Someone smarter then me ......

[strider12]

you are getting all your concepts wrong.
the entity you speak of is not a private entity it is a government one that allows the privatization of all gains (does not profit) and socializes loss (takes on "pays" losses for private enterprise causing that long number you quoted)

They operate as a corporation. Would you like me to show you where in the US Code the "United States" is defined as a corporation?

Corporations can only operate that far in the red through bankruptcy. Please read through the US Code section 12 several times as I have. After you have done that, and maybe read Modern Money Mechanics published by the Federal Reserve, and I will be happy to discuss this further with you.

 

[FrogMan]

They operate as a corporation. Would you like me to show you where in the US Code the "United States" is defined as a corporation?

Corporations can only operate that far in the red through bankruptcy. Please read through the US Code section 12 several times as I have. After you have done that, and maybe read Modern Money Mechanics published by the Federal Reserve, and I will be happy to discuss this further with you.

does not change the fact that they privatize gains and socialize losses, this is painfully obvious in the bailouts but even prior to that the whole mortgage industry was built around government assurances where private entities could issue mortgages take the profit and then sell to fannie mae or freddie mac and by doing so socializing any risk and potential loss.

 

[strider12]

does not change the fact that they privatize gains and socialize losses, this is painfully obvious in the bailouts but even prior to that the whole mortgage industry was built around government assurances where private entities could issue mortgages take the profit and then sell to fannie mae or freddie mac and by doing so socializing any risk and potential loss.

You're looking at symptoms and I'm looking at the disease. None of that would happen had the system not allowed for it. It is a system of fictions and you seem to think fictions can be fixed. A foundation built on sand will fall. This was built on water.

 

[YOUNG GUNS]

Someone smarter than me*

 

[jlcnuke]

could tell me if this is accurate or not. Any thoughts about this would help.
http://www.ftense.com/2013/06/when-bernanke-butterfly-whispers-taper.html

Thanks.

Parts are true. The raw data is valid. The claims made based on that data *could* be true but, like most things in economics, the study of economics can make predictions but is only factual when dealing with the past. Simply put, any economist worth their salt can tell those making decisions what they screwed up in the past but none can consistently and reliably predict future outcomes of economic policy decisions. In this particular case, the raw data (when viewed objectively) does not lend significant credibility to at least some of the conclusions the author is making in my opinion. The single most accurate statement was that Bernanke's use of the word "taper" in regards to continued QE resulted in investors reacting in a way which caused rates to increase. Of course, that was the reaction because of the economic implications of reducing or stopping the QE and how such an action would impact markets. To claim that doing so would immediately result in a significant outflow from higher risk assets and into lower risk assets at a rate which would be very damaging economically is pure speculation and only a "somewhat educated guess" as to how it would likely pan out in reality should the fed implement changes to their current monetary policy. That reality would be significantly affected by the specific changes to current economic policy as well as actions taken by other central banks and the reaction to all of that by investors.

 

[FrogMan]

You're looking at symptoms and I'm looking at the disease. None of that would happen had the system not allowed for it. It is a system of fictions and you seem to think fictions can be fixed. A foundation built on sand will fall. This was built on water.

well then you tell me what is the disease? and what is the cure?

 

[strider12]

well then you tell me what is the disease? and what is the cure?

I have been studying Federal reserve teaching texts and Title 12 for ten years. Do you really think I can fit that here?

The better question is when confronted by a different way of thinking are you willing to change your mind. Or do you want to fight it? Is it important to you to walk with the status quo or do you mind people thinking you're a lunatic?

 

[FrogMan]

I have been studying Federal reserve teaching texts and Title 12 for ten years. Do you really think I can fit that here?

The better question is when confronted by a different way of thinking are you willing to change your mind. Or do you want to fight it? Is it important to you to walk with the status quo or do you mind people thinking you're a lunatic?

Well I didnt ask you to list the cumulative knowledge you have gathered over your lifetime only the summary of how you persieve the problem and your major points of addressing it so that I could consider it and possibly change my mind if i feel that appropriate. for now though you have not presented anything beyond vague remarks and misrepresenting capitalism as socialism so there is not much for me to even consider changing my mind, I dont even know if your thoughts differ from mine to be honest.

 

[strider12]

Well I didnt ask you to list the cumulative knowledge you have gathered over your lifetime only the summary of how you persieve the problem and your major points of addressing it so that I could consider it and possibly change my mind if i feel that appropriate. for now though you have not presented anything beyond vague remarks and misrepresenting capitalism as socialism so there is not much for me to even consider changing my mind, I dont even know if your thoughts differ from mine to be honest.

Whose definition of capitalism or socialism are you using? That's always a good place to start. But never mind that.

I would dissolve the Federal Reserve system and re-institute (or enforce since it was never taken off the books) the Banking Act of 1863.

 

[Tony2X]

"Japan is trying to weaken its yen by flooding their system with printed currency (QE), buying assets of all sorts from government bonds to stocks."

So, they are tryin to be like us?...lol