control.html
What Would Happen With No U.S. Federal Government Debt?
http://adamvernontrotter.blogspot.com/2010/11/what-would-happen-with-no-us-federal.html
Wednesday, June 8, 2011
Incompetence and Confusion: Federal Reserve to Raise Interest Rates? U.S.Dollar, Liquidity Trap, Inflation, and Savings.
May 31st, 2011
The Federal Reserve System appears as an organization at odds with itself. On one hand it claims no fiduciary responsibility to anyone while on the other hand it claims to be concerned for economic welfare of the United States – while maintaining no apparent or mandated constitutional authority for its power, it should be noted. Furthermore, while employing the most arrogant of economic experts from the nation’s most arrogant of educational institutions, The Fed appears as completely incompetent while knowing no more of how to fix the currently listless U.S. economy than does the average simpleton. Additionally, The Fed appears as an organization which has been dishonest and has lied to the American people for so long that The Fed surely now takes the American public for complete idiots as well, all the while professing to the nation of how it cares for our economic welfare. Now, “A top Federal Reserve official says it is time to raise interest rates to avoid causing inflation and economic problems.” (See WSJ link below for quote source.)
The Fed has completely devalued the dollar to a fraction of its prior value (review the historic price of gold). Such currency devaluation was apparently done for any of several arguable reasons (to compete with cheap labor from other nations, to create a currency war, or most likely, to ‘swindle’ Chinese creditors). Not the least of these possible reasons for devaluing the dollar, it seems, was to artificially increase prices in an attempt to superficially – and by definition – put an end to any current economic depression (by artificially bolstering the U.S. GNP as a result of increased prices due to the devalued dollar) - which would help any politician running for reelection, btw.
As for raising interest rates to alleviate inflation pressures, clearly, the devalued dollar would be the only true driving factor for any increased pressures of inflation – as the majority of the population has long been unemployed or underemployed. Consequently, consumer demand and spending could not be causing any inflation. While some may counter that the increased price of fuel has caused inflation pressures to rise, it is likely that the increased price of fuel is also largely a result of the devalued U.S. Dollar (Federal Reserve Note) – a point which I will show at a future date when I have the time. Additionally, anyone that knows anything about economics knows that our government welcomes inflation for its contracting purposes in addition to its [and The Fed's] apparently concerted seigniorage efforts (see inflation tax, fiat dollar/money, and printing money).
As a testament to the level of fools for which The Fed apparently assumes comprises the majority of the U.S. populace, during the midst of the heightened and escalating devaluation of the Dollar – a devaluation resulting from The Fed’s actions, The Fed now wants the populace to increase its savings (according to the WSJ article below which quotes the head of the K.C. Fed). That is, The Fed apparently wants us to increase our savings levels while it continues to devalue the dollar – as if the U.S. populace could be as stupid as the Chinese creditors to allow the banks to hold our money/wealth while the central bank (The Fed) devalues the money to a level where it is worth less than when the money was put into any savings account. Even the Chinese fools/creditors eventually caught-on to what was happening in that regard. Now The Fed (apparently with no more foreigners around to swindle) expects the average American to be just as stupid as the Chinese had been. And additionally, of course, few Americans have jobs which would allow for saving any money, anyhow. What’s more, as a result of the economic depression, depressed real estate values, and nonexistent demand for workers, many retirement savings of aging Americans has long since been wiped-out – all the while during recent years The Fed maintaining an apparent historic position of desiring any such retirement savings to be invested in the equities markets and not kept in savings accounts.
Nevertheless, I must admit, given the listless U.S. economy and the liquidity trap which appears to have gripped the same, The Fed surely needs to do something different (other than lining its own pockets while increasing the value of its gold reserves which it has done superbly well over recent decades with the devalued dollar). Clearly the U.S. economy is in the throws of a liquidity trap. Few, other than myself – apparently, are even willing to admit the possibility of such a liquidity trap in the U.S. Most probably won’t admit such a possibility because they fear reprisals and retribution for stating such from the all-powerful Federal Reserve System and its government lackeys. When corporations pursue capital investments in infrastructure, for example, such typically increases the need for workers (which is a good thing). However, when corporations make these capital investments – say in new facilities, they often secure/sell bonds to ensure the financing of the capital improvement effort. There in lies the rub and the basis of the liquidity trap as well. Because, when interest rates are at an all time low rate of return (as they are currently), the interest rate ultimately has nowhere to go but up. When one buys a bond at one rate of return and then the rate is increased for new bonds, the value of the bond at the lower rate of return is then worth a lesser face value than when it was purchased. Therefore the holder of that bond at the lower interest rate has now lost money due to the availability of a bond at an increased interest rate. So in other words, no one wants to buy any bonds with such low rates of returns as they currently stand because such would surely be a losing investment to the purchaser of bonds. Furthermore, according to some, increased savings only worsens a liquidity trap – and, in fact, any economics textbook will tell you to throw money at a liquidity trap.
So what is The Fed’s true intent in this matter of seeking increased interest rates? Given its lack of fiduciary responsibility to anyone other than itself and its minimal transparency to observers, it is unlikely that any outsider will ever know what is the true intent of The Federal Reserve System. Given the hold and power The Fed has over our governments and politicians, it is unlikely that our governments and legal establishments will help us in this regard either. To be clear, the Nation's Founding Fathers stood against a national/Federal Bank and included no such allowance for a delegation of financial power/authority to a non-government agency/banking cartel [such as The Federal Reserve System] in our American Nation's Constitution.
Surely, it is probably best to let the economy drive itself rather than to let this banking cartel known as The Federal Reserve System make economic policy. After being in existence for nearly one hundred years, if The Fed has not determined by now what to do during times of economic woes to benefit the nation, what is the point in having it run our money supply and setting monetary and fiscal policy? As such, the time is clearly at hand to “SHRED THE FED”!!!
Adam Vernon Trotter / AVT
PS. Should time/history prove The Fed System to be less than forthright, let us hope that ultimate justice exists in the universe and that those bankers who were reported to have secretly met at Jekyll Island nearly one hundred years ago to frame The Federal Reserve System are now being subjected to that ultimate justice – as we can also hope the same ultimate justice will exist for the politicians, lawyers, and judges who continue to allow for the perpetuation of any seemingly corrupt and incompetent Federal Reserve System to this day.
