Recalling QE’s Original Purpose
Bill Dudley, the New York Fed President, had some very truthful comments re QE.
“We don’t understand fully how large-scale asset purchase programs work to ease financial market conditions, there’s still a lot of debate …” he said. “Is it the effect of the purchases on the portfolios of private investors, or alternatively is the major channel one of signaling?”
It seems as though the Fed has lost touch with what QE was intended to do and the actual outcome. Too bad it has backed the country (and other countries that are trying to keep up with QE) into a corner.
The truth of the matter is that they will never admit the truth. Purposes and causes are bannered by public officials for public consumption. In this example, it’s to distract the masses while the power elite line their pockets at the expense of the other 99.9%.
There will always be income inequality because in all capacities in all things there will always be the greater and the lesser. What buffers the 1% (the aristocracy–power elite) from the maddening crowd is a strong and vibrant private sector middle class. When that middle class fails or is severely depleted, the alternative is a well compensated police state to keep things in order–until they can’t…..
QE thing was/is the audacious abuse of power to enrich the very few at the expense of very many… In plain sight for all to see, Wall Street ‘bankers’ walked into our US Treasury and walked out with $trillions . They also went after private savings accounts–granting themselves free use of other peoples’ life savings while simultaneous debauching its value via the printing presses.
The Rs can bemoan unemployment insurance, and rightfully so; but that’s how you placate the angry mob, unemployment insurance and food stamps. It’s not for the sake of humanity; it’s the ransom being paid indirectly by seniors who worked hard and played by the rules only to watch their life savings diminished by little people in big places who are trying to save their own necks and get richer in the process..
Thanks, I believe you are correct.
Here’s a good read:
http://www.theinternationalforecaster.com/International_Forecaster_Weekly
Bj, I used to follow Bob Chapman, even invested in his picks….after he died, they did also.
the dollar, you decide.
http://armstrongeconomics.com/2014/01/09/dollar-bears-may-be-slaughtered/