EXCERPT: "The Federal Reserve, in a dramatic effort to rev up a "disappointingly slow" economic recovery, said it will buy $600 billion of U.S. government bonds over the next eight months to drive down interest rates and encourage more borrowing and growth. Many outside the Fed, and some inside, see the move as a 'Hail Mary' pass by Fed Chairman Ben Bernanke. He embraced highly unconventional policies during the financial crisis to ward off a financial-system collapse. But a year and a half later, he confronts an economy hobbled by high unemployment, a gridlocked political system and the threat of a Japan-like period of deflation, or a debilitating fall in consumer prices."
This is being called "quantitative easing" (QE) or "monetizing the debt" but what it amounts to is the Fed printing more money to buy back the debt they have incurred in our name. How nice.
Thomas Jefferson, a genius, foresaw this: "And I believe that banking institutions are more dangerous to our liberties than standing armies. If the American people ever allow private banks to control the issue of their currency, first by inflation, then by deflation, the banks and corporations that will grow up around the banks will deprive the people of all property -- until their children wake-up homeless on the continent their fathers conquered... The democracy will cease to exist when you take away from those who are willing to work and give to those who would not." May 28, 1816.
So they "estimate" that by doing this, it will devalue our dollar by 20%. How does it feel to instantly have 20% less in your pocket through the actions of others, in an event YOU had nothing to do with? It seems to the Gunny that this is akin to being robbed, only through the force of government. Hmmm. Almost like being forced to pay income tax. Being forced to contribute to Social Security. Being forced to contribute to Medicare. Being forced to contribute to Medicaid. See a pattern here?
We are in a vicious cycle right now with no way out, because Liberals and RINO, but especially liberals, LOVE TO PISS AWAY OUR MONEY! India on 200 million dollars a day? Obama should get Ayers to ghostwrite him a book about it, like Ayers did for Obama two "autobiographies!" There are two points here that must be made. One, the Chinese keep the value of the yuan artificially low by keeping it OFF of the world’s currency market (one less target for Soros) and this works to keep the costs of exported Chinese goods artificially low (in addition to their use of slave labor), which makes it impossible for the few remaining US manufacturers to compete. Two, the Chinese pay their workers nothing, which keeps them from buying OUR products. The old one-two punch. Now, the remedy for this COULD be that we slap a high tariff on all Chinese goods imported to the US, kinda of like how Japan does to our imported agricultural products, to compensate for how they scam us. UNFORTUNATELY, guess who owns our debt? The Chinese for the most part. So no tariff and we get screwed by irresponsible and corrupt politicians, again.
The argument FOR doing this is that a lower valuation of the US dollar might serve to make US exports more competitive on the world market. That move may in turn create more jobs here in the US, reduce unemployment, and spur new businesses. There is only one problem. This regime and Democrats in general, have created so many regulations and rules and laws and EPA bullshit, that new businesses CAN’T start. The liberals have the corporate tax level jacked so high (the highest of any industrialized nation) that no one in their right mind would WANT to start a new business here in America, and then have to deal with that, the Libs, eco-nazis, eco-terrorists like ELF/ALF, and the union thugs.
Here is the scam.
They devalue the dollar. The rich, like Soros, Goldman/Sachs, etc, buy up whatever they can, and then do whatever they need to do to pump back the value of the dollar, and bingo, they reap billions. We of course, the lower and middle class, get to watch our savings wiped out, our wages devastated, and our standard of living lowered to the level of the French. Another point to ponder is that a devalued dollar allows foreign entities to come here, buy up whatever they want, and then when the time is right, move it all to their nation, and hire their employees. Exporting jobs baby! Americans get screwed again.
The problem is that our government refuses to STOP SPENDING like a drunken senator from Taxachusetts! THIS is why the Dems REFUSED to pass a budget before the election. They KNEW that they’d be in a lame duck session and since they’d already been voted OUT, what else do they have to lose by screwing us? NOTHING! They WILL pass massive spending bills for their pals and once out of office in January 2011, will go to work for some liberal lobbyist group in DC or for Soros at Media Matters, the Center for American Progress, Free Press, moveon.org, etc.
Greenspan stated clearly in 1966: "The financial policy of the welfare state requires that there be no way for the owners of wealth to be able to protect themselves. This is the shabby secret of the welfare statists' tirades against gold. Deficit spending is simply a scheme for the confiscation of wealth. Gold stands in the way of this insidious process. It stands as a protector of property rights. If one grasps this, one has no difficulty in understanding the statists' antagonism toward the gold standard." That was before a liberal Congress took us OFF of the gold standard and Nixon doubled-down on it.
Today we have 13 TRILLION dollars of debt, piled on us by Democrats and damned RINOs. It is time to TIGHTEN our belts, repeal all of the bullshit laws constricting businesses, DUMP THE EPA, SECURE the borders, end bullshit like Social Security, welfare, etc, that robs Peter to pay Paul but unfortunately for America, WAY too many democrats and undocumented democrats, are addicted to the government teat and refuse to reform the things we need to do in order to survive as a nation. Some of these things were mentioned above but also a return to the gold standard should be the first thing, next should be to encourage our public to SAVE money, not spend it, (Obama recently complained that we are saving TOO MUCH), end the FED which is nothing but a scam (they have never been audited BTW), and above all, STOP FRIGGING SPENDING!
Unless we all knuckle down and change our ways, we are going to be working for scum like Soros in Chinese sweat shops, or just sitting at home, smoking legalized dope (Soros is for that also), wasting our lives away as slaves.
Ghietner gets economic advice from Jon Liebowitz (Stewart)
UPDATE: BACKLASH MOUNTS AGAINST QE2 (QE1 was TARP)