Kansas City Fed's Hoenig Sees Need to Lift Rates
http://online.wsj.com/article/SB10001424052702303657404576353393578116276.html
Liquidity trap
http://en.wikipedia.org/wiki/Liquidity_trap
How Much Of The World Is In a Liquidity Trap? (Krugman)
http://krugman.blogs.nytimes.com/2010/03/17/how-much-of-the-world-is-in-a-liquidity-trap/
Liquidity Trap
http://www.investopedia.com/terms/l/liquiditytrap.asp
Definition of Terms: "Shred The Fed"
http://adamvernontrotter.blogspot.com/2011/02/definition-of-terms-shred-fed.html
Concerning the Federal Reserve System and Fiduciary Responsibility….
http://adamvernontrotter.blogspot.com/2010/10/concerning-federal-reserve-system-and.html
Thomas Jefferson and the Federal Reserve System.
http://adamvernontrotter.blogspot.com/2010/06/thomas-jefferson-and-federal-reserve.html
The Federal Reserve System appears as an organization at odds with itself. On one hand it claims no fiduciary responsibility to anyone while on the other hand it claims to be concerned for economic welfare of the United States – while maintaining no apparent or mandated constitutional authority for its power, it should be noted. Furthermore, while employing the most arrogant of economic experts from the nation’s most arrogant of educational institutions, The Fed appears as completely incompetent while knowing no more of how to fix the currently listless U.S. economy than does the average simpleton. Additionally, The Fed appears as an organization which has been dishonest and has lied to the American people for so long that The Fed surely now takes the American public for complete idiots as well, all the while professing to the nation of how it cares for our economic welfare. Now, “A top Federal Reserve official says it is time to raise interest rates to avoid causing inflation and economic problems.” (See WSJ link below for quote source.)
The Fed has completely devalued the dollar to a fraction of its prior value (review the historic price of gold). Such currency devaluation was apparently done for any of several arguable reasons (to compete with cheap labor from other nations, to create a currency war, or most likely, to ‘swindle’ Chinese creditors). Not the least of these possible reasons for devaluing the dollar, it seems, was to artificially increase prices in an attempt to superficially – and by definition – put an end to any current economic depression (by artificially bolstering the U.S. GNP as a result of increased prices due to the devalued dollar) - which would help any politician running for reelection, btw.
As for raising interest rates to alleviate inflation pressures, clearly, the devalued dollar would be the only true driving factor for any increased pressures of inflation – as the majority of the population has long been unemployed or underemployed. Consequently, consumer demand and spending could not be causing any inflation. While some may counter that the increased price of fuel has caused inflation pressures to rise, it is likely that the increased price of fuel is also largely a result of the devalued U.S. Dollar (Federal Reserve Note) – a point which I will show at a future date when I have the time. Additionally, anyone that knows anything about economics knows that our government welcomes inflation for its contracting purposes in addition to its [and The Fed's] apparently concerted seigniorage efforts (see inflation tax, fiat dollar/money, and printing money).
As a testament to the level of fools for which The Fed apparently assumes comprises the majority of the U.S. populace, during the midst of the heightened and escalating devaluation of the Dollar – a devaluation resulting from The Fed’s actions, The Fed now wants the populace to increase its savings (according to the WSJ article below which quotes the head of the K.C. Fed). That is, The Fed apparently wants us to increase our savings levels while it continues to devalue the dollar – as if the U.S. populace could be as stupid as the Chinese creditors to allow the banks to hold our money/wealth while the central bank (The Fed) devalues the money to a level where it is worth less than when the money was put into any savings account. Even the Chinese fools/creditors eventually caught-on to what was happening in that regard. Now The Fed (apparently with no more foreigners around to swindle) expects the average American to be just as stupid as the Chinese had been. And additionally, of course, few Americans have jobs which would allow for saving any money, anyhow. What’s more, as a result of the economic depression, depressed real estate values, and nonexistent demand for workers, many retirement savings of aging Americans has long since been wiped-out – all the while during recent years The Fed maintaining an apparent historic position of desiring any such retirement savings to be invested in the equities markets and not kept in savings accounts.
Nevertheless, I must admit, given the listless U.S. economy and the liquidity trap which appears to have gripped the same, The Fed surely needs to do something different (other than lining its own pockets while increasing the value of its gold reserves which it has done superbly well over recent decades with the devalued dollar). Clearly the U.S. economy is in the throws of a liquidity trap. Few, other than myself – apparently, are even willing to admit the possibility of such a liquidity trap in the U.S. Most probably won’t admit such a possibility because they fear reprisals and retribution for stating such from the all-powerful Federal Reserve System and its government lackeys. When corporations pursue capital investments in infrastructure, for example, such typically increases the need for workers (which is a good thing). However, when corporations make these capital investments – say in new facilities, they often secure/sell bonds to ensure the financing of the capital improvement effort. There in lies the rub and the basis of the liquidity trap as well. Because, when interest rates are at an all time low rate of return (as they are currently), the interest rate ultimately has nowhere to go but up. When one buys a bond at one rate of return and then the rate is increased for new bonds, the value of the bond at the lower rate of return is then worth a lesser face value than when it was purchased. Therefore the holder of that bond at the lower interest rate has now lost money due to the availability of a bond at an increased interest rate. So in other words, no one wants to buy any bonds with such low rates of returns as they currently stand because such would surely be a losing investment to the purchaser of bonds. Furthermore, according to some, increased savings only worsens a liquidity trap – and, in fact, any economics textbook will tell you to throw money at a liquidity trap.
So what is The Fed’s true intent in this matter of seeking increased interest rates? Given its lack of fiduciary responsibility to anyone other than itself and its minimal transparency to observers, it is unlikely that any outsider will ever know what is the true intent of The Federal Reserve System. Given the hold and power The Fed has over our governments and politicians, it is unlikely that our governments and legal establishments will help us in this regard either. To be clear, the Nation's Founding Fathers stood against a national/Federal Bank and included no such allowance for a delegation of financial power/authority to a non-government agency/banking cartel [such as The Federal Reserve System] in our American Nation's Constitution.
Surely, it is probably best to let the economy drive itself rather than to let this banking cartel known as The Federal Reserve System make economic policy. After being in existence for nearly one hundred years, if The Fed has not determined by now what to do during times of economic woes to benefit the nation, what is the point in having it run our money supply and setting monetary and fiscal policy? As such, the time is clearly at hand to “SHRED THE FED”!!!
