tag:blogger.com,1999:blog-27697009.post647052428614297729..comments2024-02-29T03:21:35.007-08:00Comments on The Great Depression of 2006 : Bernanke the Great Invisible Tax AssessorJim in San Marcoshttp://www.blogger.com/profile/09435296419912935381noreply@blogger.comBlogger19125tag:blogger.com,1999:blog-27697009.post-68264866606555030832010-11-25T04:54:24.361-08:002010-11-25T04:54:24.361-08:00Inflation/Deflation debate
The weather forecast i...Inflation/Deflation debate<br /><br />The weather forecast in Nova Scotia by times goes something like this....<br /><br />Partly Cloudy with Scattered Showers.<br /><br />Nothing like hedging your bet when you are a weatherman. <br /><br />Same goes with this debate. I tend to think that we are in inflation phase now but it doesn't really matter as I've learned from past experience that your parade can be rained on when least expected.<br /><br />robrobnoreply@blogger.comtag:blogger.com,1999:blog-27697009.post-38343844487111525292010-11-24T01:11:31.335-08:002010-11-24T01:11:31.335-08:00So Mr. Bernanke and The Fed just lowered their exp...So Mr. Bernanke and The Fed just lowered their expectations for 2011. Don't see how unemployment will improve.<br /><br />Their brilliant plan to push up mid term interest rates so as to goose the stock market and get people to spend and borrow to get the economy going again is... well... a brillant plan.<br /><br />Happy Thanksgiving to Jim and all posters. No matter what we always have a lot to be thankful for (health, relationships, a roof, a bed, etc.). Stay positive amigos.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-27697009.post-50913822424488437662010-11-23T04:27:52.376-08:002010-11-23T04:27:52.376-08:00The Fed doesn't really print physical money, i...The Fed doesn't really print physical money, it electronically adjusts balance sheets ....<br /><br />But the Fed seems to have given all this money to your banking system ...<br /><br />Does anyone know exactly where this money has gone dollar for dollar?<br /><br />Unless you have increasing income or purchasing power of the consumer to try and catch up with prices you still don't get inflation. <br /><br />From what I read income is still falling in the U.S. house prices are going backwards, unemployment remains high, but food and utility costs are increasing .....frakrakhttps://www.blogger.com/profile/10110027067402980842noreply@blogger.comtag:blogger.com,1999:blog-27697009.post-9644085145975150512010-11-22T14:53:41.664-08:002010-11-22T14:53:41.664-08:00All you Inflationistas out there take note...
Def...All you Inflationistas out there take note...<br /><br />Deflation coming: the year started out with the U.S. core consumer inflation rate at 1.8% YoY; now its at a record low of 0.6%Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-27697009.post-51972401909858964612010-11-17T18:14:45.399-08:002010-11-17T18:14:45.399-08:00Prepare for what Japan has gone through over the l...Prepare for what Japan has gone through over the last decade, except for a more painful descent (they were savers and exporter... we are not).<br /><br />Mr. Ouch!Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-27697009.post-6141329241649185522010-11-17T06:17:58.494-08:002010-11-17T06:17:58.494-08:00Jim
You guys out on left coast make some great wi...Jim<br /><br />You guys out on left coast make some great wines. Maybe once everything comes crashing down we can make a deal. Cheers<br /><br />Rob<br /><br />p.s. I like the humour sprinkled thru your blogs it's a great antidote for what is going on right now with economy.rob in nsnoreply@blogger.comtag:blogger.com,1999:blog-27697009.post-82026610370201059332010-11-16T21:56:30.120-08:002010-11-16T21:56:30.120-08:00Hi Rob
You're making my mouth water. Lobster ...Hi Rob<br /><br />You're making my mouth water. Lobster and butter, a great combo. Being poor up there could be a lot more fun than being poor down here. An Idaho baked potato with butter, sour cream and chives comes in as a close second here. And that's on the menu in this house. <br /><br />Enjoy the lobster while we eat chicken.Jim in San Marcoshttps://www.blogger.com/profile/09435296419912935381noreply@blogger.comtag:blogger.com,1999:blog-27697009.post-20555795216416148582010-11-16T21:27:37.589-08:002010-11-16T21:27:37.589-08:00Hi Frakrak
