Thank you for the Lily Bit Spotlight on Jerome, Christine and the Jackson Holers. If there was ever a chance of regaining fiscal and monetary rectitude after the 2007/08 financial crisis, the wrong lessons were learned from the central bankers' QE intoxication. Fast forward to the "Covid" global economic shutdown and disastrous profligacy. Was it brain freeze, incontinent MMT from excess DMT or something all together more malevolent?
Brilliant essay. I am going to back and read your longer piece on central banking. But, the Art Department gets the A+ for the poster. It was extremely funny, but the duck - that was genius. To invert Nixon - we are all Austrians now.
A good piece but one should reverse some of the drivers. 1st the Fed follows rates, specifically T-Bill rates which are set by market participants. The history shows a lag in Fed Funds rates by 2wks-4wks with the Fed catching up. The truth is the Fed Chair and Governors are political appointees who are not terribly skilled financially. 2nd the Fed and Treasury have to issue Treasury debt to finance what Congress spends. It is not the Fed printing money but Congress that is to blame. Government spending does some good but in general is fraught with political payback keeping politicians in office and highly inflationary. Bank lending is also "printing money" but here companies are bringing value to consumers in goods and services and must do so profitably to pay off the debt incurred or they fail. There is little value brought to consumers by today's government but inflation. Successful/profitable corporations are bringing innovation that raise standards of living and therefore are deflationary. One has to separate the government vs corporate currency expansion and understand how they both in the long-term impact our well being.
Net/net it is consumer choice that decides which products will survive. Therefore, consumers demand more value for earned income than it cost them to obtain i.e., deflation. Government has no selectivity beyond political expediency these days and being bribed by those receiving government directed spending i.e., gaining next to nothing for taxpayer dollars, inflation.
The whole system is based on fraud, the totally manipulated economy, money trafficking, it's wind and fairy dust, but it works (in their senses). Let’s also say that social engineering is at work.
And all this like a magic trick.
The cool thing about the story, I imagine that it's Jerome who pays for our double ice cream with whipped cream, in the end, right? ^^
I'm not sure. Tom Luongo hypothesizes Powell is on our side (temporarily) while he drains the eurodollar leverage. Currently it is Yellen and the current Regime that is Davos and China owned, spending, and inflating the dollar. Powell's rate hike is to fight that and the European banks/Davos policies.
If we win this fight, then we can seek to dissolve the Fed and the big NYC banks.
These are Tom's hypotheses. He has been preaching this for 2.5 years. I think he is on to something because that is what is happening.
Thank you for the Lily Bit Spotlight on Jerome, Christine and the Jackson Holers. If there was ever a chance of regaining fiscal and monetary rectitude after the 2007/08 financial crisis, the wrong lessons were learned from the central bankers' QE intoxication. Fast forward to the "Covid" global economic shutdown and disastrous profligacy. Was it brain freeze, incontinent MMT from excess DMT or something all together more malevolent?
Brilliant essay. I am going to back and read your longer piece on central banking. But, the Art Department gets the A+ for the poster. It was extremely funny, but the duck - that was genius. To invert Nixon - we are all Austrians now.
A good piece but one should reverse some of the drivers. 1st the Fed follows rates, specifically T-Bill rates which are set by market participants. The history shows a lag in Fed Funds rates by 2wks-4wks with the Fed catching up. The truth is the Fed Chair and Governors are political appointees who are not terribly skilled financially. 2nd the Fed and Treasury have to issue Treasury debt to finance what Congress spends. It is not the Fed printing money but Congress that is to blame. Government spending does some good but in general is fraught with political payback keeping politicians in office and highly inflationary. Bank lending is also "printing money" but here companies are bringing value to consumers in goods and services and must do so profitably to pay off the debt incurred or they fail. There is little value brought to consumers by today's government but inflation. Successful/profitable corporations are bringing innovation that raise standards of living and therefore are deflationary. One has to separate the government vs corporate currency expansion and understand how they both in the long-term impact our well being.
Net/net it is consumer choice that decides which products will survive. Therefore, consumers demand more value for earned income than it cost them to obtain i.e., deflation. Government has no selectivity beyond political expediency these days and being bribed by those receiving government directed spending i.e., gaining next to nothing for taxpayer dollars, inflation.
Robert Reich is quite the hypocrite here in Berkeley! He tried to stop a small development for low-income in his neighborhood.
https://www.berkeleyside.org/2020/08/07/landmarking-fails-for-130-year-old-berkeley-house-in-passionate-debate-over-housing-and-history
The whole system is based on fraud, the totally manipulated economy, money trafficking, it's wind and fairy dust, but it works (in their senses). Let’s also say that social engineering is at work.
And all this like a magic trick.
The cool thing about the story, I imagine that it's Jerome who pays for our double ice cream with whipped cream, in the end, right? ^^
I always imagine him to have a little mobile bluetooth money printer in his pocket.
Why not an implant directly like RFID, NFC, a good IoB, to transfert CBDC :-)
I'm not sure. Tom Luongo hypothesizes Powell is on our side (temporarily) while he drains the eurodollar leverage. Currently it is Yellen and the current Regime that is Davos and China owned, spending, and inflating the dollar. Powell's rate hike is to fight that and the European banks/Davos policies.
If we win this fight, then we can seek to dissolve the Fed and the big NYC banks.
These are Tom's hypotheses. He has been preaching this for 2.5 years. I think he is on to something because that is what is happening.
Garbage in = Garbage out