Adam Vernon Trotter / AVT
PS. Should time/history prove The Fed System to be less than forthright, let us hope that ultimate justice exists in the universe and that those bankers who were reported to have secretly met at Jekyll Island nearly one hundred years ago to frame The Federal Reserve System are now being subjected to that ultimate justice – as we can also hope the same ultimate justice will exist for the politicians, lawyers, and judges who continue to allow for the perpetuation of any seemingly corrupt and incompetent Federal Reserve System to this day.
Kansas City Fed's Hoenig Sees Need to Lift Rates
http://online.wsj.com/article/SB10001424052702303657404576353393578116276.html
Liquidity trap
http://en.wikipedia.org/wiki/Liquidity_trap
How Much Of The World Is In a Liquidity Trap? (Krugman)
http://krugman.blogs.nytimes.com/2010/03/17/how-much-of-the-world-is-in-a-liquidity-trap/
Liquidity Trap
http://www.investopedia.com/terms/l/liquiditytrap.asp
Definition of Terms: "Shred The Fed"
http://adamvernontrotter.blogspot.com/2011/02/definition-of-terms-shred-fed.html
Concerning the Federal Reserve System and Fiduciary Responsibility….
http://adamvernontrotter.blogspot.com/2010/10/concerning-federal-reserve-system-and.html
Thomas Jefferson and the Federal Reserve System.
http://adamvernontrotter.blogspot.com/2010/06/thomas-jefferson-and-federal-reserve.html
Thursday, February 17, 2011
Inflation Pressures Somewhat Rise for No Apparent Reason other than the Efforts of the Federal Reserve. ‘SHRED THE FED’!!!
February 17th, 2011
As reported early this morning by WYNS (1010 "WINS" AM Radio) in New York City, inflation pressures are apparently on the rise - with the radio station reporting that prices had risen 0.8% (though I am not for what period or who they were quoting). Today, the Consumer Price Index (CPI) economic indicator was released and it also seems to confirm that prices are on the rise as well (0.4% increase since the previous month).
Anyone that knows anything of economics surely knows that, during the ‘normal’ course of economic events, inflation typically only rises when much of the workforce is gainfully employed and therefore competition surfaces between consumers for the available goods – which in turn causes prices to rise and inflation to occur. Of course, we are not in any ‘normal’ times and, in reality, the American Nation is still in the throws of a major depression with unemployment staying at near record high levels.
So, given this basic knowledge of economics and the current realities of the American economy, what then has caused this latest round of inflation to arise?
Clearly, this latest rise in inflation appears as the result of no other reason than that of the concerted efforts of the Federal Reserve System and its continued and never-ending devaluation of the dollar – of which I have long blogged. Of course, the Fed and others may argue that the continued devaluation of the dollar (Federal Reserve Note) is to the benefit of the American populace and Nation. I would merely respond with telling those that may believe that logic to go and ask the average citizen if the devalued dollar is of any benefit to the typical homeowner/consumer - who now may have to make a choice between buying milk and bread or rather to buy gasoline because of rising prices the average homeowner/consumer may no longer afford to buy both! Of course, the argument could be made that increased fuel costs are adding to any inflationary pressures. However, I would counter any such assertions with the apparent fact that much of the increased fuel costs are a direct result of the devalued dollar - a fact that I am confident I could easily verify/prove.
In reality, however, there could be any number of other reasons why the apparently self-serving/inept/nearly-criminal Federal Reserve System continues to devalue the dollar/Federal Reserve Note. One such reason would be merely that the Fed desires to forever increase the value of its gold holdings. Another reason, of course, is that the nation is again approaching another national election and therefore the Fed has decided to artificially increase prices (by devaluing the dollar) and therefore try to also artificially increase the Gross Domestic Product (GDP) which, by definition, would mean that the depression/recession has officially ended. By artificially ending the current depression/recession, the Fed would be coming to the rescue of its apparent errand-boys and lackeys in elected positions – with these individuals forever holding positions of power such as the White House and Congress.
What hold does the Federal Reserve System have on our government which allows the Fed to remain in power and to control our government as well as our Nation? What hold does the Fed maintain, in deed, as such a hold was clearly against the wishes/intent (and warned against) by the Founding Fathers of our American Nation – if not blatantly against the U.S. Federal Constitution? How is it that the Fed stays in control when our Founding Fathers expressly seemed to state in the U.S. Federal Constitution that no outside entities should ever control the money supply of our Nation?
Therefore, as such, I would surmise that the time is approaching to ‘SHRED THE FED’!!! It would appear that the only way to effect any ‘shredding of the Fed’/discontinuation of the Federal Reserve System is to elect politicians who care more for the well being of the American populace than the politician would care for the purse-strings of the wealthy bankers of our nation and the world. Does such a politician exist? Will I have to run for Congress to this end? Or, would the bankers and the Fed [and its cronies and lawyers/judges throughout our governments and legal establishments] act in accordance with the long list of tyrants throughout world history and merely extinguish any such politician for making such a suggestion as ‘shredding the Fed,’ I have to wonder – as typically the bankers apparently care for nothing above money which then seem to include the disregard of any laws governing the conduct of decent human beings as well? I would be happy to expand on these thoughts, should anyone ask – by the way. Am I only one of a few that is willing to put forth these thoughts for all to hear?
Adam Vernon Trotter / AVT
See:
U.S. core CPI rises more-than-expected in January
http://www.forexpros.com/news/economic-indicators/u.s.-core-cpi-rises-more-than-expected-in-january-195684
Latest Data Show Percolating Prices
http://newswires-americas.com/markettalk/?p=15234
Economic News Release
http://www.bls.gov/bls/newsrels.htm
Daily Outlook:
http://fxessentials.com/2011/02/17/europe/express-fx-february-17-2011/
The following seems to somewhat disagree with my logic – if one removes food and energy from index (?!?), but probably a banker/wall street type:
(…deflation must be stopped by the Fed at all costs…). This author must be wealthy and have gold holdings too.
