Wage Strikes Planned at Fast-Food Outlets

[Kimura]

Here's another thing to consider: the FED purchasing Treasuries is the functional equivalent of the Treasury not having issued them to begin with. This is the reality of quantitative easing/tapering.

 

[jasonnfree]

So to re-iterate, the government has 3 options for revenue.

1) tax the private sector
2) Borrow the money
3) Print the money

1) Wrong
2) Wrong
3) Wrong

Again, for the 3,456th time, the FED credits commercial bank accounts. Bond sales are then triggered to drain any excess reserves from the banking system.

The following papers, from the Federal Reserve, will explain how bond purchases simply don't increase reserves in the banking system, and how they drain any excess reserves in the banking system.

Click Here

Click Here

Your limited understanding of monetary operation seems to stem from the dead sociologist you have as your avatar. We're no longer on a gold standard. Print those papers out, and read them, so you can do yourself a favor.

So You are describing money operations that have been going on for over 40 years, when nixon closed the gold window?

 

[TakeAStepBack]

He's describing his master's degree in sophistry. Along with a healthy dose of economic law circumvention.

 

[The Rabbi]

Here's another thing to consider: the FED purchasing Treasuries is the functional equivalent of the Treasury not having issued them to begin with. This is the reality of quantitative easing/tapering.

So the Fed has actually been taking $85B/mo out of the economy! Now I get it!

 

[The Rabbi]

He's describing his master's degree in sophistry. Along with a healthy dose of economic law circumvention.

Add in basic misunderstanding and the phrase "a little knowledge is an absurd thing" comes to mind.

 

[Kimura]

He's describing his master's degree in sophistry. Along with a healthy dose of economic law circumvention.

What I'm telling you is widely known by FED and Treasury staffers, but hey, don't let me rain on your parade. We all can't memorize passages by a dead Austrian sociologist about a monetary system we no longer employ. You hard currency types/Austrians/gold bugs/glibertarians have been wrong about EVERY major market event.

 

[Kimura]

Rly? Srsly?

Yea, really.

They continue to have full faith and interest in lending.

How come? Are they not cognizant that they're helping build the very military superpower that would deplete them out of existence if their future plan was to ever come "break our knee caps?"

There's a part of the picture you're missing.

It's that WE hold the cards, not China.

there's a mutual interest there. But if their interests and intentions changed, it could be catastrophic for the US economy.
If you owe the bank $10,000 and can't pay it, you're in trouble.
If you owe the bank $1.2T dollars and you can't pay it, the bank is in trouble.

It wouldn't be catastrophic. Again, we don't owe China a thing, they desire to save in US financial assets, and they're dependent on US credit creation.

You can't compare a currency issuer to a currency user, such as a firm, household, or individual.

 

[expat_panama]

That was my point cheenius.

Good to know I've made myself clear and you stand corrected. Next time show up for class on time and have all your homework done.

I don't stand corrected I wasn't in contrast in the first place. Argument ocd?

That's exactly my point!!! Jheesh! Just what part of "yes" are you not refusing to agree from???

 

[Kimura]

So to re-iterate, the government has 3 options for revenue.

1) tax the private sector
2) Borrow the money
3) Print the money

1) Wrong
2) Wrong
3) Wrong

Again, for the 3,456th time, the FED credits commercial bank accounts. Bond sales are then triggered to drain any excess reserves from the banking system.

The following papers, from the Federal Reserve, will explain how bond purchases simply don't increase reserves in the banking system, and how they drain any excess reserves in the banking system.

Click Here

Click Here

Your limited understanding of monetary operation seems to stem from the dead sociologist you have as your avatar. We're no longer on a gold standard. Print those papers out, and read them, so you can do yourself a favor.

So You are describing money operations that have been going on for over 40 years, when nixon closed the gold window?

Yes, sir, after 1971, once Nixon took the US off the Bretton Woods system.

 

[TakeAStepBack]

He's describing his master's degree in sophistry. Along with a healthy dose of economic law circumvention.

What I'm telling you is widely known by FED and Treasury staffers, but hey, don't let me rain on your parade. We all can't memorize passages by a dead Austrian sociologist about a monetary system we no longer employ. You hard currency types/Austrians/gold bugs/glibertarians have been wrong about EVERY major market event.

NO, thats a lie. It is well known that the fed must eventually reduce its balance sheet. And there is no need to memorize any Mises or anyone else, but because this has nothing to do with the gold standard. you're trying to play a game of semantics and sophistry to cover up economic law and appear as though the rules can be circumvented on the whims of central planners.

You do not even understand what you ague for, and if you do, you're dishonest about what it really is.

 

[Kimura]

NO, thats a lie. It is well known that the fed must eventually reduce its balance sheet. And there is no need to memorize any Mises or anyone else, but because this has nothing to do with the gold standard. you're trying to play a game of semantics and sophistry to cover up economic law and appear as though the rules can be circumvented on the whims of central planners.

You do not even understand what you ague for, and if you do, you're dishonest about what it really is.

The FED can continue QE for as long they deem necessary. Balance sheet expansion can continue with POMO and paying interest on the IOR. Welcome to reality.

 

[TakeAStepBack]

You'll see what reality is when the federal reserve implodes the economy once again like its done for the last several decades. Just another Statist who is completely full of shit about economics.

