Time to bump my thread to mention that the last act of "quantitative easing" has run its course as I said it would?
Yep.
What will it do? What the last one did, lower long interest rates which will benefit the few in a position to restructure their borrowing. So instead of 10 gallons of spaghetti sauce for $20, it will be 1 gallon of spaghetti sauce for a $1. So what good is cheaper when there is a whole lot less of it? What if my recipe calls for 5 gallons of sauce? Doesn't matter that the first one is cheaper now does it?
Think its time to abandon this credit based money system yet?
Where did all those "hyperinflation is on the horizon" people go anyway? Did they finally figure out the "bailouts" were book keeping gimmicks to keep banks "solvent" according to the accounting rules and was not circulatory?
FRB: G.19 Release--Consumer Credit--August 6, 2010
Its kind of hard to have inflation when consumer debt drops. Business credit is following suit.
Until the national debt is
increased by the removal of taxation, expect further deflationary pressure as our real estate/asset backed currency continues to make wet flapping noises.
Oh I suppose that some will desperately point out that food prices are rising not accounting for supply. If M deflates 5% and grain supplies shrink by 10% grain prices will rise. It does not change the the problem we have with M and the scum sucking financiers.
Putin bans Russia grain exports due to drought - Yahoo! News (http://news.yahoo.com/s/afp/20100805/ts_afp/russiaheatwavefiresfarmcropscommoditiesgrain_20100 805162243 - broken link)