Core CPI Up, but Still Tame
http://www.zacks.com/stock/news/47777/Core+CPI+Up,+but+Still+Tame
See also:
http://adamvernontrotter.blogspot.com/2009/06/allow-federal-government-to-control.html
http://adamvernontrotter.blogspot.com/2011/02/repeal-eleventh-11th-amendment-to-us.html
http://adamvernontrotter.blogspot.com/2010/08/time-to-shred-fed-appears-to-be-at-hand.html
http://adamvernontrotter.blogspot.com/2010/06/thomas-jefferson-and-federal-reserve.html
http://adamvernontrotter.blogspot.com/2010/10/concerning-federal-reserve-system-and.html
http://adamvernontrotter.blogspot.com/2009/10/fractional-banking-system-no-longer.html
http://adamvernontrotter.blogspot.com/2011/01/us-governmentobama-administration-wants.html
http://adamvernontrotter.blogspot.com/2010/11/on-federal-reserves-plan-to-buy-back.html
http://adamvernontrotter.blogspot.com/2010/11/what-would-happen-with-no-us-federal.html
http://adamvernontrotter.blogspot.com/2010/10/currency-war.html
http://adamvernontrotter.blogspot.com/2010/10/fed-to-buy-back-government-debt.html
http://adamvernontrotter.blogspot.com/2010/09/include-soup-kitchens-in-next-federal.html
http://adamvernontrotter.blogspot.com/2010/01/report-true-unemployment-numbers-or.html
http://adamvernontrotter.blogspot.com/2009/09/michael-moores-new-movie-capitalism.html
http://adamvernontrotter.blogspot.com/2009/06/us-credit-rating-has-been-or-is-being.html
http://adamvernontrotter.blogspot.com/2009/02/federal-reserve-chairman-bernanke.html
http://adamvernontrotter.blogspot.com/2009/02/congressman-meeks-re-liquidity.html
As reported early this morning by WYNS (1010 "WINS" AM Radio) in New York City, inflation pressures are apparently on the rise - with the radio station reporting that prices had risen 0.8% (though I am not for what period or who they were quoting). Today, the Consumer Price Index (CPI) economic indicator was released and it also seems to confirm that prices are on the rise as well (0.4% increase since the previous month).
Anyone that knows anything of economics surely knows that, during the ‘normal’ course of economic events, inflation typically only rises when much of the workforce is gainfully employed and therefore competition surfaces between consumers for the available goods – which in turn causes prices to rise and inflation to occur. Of course, we are not in any ‘normal’ times and, in reality, the American Nation is still in the throws of a major depression with unemployment staying at near record high levels.
So, given this basic knowledge of economics and the current realities of the American economy, what then has caused this latest round of inflation to arise?
Clearly, this latest rise in inflation appears as the result of no other reason than that of the concerted efforts of the Federal Reserve System and its continued and never-ending devaluation of the dollar – of which I have long blogged. Of course, the Fed and others may argue that the continued devaluation of the dollar (Federal Reserve Note) is to the benefit of the American populace and Nation. I would merely respond with telling those that may believe that logic to go and ask the average citizen if the devalued dollar is of any benefit to the typical homeowner/consumer - who now may have to make a choice between buying milk and bread or rather to buy gasoline because of rising prices the average homeowner/consumer may no longer afford to buy both! Of course, the argument could be made that increased fuel costs are adding to any inflationary pressures. However, I would counter any such assertions with the apparent fact that much of the increased fuel costs are a direct result of the devalued dollar - a fact that I am confident I could easily verify/prove.
In reality, however, there could be any number of other reasons why the apparently self-serving/inept/nearly-criminal Federal Reserve System continues to devalue the dollar/Federal Reserve Note. One such reason would be merely that the Fed desires to forever increase the value of its gold holdings. Another reason, of course, is that the nation is again approaching another national election and therefore the Fed has decided to artificially increase prices (by devaluing the dollar) and therefore try to also artificially increase the Gross Domestic Product (GDP) which, by definition, would mean that the depression/recession has officially ended. By artificially ending the current depression/recession, the Fed would be coming to the rescue of its apparent errand-boys and lackeys in elected positions – with these individuals forever holding positions of power such as the White House and Congress.
What hold does the Federal Reserve System have on our government which allows the Fed to remain in power and to control our government as well as our Nation? What hold does the Fed maintain, in deed, as such a hold was clearly against the wishes/intent (and warned against) by the Founding Fathers of our American Nation – if not blatantly against the U.S. Federal Constitution? How is it that the Fed stays in control when our Founding Fathers expressly seemed to state in the U.S. Federal Constitution that no outside entities should ever control the money supply of our Nation?
Therefore, as such, I would surmise that the time is approaching to ‘SHRED THE FED’!!! It would appear that the only way to effect any ‘shredding of the Fed’/discontinuation of the Federal Reserve System is to elect politicians who care more for the well being of the American populace than the politician would care for the purse-strings of the wealthy bankers of our nation and the world. Does such a politician exist? Will I have to run for Congress to this end? Or, would the bankers and the Fed [and its cronies and lawyers/judges throughout our governments and legal establishments] act in accordance with the long list of tyrants throughout world history and merely extinguish any such politician for making such a suggestion as ‘shredding the Fed,’ I have to wonder – as typically the bankers apparently care for nothing above money which then seem to include the disregard of any laws governing the conduct of decent human beings as well? I would be happy to expand on these thoughts, should anyone ask – by the way. Am I only one of a few that is willing to put forth these thoughts for all to hear?
Adam Vernon Trotter / AVT
See:
U.S. core CPI rises more-than-expected in January
http://www.forexpros.com/news/economic-indicators/u.s.-core-cpi-rises-more-than-expected-in-january-195684
Latest Data Show Percolating Prices
http://newswires-americas.com/markettalk/?p=15234
Economic News Release
http://www.bls.gov/bls/newsrels.htm
Daily Outlook:
http://fxessentials.com/2011/02/17/europe/express-fx-february-17-2011/
The following seems to somewhat disagree with my logic – if one removes food and energy from index (?!?), but probably a banker/wall street type:
(…deflation must be stopped by the Fed at all costs…). This author must be wealthy and have gold holdings too.