 

[Kimura]

You'll see what reality is when the federal reserve implodes the economy once again like its done for the last several decades. Just another Statist who is completely full of shit about economics.

Please explain to me how the FED will implode.

 

[TakeAStepBack]

Is that what i said? You just do not have an honest bone in that frame, son.

You''re too dull for this topic. I will commend you on your ability to dilute economic reality with sophistry and lies. To those who have not been well versed in economics, you could probably teach the dogma of Krugman and others.

Congrats on that. And I'm done with 'sparring' with someone as dishonest as you.

 

[Kimura]

Is that what i said? You just do not have an honest bone in that frame, son.

You''re too dull for this topic. I will commend you on your ability to dilute economic reality with sophistry and lies. To those who have not been well versed in economics, you could probably teach the dogma of Krugman and others.

Congrats on that. And I'm done with 'sparring' with someone as dishonest as you.

QE simply involves the FED purchasing bonds - or bank assets - in exchange for deposits made by the FED in the banking system, which means crediting bank accounts. The goal being to create excesssive reserves which would be loaned for + rate of return. The FED swaps low-interest assets (think reserve balances) for higher yielding, long terms assets (US securities).

QE is basically just balance sheet accounting. The commercial banks get new deposits (FED $$$$) and they decrease their asset holdings.

People ignorantly refer to this as "printing money" which they equate with inflationary expansion. If people understood how our money system works, they wouldn't make such ridiculous statements. We're dealing with accounting adjustments through asset swaps. PERIOD.

HOW WILL THIS MAKE THE FED OR ECONOMY IMPLODE?

Granted, I'm not a fan of QE, it hasn't worked.

 

[Ame®icano]

Is that what i said? You just do not have an honest bone in that frame, son.

You''re too dull for this topic. I will commend you on your ability to dilute economic reality with sophistry and lies. To those who have not been well versed in economics, you could probably teach the dogma of Krugman and others.

Congrats on that. And I'm done with 'sparring' with someone as dishonest as you.

QE simply involves the FED purchasing bonds - or bank assets - in exchange for deposits made by the FED in the banking system, which means crediting bank accounts. The goal being to create excesssive reserves which would be loaned for + rate of return. The FED swaps low-interest assets (think reserve balances) for higher yielding, long terms assets (US securities).

QE is basically just balance sheet accounting. The commercial banks get new deposits (FED $$$$) and they decrease their asset holdings.

People ignorantly refer to this as "printing money" which they equate with inflationary expansion. If people understood how our money system works, they wouldn't make such ridiculous statements. We're dealing with accounting adjustments through asset swaps. PERIOD.

HOW WILL THIS MAKE THE FED OR ECONOMY IMPLODE?

Granted, I'm not a fan of QE, it hasn't worked.

And where those FED $$$$ comes from?

 

[Kimura]

Is that what i said? You just do not have an honest bone in that frame, son.

You''re too dull for this topic. I will commend you on your ability to dilute economic reality with sophistry and lies. To those who have not been well versed in economics, you could probably teach the dogma of Krugman and others.

Congrats on that. And I'm done with 'sparring' with someone as dishonest as you.

QE simply involves the FED purchasing bonds - or bank assets - in exchange for deposits made by the FED in the banking system, which means crediting bank accounts. The goal being to create excesssive reserves which would be loaned for + rate of return. The FED swaps low-interest assets (think reserve balances) for higher yielding, long terms assets (US securities).

QE is basically just balance sheet accounting. The commercial banks get new deposits (FED $$$$) and they decrease their asset holdings.

People ignorantly refer to this as "printing money" which they equate with inflationary expansion. If people understood how our money system works, they wouldn't make such ridiculous statements. We're dealing with accounting adjustments through asset swaps. PERIOD.

HOW WILL THIS MAKE THE FED OR ECONOMY IMPLODE?

Granted, I'm not a fan of QE, it hasn't worked.

And where those FED $$$$ comes from?

Money creation is ex-nihilo. Basically, the FED credits private bank accounts, that's the short and sweet version.

 

[Ame®icano]

QE simply involves the FED purchasing bonds - or bank assets - in exchange for deposits made by the FED in the banking system, which means crediting bank accounts. The goal being to create excesssive reserves which would be loaned for + rate of return. The FED swaps low-interest assets (think reserve balances) for higher yielding, long terms assets (US securities).

QE is basically just balance sheet accounting. The commercial banks get new deposits (FED $$$$) and they decrease their asset holdings.

People ignorantly refer to this as "printing money" which they equate with inflationary expansion. If people understood how our money system works, they wouldn't make such ridiculous statements. We're dealing with accounting adjustments through asset swaps. PERIOD.

HOW WILL THIS MAKE THE FED OR ECONOMY IMPLODE?

Granted, I'm not a fan of QE, it hasn't worked.

And where those FED $$$$ comes from?

Money creation is ex-nihilo. Basically, the FED credits private bank accounts, that's the short and sweet version.

FED credit private banks with what?

 

[Kimura]

And where those FED $$$$ comes from?

Money creation is ex-nihilo. Basically, the FED credits private bank accounts, that's the short and sweet version.

FED credit private banks with what?

It marks accounts up or down with 1's and 0's.

 

[Toro]

Money creation is ex-nihilo. Basically, the FED credits private bank accounts, that's the short and sweet version.

FED credit private banks with what?

It marks accounts up or down with 1's and 0's.

That's the monetary base, or high powered money.