I remember back to the guy in 1934 tha...Hi Frakrak<br /><br />I remember back to the guy in 1934 that bought an annuity for his retirement 20 years later. The company offered a $20 a month payment at retirement in 1954. In 1934 that paid the rent for a month, in 1954 it bought 4 bags of groceries.<br /><br />So when you cite Social Security not keeping up with inflation, that is part of how this has to play out. You'll get your retirement benefits, but the buying power of your check will be abysmal. <br /><br />This is what inflation is all about. Promise the moon and deliver, only it's a lot smaller than you anticipated.Jim in San Marcoshttps://www.blogger.com/profile/09435296419912935381noreply@blogger.comtag:blogger.com,1999:blog-27697009.post-65475402364978788292010-11-16T21:15:59.282-08:002010-11-16T21:15:59.282-08:00Hi Nervous Guy
There is no other reserve currency...Hi Nervous Guy<br /><br />There is no other reserve currency. The big thing about a reserve currency is the amount in circulation outside of the country. In our case, there is a lot and also a hell of a lot of counterfeit. But that doesn't matter until they try to spend it here.<br /><br />All of the money from the dope trade is "reserve currency," until it gets converted into a bank deposit. Probably a a couple of trillion dollars, I would guess.<br /><br />It could be that foreigners are dumping the US dollar for other currencies, it is something that would be hard to measure. Gold seems like the real thing, so maybe it's rise is an indication of what is happening.<br /><br />Bernanke is kind of like a fisherman in a glass bottom boat using a shotgun. When you shoot through the glass all bets are off. And we know he's going to do it, so hold on.Jim in San Marcoshttps://www.blogger.com/profile/09435296419912935381noreply@blogger.comtag:blogger.com,1999:blog-27697009.post-23166165906720267172010-11-16T07:56:59.461-08:002010-11-16T07:56:59.461-08:00Only reason prices are going up frakrak is because...Only reason prices are going up frakrak is because liquidity has gone into the commodity market. Thanks to THE FED.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-27697009.post-72601418016699395722010-11-16T05:35:08.535-08:002010-11-16T05:35:08.535-08:00Perhaps what we are seeing with increasing prices ...Perhaps what we are seeing with increasing prices is decreasing competition in the market place. Remembering inflation is like a dog chasing its tail, wages go up and so do prices, I guess your social security has increased 35% in the last 12 months? Pretty sure we are still tracking deflation ....frakrakhttps://www.blogger.com/profile/10110027067402980842noreply@blogger.comtag:blogger.com,1999:blog-27697009.post-71296420861161894232010-11-15T22:04:14.969-08:002010-11-15T22:04:14.969-08:00Anybody...
Bernanke is being heavily criticized fo...Anybody...<br />Bernanke is being heavily criticized for QE2. Open letter in WSJ today, many foreign leaders have spoken out, etc. <br /><br />Do you think this could cause a run on the dollar? Or are we still a long way off from people deciding to dump the USD out of fear and get into another currency?<br /><br />Nervous guyAnonymousnoreply@blogger.comtag:blogger.com,1999:blog-27697009.post-49799655376757923282010-11-15T19:20:51.513-08:002010-11-15T19:20:51.513-08:00Jim,
No one will curtail The Fed's actions. Th...Jim,<br />No one will curtail The Fed's actions. They are independent of and senior to the US government. You know better. You know there isn't a Constitution any more. There is no sovereign government or democracy any more. Proof enough is that our Congress doesn't even represent us or follow our wishes any longer.<br /><br />Is The Fed doing this out of desperation, incompetence or as a conspiracy partner?<br /><br />What if QE2 doesn't change anything?<br />Probably won't.<br /><br />How many QEs will The Fed enact?<br /><br />I'm betting on a slow deflationary spiral a la Japan.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-27697009.post-34716133707224097142010-11-15T11:56:14.762-08:002010-11-15T11:56:14.762-08:00Anyone who focuses on socialism, capitalism, polit...Anyone who focuses on socialism, capitalism, politicians, governments, corporations and these lower tiers is totally missing the point. It's the big financial interests, the capital holders, that are making things happen and steering things.<br /><br />The capital is pulling out of the West (deflation) and setting up over in the East to boom the emerging markets over there (inflation) and get everyone over there to become there debt slaves like they did in the West over the last 100 years.<br /><br />The bond market controls the planet. Debt is used to control people, corps, governments.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-27697009.post-33984482021038358252010-11-15T08:28:52.378-08:002010-11-15T08:28:52.378-08:00I agree anon 7:22.
