Tuesday, March 24, 2009

Obama/Geithner Daylight Robbery

In case it's not already obvious, there is no difference between the two plans except another layer of financing pinned on the taxpayer:

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Posted by fdralloveragain at 9:09 PM

14 comments:

  1. AnonymousMarch 24, 2009 at 11:38 PM

    Private sector solution assured that we will have hyper inflation.

    ReplyDelete
  2. fdralloveragainMarch 24, 2009 at 11:45 PM

    Actually the Private Sector solution steals more wealth from the economy and gives it to private financiers, which is the goal of all deflations. We couldn't have a good deflation without financing hooked to yesterday's price tags.

    ReplyDelete
  3. AnonymousMarch 24, 2009 at 11:56 PM

    Since they accomplished their goals thru government action, hyperinflation will follow.

    ReplyDelete
  4. AnonymousMarch 25, 2009 at 12:04 AM

    hyperinflation will not follow unless the gov't gives massive amounts of cash directly to the people. otherwise the debt or "credit" that MAY be extended by usery banks will cause further deflation as it enslaves people.

    ReplyDelete
  5. AnonymousMarch 25, 2009 at 8:05 AM

    Money is given to both Hedge funds, Insurance Companies, and Banks.

    The Gov't does not have to give massive amounts of cash directly to the people to cause inflation.

    Private institutions who receives Gov't money can reflate by buying up commodities and stock bubbles which ultimately drives prices way up.

    ReplyDelete
  6. AnonymousMarch 25, 2009 at 8:34 AM

    Private instutions are busy filling holes in their balance sheets. Also, GDP is 70% consumer spend. Lack of consumer spend affects corporate earnings, which hurts stock price multiples. Commodities, maybe some reflation, but overall demand is still down.

    ReplyDelete
  7. fdralloveragainMarch 25, 2009 at 9:00 AM

    "The Gov't does not have to give massive amounts of cash directly to the people to cause inflation. "

    If the gov could "give" a dime it would be an inflationary dime, but the gov has no longer has the authority to print currency in our country, they can only borrow at a net loss.

    There are lots of topics on this site about how printing works in America, or does not work, in the case of deflation.

    ReplyDelete
  8. AnonymousMarch 25, 2009 at 10:45 AM

    FDR,

    7858 on the Dow! Happy days are here again.

    Looks like we've nearly reached the limit. If 7900 is any kind of substantive barrier, 7850 should be a good time to short.

    ReplyDelete
  9. AnonymousMarch 25, 2009 at 12:58 PM

    @Anonymous (March 25, 2009 12:04 AM)

    "hyperinflation will not follow unless the gov't gives massive amounts of cash directly to the people. otherwise the debt or "credit" that MAY be extended by usery banks will cause further deflation as it enslaves people."

    I agree. However, but we are already enslaved by this system, as predicted by Thomas Jefferson.

    ReplyDelete
  10. AnonymousMarch 25, 2009 at 1:39 PM

    If you look at a chart of the Dow from say 1900 on, that mountain you see is the graphical representation of several things; one of which is FED-assisted hyperinflation.

    It is not difficult to make a case that we have already "been there, done that".

    Now the right side of that graph is being drawn in real-time as our dysfunctional government intervenes, because (collectively) they simply "don't know any better".

    ReplyDelete
  11. AnonymousMarch 25, 2009 at 2:04 PM

    Or?

    ReplyDelete
  12. AnonymousMarch 25, 2009 at 2:05 PM

    Just trust they aren't looking out for you.

    ReplyDelete
  13. AnonymousMarch 25, 2009 at 2:19 PM

    If I remember correctly, when lehman asset's got auctioned the price they got was around 7 cents. Will the banks sell their assets for 7 cents

    ReplyDelete
  14. AnonymousMarch 25, 2009 at 6:11 PM

    fdralloveragain,

    Price is determined by the last transaction.

    A few good hedge funds can drive prices higher than government printing money and giving cash to every citizen.

    As long as money keeps flowing to hedge funds, they will be the driving force behind our inflation, not you nor me.

    ReplyDelete

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