Core CPI Up, but Still Tame
http://www.zacks.com/stock/news/47777/Core+CPI+Up,+but+Still+Tame
See also:
http://adamvernontrotter.blogspot.com/2009/06/allow-federal-government-to-control.html
http://adamvernontrotter.blogspot.com/2011/02/repeal-eleventh-11th-amendment-to-us.html
http://adamvernontrotter.blogspot.com/2010/08/time-to-shred-fed-appears-to-be-at-hand.html
http://adamvernontrotter.blogspot.com/2010/06/thomas-jefferson-and-federal-reserve.html
http://adamvernontrotter.blogspot.com/2010/10/concerning-federal-reserve-system-and.html
http://adamvernontrotter.blogspot.com/2009/10/fractional-banking-system-no-longer.html
http://adamvernontrotter.blogspot.com/2011/01/us-governmentobama-administration-wants.html
http://adamvernontrotter.blogspot.com/2010/11/on-federal-reserves-plan-to-buy-back.html
http://adamvernontrotter.blogspot.com/2010/11/what-would-happen-with-no-us-federal.html
http://adamvernontrotter.blogspot.com/2010/10/currency-war.html
http://adamvernontrotter.blogspot.com/2010/10/fed-to-buy-back-government-debt.html
http://adamvernontrotter.blogspot.com/2010/09/include-soup-kitchens-in-next-federal.html
http://adamvernontrotter.blogspot.com/2010/01/report-true-unemployment-numbers-or.html
http://adamvernontrotter.blogspot.com/2009/09/michael-moores-new-movie-capitalism.html
http://adamvernontrotter.blogspot.com/2009/06/us-credit-rating-has-been-or-is-being.html
http://adamvernontrotter.blogspot.com/2009/02/federal-reserve-chairman-bernanke.html
http://adamvernontrotter.blogspot.com/2009/02/congressman-meeks-re-liquidity.html
Tuesday, January 18, 2011
U.S. Government/Obama Administration Wants China to Stop Devaluing Its Currency. Which is the Free Nation and Which is Communistic/Fascist?
January 18th, 2011
In anticipation of the expected meeting tomorrow at the White House between President Obama and China’s President, ABC’s World News with Diane Sawyer reported this evening on the U.S. Government’s/Obama Administration’s efforts to “level the playing field" regarding trade with China. One of the topics of concern to the U.S. Government/Obama Administration is reportedly the continued devaluation of the Chinese currency.
Say what???!?!?!?
If that’s not the proverbial “pot calling the kettle black”. I mean… does our government consider the news viewing public idiotic – or is it merely ABC News that believes the viewers of its news program to be stupid? After such a report that appears totally ignorant of the apparent truth in this matter or, at a minimum, is attempting to not reveal the entire truth of the matter, I likely would not believe anything ABC News reports on the economy.
The United States – via the Federal Reserve System – has been devaluing our currency for most of the last one hundred years with particularly concerted efforts to this end during the last several years [if not decades]. One only needs to review the price of gold [in dollars] for evidence of our devalued currency (or read more of my blog). In fact, I am fairly confident that the Chinese government has re-linked the exchange rate of their currency to the U.S. Dollar a few years ago – displaying that they are not stupid either (see notes below). Therefore, if the dollar continues to become devalued, so in turn will the Chinese currency. Furthermore, unlike the Federal Reserve System and the ‘U.S Dollar,’ to my knowledge the Chinese government was never warned against the escalation of a “currency war” by the European Central Bank (ECB) as was the Federal Reserve System warned of such a few months back by the ECB regarding The Fed’s continued devaluation efforts of the ‘U.S. Dollar’/Federal Reserve Note. (See: http://adamvernontrotter.blogspot.com/2010/10/fed-to-buy-back-government-debt.html )
What is of particular interest and displayed by stories such as these, is the limited amount of reporting on items such as the continued devaluation efforts of the ‘U.S. Dollar’/Federal Reserve Note, the previously [albeit minimally] reported down-grading of American government securities instruments such as U.S. government bonds (downgraded by the Chinese, at least - and downgraded by others too as I recall, reports of which I can not locate at the time of this writing), and the limited amount of reporting of issues such as the Chinese government’s efforts to protect its financial interests by linking the exchange rate of its currency to the exchange rate of the dollar.
So again I ask, is it the U.S. government (and the Federal Reserve System) and/or ABC News who consider the U.S. general public and network news viewers to be total idiots with absolutely no knowledge of economics and international monetary policy or do these sources of information merely prefer not to report the entire truth? As time has now shown by tonight’s newscast, apparently all of them (ABC News, The Fed, and the U.S. Government) must consider the U.S. public/populace to be completely ignorant of economics and the current realities of international monetary policy. Clearly we can now legitimately ask: Can we no longer trust our news media sources to report the entire truth of any issue to the nation? (A question I have put forth previously, btw. See: http://adamvernontrotter.blogspot.com/2010/05/is-nation-under-siege-could-we-trust.html)
I mean…., concerning truth in reporting by the media as well as the truth regarding the continued devaluation of currency, which is the free nation and which nation is communistic / fascist?
Adam Trotter / AVT
See also:
How Currency Choices 'Made in China' Have Big Impact on U.S. Economy
REPORT AIR DATE: Jan. 18, 2011.
http://www.pbs.org/newshour/bb/business/jan-june11/chinacurrency_01-18.html
"SUMMARY
Economics correspondent Paul Solman looks at the ongoing dispute between the U.S. and China over currency and trade. Amid its trade deficit with China, the U.S. wants to pressure the Chinese to let their currency, the renminbi, rise in value instead of pegging it to the dollar.
PAUL SOLMAN: For many years, China glued its currency to the U.S. dollar. But, starting in 2005, China loosened its grip, letting the value of the dollar fall against the renminbi, some 20 percent over three years.
But, in 2008, the world financial crisis hit, and China reglued the renminbi to the dollar. In the aftermath, China has recovered, while the U.S. economy limps along, our unemployment rate distressingly high."
///
http://en.wikipedia.org/wiki/Fixed_exchange_rate (yea, I know we are not supposed to quote wikipedia)
“…There are no major economic players that use a fixed exchange rate (except the countries using the euro and the Chinese yuan). … Another, less used means of maintaining a fixed exchange rate is by simply making it illegal to trade currency at any other rate. This is difficult to enforce and often leads to a black market in foreign currency. Nonetheless, some countries are highly successful at using this method due to government monopolies over all money conversion. This was the method employed by the Chinese government to maintain a currency peg or tightly banded float against the US dollar. …” Which, as is typical for wikipedia, this information is seemingly contradicted further down the webpage.
///
An of course, there are others that say the Chinese currency is pegged to a ‘basket’ of currencies; but I don’t know how current this article is.