I was shopping for groceries w...I agree anon 7:22.<br /><br />I was shopping for groceries with wife Friday night. I get nervous when you walk down aisles with everything supposedly on sale. My wife noticed this too. A large bag of potato chips on sale for $2.50 When you notice the regular price is now $3.99 for something I paid $1.99 five years ago you know there is a problem. I might as well enjoy this party while it lasts with Christmas coming. I'm guessing the government people keeping track of inflation will expect me to switch to popcorn then seeing it is the cheaper alternative. The one good thing about living in Nova Scotia is the Lobster is now cheaper than Balogna. It used to be that poor people around here had to eat Lobster. Funny how history repeats itself ehrob in nsnoreply@blogger.comtag:blogger.com,1999:blog-27697009.post-72173420315269240032010-11-15T07:22:33.281-08:002010-11-15T07:22:33.281-08:00Where in Heaven’s name is the inflation????? Infla...<i>Where in Heaven’s name is the inflation????? Inflation is at record LOWS!!!!</i><br /><br />Going shopping this past weekend, looking at prices for some items, my response was, "WTF?!!"<br /><br />Where is the inflation? It's right in front of your blind eyes.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-27697009.post-4876977455990617332010-11-15T04:45:27.142-08:002010-11-15T04:45:27.142-08:00A follower implies the people reading this blog do...A follower implies the people reading this blog do not have and/or share their own opinions regarding issues discussed. The inflation/deflation debate seems to me an exercise in semantics. Nobody should be arguing that the printing of money is a good idea. Some will say that we need to do this because we can't afford another deflationary depression. I on the other hand think that is exactly what we need. It will punish everyone business or otherwise that is overextended and be beneficial to the prudent savers. If one believes in capitalism then this a route to follow. Survival of the fittest or socalism it's our choice.rob in nsnoreply@blogger.comtag:blogger.com,1999:blog-27697009.post-31588199867088243462010-11-15T01:49:24.861-08:002010-11-15T01:49:24.861-08:00The Fed isn't the problem. They are just a fun...The Fed isn't the problem. They are just a funnel for all the debt based money. You have to understand the whole system: there are the bank groups that are the shareholders of The Fed all vying and competing against each other to own the most debt, and then the private pools of capital that are behind them. <br /><br />Jim in San Marcos you obviously did not watch the videos... you just scanned the website. There isn't any recruiting going on or request that you join any group. I watched all videos. You should open your mind and watch this before making a judgement and allow your followers on this blog to see them as well.<br /><br />You will see that that there isn't a conspiracy theory here. It is all about the math. This is the best explanation I've ever seen/read about our global dilemma. This guy is very bright.<br />http://www.csper.org/Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-27697009.post-11940084367051002602010-11-14T23:02:47.325-08:002010-11-14T23:02:47.325-08:00QE increases the monetary base. The U.S. experienc...QE increases the monetary base. The U.S. experienced an astronomic and unprecedented increase in its monetary base at the end of 2008. It’s now the end of 2010. Where in Heaven’s name is the inflation????? Inflation is at record LOWS!!!!<br /><br />Many of us predicted this outcome two years ago. One reason is that QE does not increase the private sector’s net financial assets: it just swaps one asset (newly printed money) for another – bonds. In the case of swapping new money for GOVERNMENT bonds, the is even less effect. The latter simply involves swapping one type of valuable government produced paper for another type of valueable government produced paper.<br /><br />A predictable effect is the bidding up of OTHER assets, e.g. shares, and that is what seems to have happened. Otherwise QE is a damp squid.<br /><br />I hope there <b>IS</b> an increase in demand and fall in unemployment plus a consequent increase in inflation by a percentage point or two. Unfortunately I doubt even that will occur.Ralph Musgravehttps://www.blogger.com/profile/09443857766263185665noreply@blogger.com