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Related: About this forumWhy the Global Economy Is Wheezing and Stock Markets Will Collapse
Why the Global Economy Is Wheezing and Stock Markets Will Collapse
ByChris Vermeulen
NEW YORK (TheStreet) -- The Federal Reserve has printed trillions of dollars to monetize U.S. government debt. Any significant rise in interest rates will probably decimate U.S. government finances and the fragile housing market. It will probably also cause a financial catastrophe in the bond market, too, because of interest rate derivatives.
This is a solid reason why the Fed will not raise interest rates for the foreseeable future.
The power to create money out of thin air is great. Should we give it to politicians and secretive central bankers? Will this power be abused? Will those in charge yield to the temptation for "legalized counterfeiting?" Apparently the answer is "yes."
All that the Federal Reserve has done was to inflate equity markets. It never solved any of the original financial problems that led to creating the credit bubble of 2007. There was as well no resolution by our elected political officials to resolve these serious financial problems so that they would never occur again. The process called quantitative easing created a shift of a tremendous amount of wealth from the middle class and the poor to the rich.
The prices of stocks, which are typically held by the wealthy, created a clear redistribution of wealth that future generations will pay for. The Fed appears to have believed that boosting stock values would help to create new jobs and increase capital spending by businesses. ................(more)
http://www.thestreet.com/story/13261949/1/why-the-global-economy-is-wheezing-and-stock-markets-will-collapse.html
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Why the Global Economy Is Wheezing and Stock Markets Will Collapse (Original Post)
marmar
Aug 2015
OP
Stopped at my local Independent Pharmacy and they could only take cash today...
kickysnana
Aug 2015
#2
jeff47
(26,549 posts)1. Hey look! It's another "Hyperinflation is just around the corner" story.
Just like in 2014. And 2013. And 2012. And 2011. And 2010. And 2009.
We better be afraid. This time their predictions will come true!!
kickysnana
(3,908 posts)2. Stopped at my local Independent Pharmacy and they could only take cash today...
Thought maybe the global economies had collapsed but I went up the street and got gas and they took plastic which was good because I left all my cash at the pharmacy.
Maybe another day.