What is the United States Dollar (USD)?
http://www.gocurrency.com/countries/united_states.htm
“…A significant recent development is the action of the People's Republic of China: the renminbi had once been informally and controversially pegged to the dollar (since the mid-1990s, at 1 U.S. dollar = 8.28 Y); however the peg was removed on July 21, 2005. Instead, China has a managed float against a basket of currencies. …”
///
US Credit Rating Downgraded
It was only a matter of time...
http://www.wealthdaily.com/articles/us-credit-rating-downgraded/2594
Leading Chinese credit rating agency downgrades USA government bonds
http://blogs.telegraph.co.uk/finance/ianmcowie/100008566/leading-chinese-credit-rating-agency-downgrades-usa-bonds/
In anticipation of the expected meeting tomorrow at the White House between President Obama and China’s President, ABC’s World News with Diane Sawyer reported this evening on the U.S. Government’s/Obama Administration’s efforts to “level the playing field" regarding trade with China. One of the topics of concern to the U.S. Government/Obama Administration is reportedly the continued devaluation of the Chinese currency.
Say what???!?!?!?
If that’s not the proverbial “pot calling the kettle black”. I mean… does our government consider the news viewing public idiotic – or is it merely ABC News that believes the viewers of its news program to be stupid? After such a report that appears totally ignorant of the apparent truth in this matter or, at a minimum, is attempting to not reveal the entire truth of the matter, I likely would not believe anything ABC News reports on the economy.
The United States – via the Federal Reserve System – has been devaluing our currency for most of the last one hundred years with particularly concerted efforts to this end during the last several years [if not decades]. One only needs to review the price of gold [in dollars] for evidence of our devalued currency (or read more of my blog). In fact, I am fairly confident that the Chinese government has re-linked the exchange rate of their currency to the U.S. Dollar a few years ago – displaying that they are not stupid either (see notes below). Therefore, if the dollar continues to become devalued, so in turn will the Chinese currency. Furthermore, unlike the Federal Reserve System and the ‘U.S Dollar,’ to my knowledge the Chinese government was never warned against the escalation of a “currency war” by the European Central Bank (ECB) as was the Federal Reserve System warned of such a few months back by the ECB regarding The Fed’s continued devaluation efforts of the ‘U.S. Dollar’/Federal Reserve Note. (See: http://adamvernontrotter.blogspot.com/2010/10/fed-to-buy-back-government-debt.html )
What is of particular interest and displayed by stories such as these, is the limited amount of reporting on items such as the continued devaluation efforts of the ‘U.S. Dollar’/Federal Reserve Note, the previously [albeit minimally] reported down-grading of American government securities instruments such as U.S. government bonds (downgraded by the Chinese, at least - and downgraded by others too as I recall, reports of which I can not locate at the time of this writing), and the limited amount of reporting of issues such as the Chinese government’s efforts to protect its financial interests by linking the exchange rate of its currency to the exchange rate of the dollar.
So again I ask, is it the U.S. government (and the Federal Reserve System) and/or ABC News who consider the U.S. general public and network news viewers to be total idiots with absolutely no knowledge of economics and international monetary policy or do these sources of information merely prefer not to report the entire truth? As time has now shown by tonight’s newscast, apparently all of them (ABC News, The Fed, and the U.S. Government) must consider the U.S. public/populace to be completely ignorant of economics and the current realities of international monetary policy. Clearly we can now legitimately ask: Can we no longer trust our news media sources to report the entire truth of any issue to the nation? (A question I have put forth previously, btw. See: http://adamvernontrotter.blogspot.com/2010/05/is-nation-under-siege-could-we-trust.html)
I mean…., concerning truth in reporting by the media as well as the truth regarding the continued devaluation of currency, which is the free nation and which nation is communistic / fascist?
Adam Trotter / AVT
See also:
How Currency Choices 'Made in China' Have Big Impact on U.S. Economy
REPORT AIR DATE: Jan. 18, 2011.
http://www.pbs.org/newshour/bb/business/jan-june11/chinacurrency_01-18.html
"SUMMARY
Economics correspondent Paul Solman looks at the ongoing dispute between the U.S. and China over currency and trade. Amid its trade deficit with China, the U.S. wants to pressure the Chinese to let their currency, the renminbi, rise in value instead of pegging it to the dollar.
PAUL SOLMAN: For many years, China glued its currency to the U.S. dollar. But, starting in 2005, China loosened its grip, letting the value of the dollar fall against the renminbi, some 20 percent over three years.
But, in 2008, the world financial crisis hit, and China reglued the renminbi to the dollar. In the aftermath, China has recovered, while the U.S. economy limps along, our unemployment rate distressingly high."
///
http://en.wikipedia.org/wiki/Fixed_exchange_rate (yea, I know we are not supposed to quote wikipedia)
“…There are no major economic players that use a fixed exchange rate (except the countries using the euro and the Chinese yuan). … Another, less used means of maintaining a fixed exchange rate is by simply making it illegal to trade currency at any other rate. This is difficult to enforce and often leads to a black market in foreign currency. Nonetheless, some countries are highly successful at using this method due to government monopolies over all money conversion. This was the method employed by the Chinese government to maintain a currency peg or tightly banded float against the US dollar. …” Which, as is typical for wikipedia, this information is seemingly contradicted further down the webpage.
///
An of course, there are others that say the Chinese currency is pegged to a ‘basket’ of currencies; but I don’t know how current this article is.
What is the United States Dollar (USD)?
http://www.gocurrency.com/countries/united_states.htm
“…A significant recent development is the action of the People's Republic of China: the renminbi had once been informally and controversially pegged to the dollar (since the mid-1990s, at 1 U.S. dollar = 8.28 Y); however the peg was removed on July 21, 2005. Instead, China has a managed float against a basket of currencies. …”
///
US Credit Rating Downgraded
It was only a matter of time...
http://www.wealthdaily.com/articles/us-credit-rating-downgraded/2594
Leading Chinese credit rating agency downgrades USA government bonds
http://blogs.telegraph.co.uk/finance/ianmcowie/100008566/leading-chinese-credit-rating-agency-downgrades-usa-bonds/
Thursday, November 11, 2010
On The Federal Reserve’s Plan to Buy-Back $600B in U.S. Government Debt…
November 12th, 2010
Devaluing the currency to inflate prices for the upcoming election - or whatever, is most likely not the answer to our economic mess. Funny, even The Fed doesnt seem to understand what probably constitutes much of the problem. Guess I better apply for a job there, huh? Think they will have me? Doubt it, prbbly huh?
So what of The Fed’s plan to buy $600B in gov't debt? Any mid-level economics text book says to throw money at the economy, when faced with a liquidity trap. Why do I not think it will work this time? Which brings us to:
The Adam Vernon Trotter Theory of Business Management - appearing soon at a wall-post or blog-post near you (shortened version soon to be released)!! :)
http://adamvernontrotter.blogspot.com/2010/11/adam-vernon-trotter-theory-of-business.html
Adam V. Trotter / AVT
Devaluing the currency to inflate prices for the upcoming election - or whatever, is most likely not the answer to our economic mess. Funny, even The Fed doesnt seem to understand what probably constitutes much of the problem. Guess I better apply for a job there, huh? Think they will have me? Doubt it, prbbly huh?
