"The whole aim of practical politics is to keep the populace alarmed (and hence clamorous to be led to safety) by menacing it with an endless series of hobgoblins, all of them imaginary." ~ H.L. Mencken
Surprise! Fed Cheerleader Wants to Make Emergency Government Policy a Permanent Policy
Don't you just love how propaganda works, the simplicity of it? Just never acknowledge the 2nd step of logic, i.e. ignore, never mention. Beautiful, simple.
For example, "The Fed does X to accomplish Y."
The 2nd step of logic in evaluating such a claim should be, "Has the Fed actually accomplished Y by doing X?"
Not in the lamestream media propagandists my friends. The 2nd step doesn't exist. The Fed, like all government programs, big and small, are progressive (small p) forces for good in the world, and needs no further analysis. Refer to the last quote and the end of this blurb for my favorite from the article.
Some gems from the article below.
"The U.S. Federal Reserve should scrap a plan to shrink its massive bond holdings and...keep them indefinitely"
Translation: The economy is so weak, shrinking the balance sheet would cause a massive recession. Just give the Fed more power, everything will be fine. Go back to sleep.
"But Stein and his fellow authors say that hanging on to the bonds would create a bulwark against the sort of runs in the short-term funding markets that allowed the financial crisis to spread globally into the deepest recession in decades."
>>>>With no acknowledgment of the Fed’s role in initiating the business cycle that led to said recession.
"By expanding the overall supply of safe short-term claims, the Fed can weaken the market-based incentives for private-sector intermediaries to issue too many of their own short-term liabilities," they wrote in the paper.
>>>>We manipulate the market to save you from the stupid boobs in the private sector.
“The central bank sent a record $97.7 billion in profits from its bonds to the Treasury last year, even while it paid banks some $7 billion in interest on their excess reserves.”
>>>>Awesome.
“The Fed adjusts interest rates to meet U.S. inflation and employment goals. It raised rates in December for the first time in nearly a decade.”
>>>>How has it been doing on those tasks? Inflation at 5% or more, unemployment at least 10% if not double that.
>>>>Will CNBC (or anyone for that matter) make the connection between a decade of insane money printing and the next global recession?
- Login to post comments