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Originally Posted by floridasandy
so you admit that the federal reserve actions have failed?
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First off the Federal Reserve Bank is a privet organization with its own selfish priorities, I believe that they are succeeding at what they intend to do. I also believe that what they are intending to do is not in the best interest of the vast majority of the citizens of the US of A.
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Originally Posted by floridasandy
there is no such thing as responsible printing of currency.
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We have a printed currency. If there is no such thing as the responsible printing of money then we would have no currency. Barter sucks for international trade. The amount of currency in circulation is the problem. Too little and we have high unemployment. Too much and we have high inflation. As of Nov of 2010 we were paying out for over 17% unemployment (they were claiming an unemployment rate of 9.8% for that month).
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Originally Posted by floridasandy
it devalues your money intentionally, and it disrespects your currency. we have a fiat currency, based on TRUST.
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You said it. What has happened over the last decade is that the world’s monetary base was expanded from $3 trillion to $ 10 trillion with the printed money being used to buy debt in the US. This money is what fueled the housing boom. We now have the housing economic high hangover. Japan has been over two decades into their housing boom economic high hangover and they aren’t done with it yet.
We are the world’s reserve currency; the violation of the trust was an act of economic warfare by foreign powers that have been our enemies. They printed money expecting to get value for nothing. We should repay the printed money with printed money in return.
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Originally Posted by floridasandy
all the countries that have tried it have declined. look at japan for another example.
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Take a good hard look at Japan for yourself. The prices of houses have been falling for 21 years and counting. They have been trying to print enough money to cause inflation for most of that time. The problem is that they have too much debt and not enough income and so the money that they are/were printing was/is flowing into other countries and causing inflation there. They need wage/price inflation. They have been having deflation. Falling prices but the amount of the loan is fixed so the value of the loan goes up and the cost of repaying it goes up and so no one want to take on more debt and the economy contracts even more and you get more deflation. Deflation sucks from an economic point of view.
What the Japanese needed to do was to inflate wages to where they could support the inflated prices of the houses. I have written about upping the US minimum wage to $30/hr. At this level a full time minimum wage worker would be able to buy a $180k house. This would get the prices of houses going up now not in over twenty years from now.
You are talking about the problems with inflation, deflation is worse from an economic point of view. Deflation brings high unemployment. Inflation, true inflation not stagflation, brings with it full employment.
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Originally Posted by handog
The nerve of some people expecting SS after paying into it their whole lives.
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Man, the contract with America was violated by the powers that be.