So what of The Fed’s plan to buy $600B in gov't debt? Any mid-level economics text book says to throw money at the economy, when faced with a liquidity trap. Why do I not think it will work this time? Which brings us to:
The Adam Vernon Trotter Theory of Business Management - appearing soon at a wall-post or blog-post near you (shortened version soon to be released)!! :)
http://adamvernontrotter.blogspot.com/2010/11/adam-vernon-trotter-theory-of-business.html
Adam V. Trotter / AVT
Tuesday, November 2, 2010
What Would Happen With No U.S. Federal Government Debt?
November 2nd, 2010
What would happen if the U.S. Federal government was able to pay off its debt? What would happen if the U.S. Federal government did pay off its outstanding debts and obligations? What would become of the nation’s financial business sectors – particularly those who trade in U.S. Federal government debt? Could one envision why some business and banking sectors would not desire a U.S. Federal government operating ‘in the black’ or having the ability to pay its debts and obligations as it went forward? Should we be anticipating or needing the mainstream American corporate news and press outlets to explain such a hypothetical situation to us?
Could a high powered banking cartel which routinely lends money to the U.S. Federal government have any reason to not desire a U.S. Federal government operating with no need for loans? And, what if the corporate U.S. Federal government was in receivership to this banking cartel and the government was nevertheless able to pay all of its obligations? Would receivership explain much of the enumeration of power to any banking cartel - regarding the commandeering of the U.S. economy by any such banking cartel? Could such a banking cartel ensure that U.S. Federal government was never able to pay the entire balance of its outstanding obligations - would that then be in the best interest of the cartel?
Adam V. Trotter / AVT
PS. To be sure, this blog post is not intended to question the validity of the United States public debt as such would appear as unconstitutional iaw Amendment XIV, Section 4, of the U.S. Federal Constitution.
What would happen if the U.S. Federal government was able to pay off its debt? What would happen if the U.S. Federal government did pay off its outstanding debts and obligations? What would become of the nation’s financial business sectors – particularly those who trade in U.S. Federal government debt? Could one envision why some business and banking sectors would not desire a U.S. Federal government operating ‘in the black’ or having the ability to pay its debts and obligations as it went forward? Should we be anticipating or needing the mainstream American corporate news and press outlets to explain such a hypothetical situation to us?
Could a high powered banking cartel which routinely lends money to the U.S. Federal government have any reason to not desire a U.S. Federal government operating with no need for loans? And, what if the corporate U.S. Federal government was in receivership to this banking cartel and the government was nevertheless able to pay all of its obligations? Would receivership explain much of the enumeration of power to any banking cartel - regarding the commandeering of the U.S. economy by any such banking cartel? Could such a banking cartel ensure that U.S. Federal government was never able to pay the entire balance of its outstanding obligations - would that then be in the best interest of the cartel?
Adam V. Trotter / AVT
PS. To be sure, this blog post is not intended to question the validity of the United States public debt as such would appear as unconstitutional iaw Amendment XIV, Section 4, of the U.S. Federal Constitution.
Thursday, October 14, 2010
The Fed to Buy Back Government Debt, European Central Bank Warns Against War of Currencies. Dollar: Fifteen Year Low Against Yen. Gold: Record High
October 14th, 2010
Yesterday, it was reported on Los Angeles Radio (KNX 1070AM) that the Federal Reserve System (The Fed) plans to buy back some of the Federal government’s outstanding debt. The Fed said this move would hopefully stimulate economic growth - by putting more dollars into the economic markets. Later the same day (or the next morning European time) the European Central Bank warned against perceived currency wars whereby currencies would be continually devalued to gain an advantage in exchange rates relevant to the exporting of goods. This evening, it was reported on San Diego’s Fox Radio affiliate (600 AM) that the dollar hit a fifteen-year low in exchange rates against the Japanese yen. Also today, it was reported that the value of an ounce of gold attained a record high dollar value of approximately thirteen-hundred and seventy-five dollars ($1375/ounce).
Despite the fact that the Federal Reserve System claims no fiduciary responsibility to the American nation, one could argue that the long continued effort by The Fed to forever devalue the dollar will help the American nation and workforce by stimulating exports as the dollar would then be less valued than the currency of foreign nations that buy our exports. However, as the fiat dollar has been devalued for decades on end to date, the continued devaluation is a likely culprit to the continued economic depression to which the nation is currently afflicted. Therefore, any continued devaluation of the dollar is likely another as yet unforeseen debt to be paid by the populace or by our future descendants.
Also worthy of note, to continue decreasing the value of the dollar aids any presidential administration by inflating prices which helps with any economic reporting concerning the Consumer Price Index (CPI) and the Gross Domestic Product (GDP). If the GDP were shown to increase because of the devalued dollar, then the current economic recession/depression officially could be ended by the definition of a recession (which is dependant on a repeatedly decreased GDP). Any official ending of the recession/depression is to the political advantage of any administration in power. But a devalued dollar also increases prices which severely hurts the American people. (Remember when a gallon of gas cost five dollars a few years back? Most of the increased price was probably due to a devalued dollar, not the oil producers trying to gouge us.) However, such a numbers game to reflect a better economy is nothing new - regardless of the presidential election drawing closer. But as The Fed has no stated fiduciary responsibility to the president either, if The Fed moves to better the economic appearances of the presidential administration, one can only wonder what type of relationship truly exists between the White House and The Fed. For instance, do the President and his people have all their asset holdings in gold as well, or is The Fed actually trying to help the American people?
Reiterating the point of many of my previous blogs/diatribes, as The Fed maintains no fiduciary responsibility to the American people and The Fed, of course, has massive gold holdings, one can only make assumptions as to what is the true intent of any actions taken by the U.S. Federal Reserve System. That is, are the actions of The Fed to benefit the American people or to further line the pockets of those in power at The Fed and those in power within our government? As our politicians, court systems, state governments, and lawyers don’t seem to have any distaste for this forever continued devaluing of our currency nor do they seem to have any other difficulties with any actions or on-going policy regime at The Fed, one sooner or later has to assume that the lawyers, state governments, court systems, and politicians must also be profiting by the continued policy regime of the Federal Reserve System – a policy regime which is arguably nearly criminal. As such, I must wonder, do the lawyers, court systems, and politicians have all their asset holdings in gold as well?
