The world needs a breather from the US. And they'll get it sooner than many think

by Mike Whitney | August 6, 2009 - 7:37pm

We're making this way too complicated. It's simple really.

The Fed has only one tool at its disposal; to create more money. Typically, the way the Fed adds to the money supply is by lowering interest rates. When the Fed lowers rates below the rate of inflation; they're basically selling dollars for under a buck. That's a good deal, so, naturally, speculators jump on it and trigger a credit expansion. What follows is a frenzy of market activity that ends in a housing, credit, tech or equity bubble. Eventually, the bubble bursts and the economy goes into a tailspin. Then, after a period of digging-out, the process resumes again. Wash, rinse, repeat. It's always the same.

The moral is: Cheap money creates bubbles; and bubbles move wealth from workers to rich motherf**kers. It's as simple as that. That's why the wealth gap is wider now than anytime since the Gilded Age. The rich own everything.

http://www.smirkingchimp.com/thread/23166

and someday you might even realize it.

yep- they OWN you.

but it's no wonder that you can't tell. :hi:

I find being around lots of different types of people is a good thing.

Explain how you think they own me.

For instance, if every person decided they did not own anything, they would not. Only the claim that they own everything can be used to justify the claim they own everything.

And really they don't own me. You can have a different belief on that if you want. People can believe what they want to.

but they still own you.

I guess you do not know what it is to be free, I hope you find out some day.

and you can keep right on fooling yourself until the end.

if that's what it takes. :shrug:

wrong place. self-delete and moved.

Fed put money out for the Bush admin, then retracted it pushing us into recession/depression/the-big-mess.

That's why Bush had them to quit reporting the M3.