Fed to buy $600 Billion in USG Debt...

[Palmguy]

What better day for this than after an election? Everyone is occupied with discussing the results from last night's "game"...

http://online.wsj.com/article/SB1000...NewsCollection

[500grains]

Actually, this news is just a left wing repudiation of the message that the voters sent in the election. If our left govt keeps repudiating the message, then the message will get louder and louder. Even lunatic King George eventually got the message.

[Belmont31R]

The monetary and debt loads (now and in the future) from the last 2 years will be in the trillions.




What are the results? Future generations (me included @ 27YO) are going to have to pay that back. These liberal idiots (Bush included because he was a liberal spender) have saddled us youngins with a debt load never encountered in the history of man.



That is why Im an extreme fiscal conservative. All the money spent is the last 30 years....how many man hours on average does that equate to? Even at 12/HR going to just the debt its over 16 billion man hours of work.

[ForTehNguyen]

then at the same time people are dumbfounded when commodity prices and dollar value goes down

[Rmplstlskn]

This is the take on this FED action and the election thatJames Wesley, Rawles offered on his site, survivalblog.com

I think it gives us a realistic picture, as there is NO WAY we can ever pay our way out of this mess, and eventually we will default, our rating will drop like a rock, and we will be ROME...

I was asked about the implications of the recent political power shift in Washington, D.C., following the November 2010 mid-term elections. Although it was generally good news, I must sadly conclude that we're still in Deep Schumer. Another $600 billion in monetization was just announced by The Fed. And Senator Judd Gregg, (R-N.H.)--a sitting US. Senator--admitted that in a couple of years unless our level indebtedness is decreased, our sovereign debt position will be no better than that of Greece! (But this is mathematically impossible, since our debt is compounding, so the U.S. will be a great big Banana Republic.) Whether the denizens of D.C. shift to a policy of austerity or they continue with bailouts and monetization, and whether the interest rates go up or down, every summary sentence will still end with the words: "...and crashed the economy." So after celebrating the Republican victory, and bemoaning the continuing Democrat control of the Senate, I recommend that you get practical redouble your family preparedness efforts. We are heading into some very hard times, with plenty of drama. The US Dollar is doomed. There is now virtually nothing that anyone can do to stop it. So get busy: Get out of Dollars, and into tangibles, pronto!

Rmpl

[parishioner]

This is the take on this FED action and the election thatJames Wesley, Rawles offered on his site, survivalblog.com

I think it gives us a realistic picture, as there is NO WAY we can ever pay our way out of this mess, and eventually we will default, our rating will drop like a rock, and we will be ROME...



Rmpl

"America is too big to fail and its "different" for us."

If people do have any inclination of what could happen, they deny it because doing otherwise would force them to acknowledge the harsh realities of a devastated economy and their mind doesn't want to fully go there because it is psychologically painful and depressing to visualize our way of life as we know it, shattered. There haven't been too many times when America has been on its ass and most people alive today can't fathom what it would be like to have total economic collapse. So...people's minds don't go there and we end up with the mentality quoted above accompanied by huge spending that doesn't look past our noses.

Now is the time for people to realize the possible(most likely imminent) catastrophic implications of our actions because if the spending isn't curbed, its gunna get real, real fast. I know I'm preaching to the choir.

[Business_Casual]

Some suggestions:

1) Stop assuming static models
2) Accurately predicting the future is rare
3) Percentages are probably the most useful tools for comparing debt and GDP, not volumes
4) Monetizing debt is a parlor trick that should get the Fed Chairman hauled in front of a Congressional Committee

B_C

PS - I ain't ready to give up on the US, you defeatist bastards