Anyway, is anyone out there still waiting for ‘change.’? Well, you just got some change, that is to say, more change in the form of the further-decreased value of the dollar. Sometimes I wonder if by merely insinuating these types of questions as in this blog, whether one may need to seek political asylum in a nearby neighbor nation.
Adam Trotter / AVT
Update, November 9th, 2010:
Over the last few days, it has been widely reported that the Chinese government is warning against this move by the Fed in that such an infusion of dollars, according to the Chinese, will cause widespread instabilities in the [currency and debt] markets. Duh, ya’ think? To their credit, though, the Chinese did catch on before the Fed really took them to the cleaners any further, anyhow. It’s been said that the Chinese have sold off much of their holdings in US Government debt some months ago (back in February), regardless.
PS. For more information on this topic of the Fed's actions and an interesting attempt at interpretation/"translation into plain english" for laymen of the Fed's recent statement, See: http://www.npr.org/blogs/money/2010/11/03/131043062/federal-reserve
PSS. So whose been reading the textbook as to what to do in a liquidity trap? But they still have not hired me. :)
November 11th, 2010,
http://www.msnbc.msn.com/id/40136211/ns/business-personal_finance
Devaluing the currency to inflate prices for the upcoming election - or whatever, is most likely not the answer to our economic mess. Funny, even The Fed doesnt seem to understand what probably constitutes much of the problem. Guess I better apply for a job there, huh? Think they will have me? Doubt it, prbbly huh?
http://adamvernontrotter.blogspot.com/2010/11/on-federal-reserves-plan-to-buy-back.html
Yesterday, it was reported on Los Angeles Radio (KNX 1070AM) that the Federal Reserve System (The Fed) plans to buy back some of the Federal government’s outstanding debt. The Fed said this move would hopefully stimulate economic growth - by putting more dollars into the economic markets. Later the same day (or the next morning European time) the European Central Bank warned against perceived currency wars whereby currencies would be continually devalued to gain an advantage in exchange rates relevant to the exporting of goods. This evening, it was reported on San Diego’s Fox Radio affiliate (600 AM) that the dollar hit a fifteen-year low in exchange rates against the Japanese yen. Also today, it was reported that the value of an ounce of gold attained a record high dollar value of approximately thirteen-hundred and seventy-five dollars ($1375/ounce).
Despite the fact that the Federal Reserve System claims no fiduciary responsibility to the American nation, one could argue that the long continued effort by The Fed to forever devalue the dollar will help the American nation and workforce by stimulating exports as the dollar would then be less valued than the currency of foreign nations that buy our exports. However, as the fiat dollar has been devalued for decades on end to date, the continued devaluation is a likely culprit to the continued economic depression to which the nation is currently afflicted. Therefore, any continued devaluation of the dollar is likely another as yet unforeseen debt to be paid by the populace or by our future descendants.
Also worthy of note, to continue decreasing the value of the dollar aids any presidential administration by inflating prices which helps with any economic reporting concerning the Consumer Price Index (CPI) and the Gross Domestic Product (GDP). If the GDP were shown to increase because of the devalued dollar, then the current economic recession/depression officially could be ended by the definition of a recession (which is dependant on a repeatedly decreased GDP). Any official ending of the recession/depression is to the political advantage of any administration in power. But a devalued dollar also increases prices which severely hurts the American people. (Remember when a gallon of gas cost five dollars a few years back? Most of the increased price was probably due to a devalued dollar, not the oil producers trying to gouge us.) However, such a numbers game to reflect a better economy is nothing new - regardless of the presidential election drawing closer. But as The Fed has no stated fiduciary responsibility to the president either, if The Fed moves to better the economic appearances of the presidential administration, one can only wonder what type of relationship truly exists between the White House and The Fed. For instance, do the President and his people have all their asset holdings in gold as well, or is The Fed actually trying to help the American people?
Reiterating the point of many of my previous blogs/diatribes, as The Fed maintains no fiduciary responsibility to the American people and The Fed, of course, has massive gold holdings, one can only make assumptions as to what is the true intent of any actions taken by the U.S. Federal Reserve System. That is, are the actions of The Fed to benefit the American people or to further line the pockets of those in power at The Fed and those in power within our government? As our politicians, court systems, state governments, and lawyers don’t seem to have any distaste for this forever continued devaluing of our currency nor do they seem to have any other difficulties with any actions or on-going policy regime at The Fed, one sooner or later has to assume that the lawyers, state governments, court systems, and politicians must also be profiting by the continued policy regime of the Federal Reserve System – a policy regime which is arguably nearly criminal. As such, I must wonder, do the lawyers, court systems, and politicians have all their asset holdings in gold as well?
Anyway, is anyone out there still waiting for ‘change.’? Well, you just got some change, that is to say, more change in the form of the further-decreased value of the dollar. Sometimes I wonder if by merely insinuating these types of questions as in this blog, whether one may need to seek political asylum in a nearby neighbor nation.
Adam Trotter / AVT
Update, November 9th, 2010:
Over the last few days, it has been widely reported that the Chinese government is warning against this move by the Fed in that such an infusion of dollars, according to the Chinese, will cause widespread instabilities in the [currency and debt] markets. Duh, ya’ think? To their credit, though, the Chinese did catch on before the Fed really took them to the cleaners any further, anyhow. It’s been said that the Chinese have sold off much of their holdings in US Government debt some months ago (back in February), regardless.
PS. For more information on this topic of the Fed's actions and an interesting attempt at interpretation/"translation into plain english" for laymen of the Fed's recent statement, See: http://www.npr.org/blogs/money/2010/11/03/131043062/federal-reserve
PSS. So whose been reading the textbook as to what to do in a liquidity trap? But they still have not hired me. :)
November 11th, 2010,
http://www.msnbc.msn.com/id/40136211/ns/business-personal_finance
Devaluing the currency to inflate prices for the upcoming election - or whatever, is most likely not the answer to our economic mess. Funny, even The Fed doesnt seem to understand what probably constitutes much of the problem. Guess I better apply for a job there, huh? Think they will have me? Doubt it, prbbly huh?
http://adamvernontrotter.blogspot.com/2010/11/on-federal-reserves-plan-to-buy-back.html
Subscribe to:
Posts (Atom)