Fed, worried about recovery, will buy US debt
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Fed, worried about recovery, will buy US debt
1–10 of 60 posts
Re: Fed, worried about recovery, will buy US debt
#2massive printing of dollars, here we go!
Re: Fed, worried about recovery, will buy US debt
#3massive printing of dollars, here we go!
Cause that's really dangerous when you're suffering deflation....you know, when you take actions to correct this situation.
Re: Fed, worried about recovery, will buy US debt
#4Re: Fed, worried about recovery, will buy US debt
#5Earlier quoted context omitted.
Cause that's really dangerous when you're suffering deflation....you know, when you take actions to correct this situation.
dangerous only for the banks.
Howso? You mean the owners of the fed/risk? I'd honestly say any additional risk from this purchase is counterbalanced in the reduced risk in their other holdings.
Re: Fed, worried about recovery, will buy US debt
#6Earlier quoted context omitted.
dangerous only for the banks.
Howso? You mean the owners of the fed/risk? I'd honestly say any additional risk from this purchase is counterbalanced in the reduced risk in their other holdings.
Deflation is dangerous only for the entities that own large amounts of real estate/stocks. For normal people, deflation allows their buying power to increase. The government printing is akin to stealing from your labor right then and there.
Re: Fed, worried about recovery, will buy US debt
#7Earlier quoted context omitted.
Howso? You mean the owners of the fed/risk? I'd honestly say any additional risk from this purchase is counterbalanced in the reduced risk in their other holdings.
Deflation is dangerous only for the entities that own large amounts of real estate/stocks. For normal people, deflation allows their buying power to increase. The government printing is akin to stealing from your labor right then and there.
Deflation allows personal buying power to increase holding income constant. Deflation is defined as a decrease in prices. You know what else counts as a price? The price of labor. I.e., wages. Average wages decreases under deflation, just like any other price. Deflation is not a magical money machine that makes us all richer.
Re: Fed, worried about recovery, will buy US debt
#8Does this mean the foreigners have lost faith in the US government and stop buying the US debt? The Fed buying US debt is like the left hand buying from the right hand.
Re: Fed, worried about recovery, will buy US debt
#9Earlier quoted context omitted.
Deflation is dangerous only for the entities that own large amounts of real estate/stocks. For normal people, deflation allows their buying power to increase. The government printing is akin to stealing from your labor right then and there.
Deflation allows personal buying power to increase holding income constant. Deflation is defined as a decrease in prices. You know what else counts as a price? The price of labor. I.e., wages. Average wages decreases under deflation, just like any other price. Deflation is not a magical money machine that makes us all richer.
1.) The US wage stagnation/decline for the last 10-15 years has been caused by globalization of labor/emergence of China/India. It is not a recent phenomenon.
2.) If you think government printing money will increase/steady your wage, look no further then the last bailout/printing. The banks/shareholders got all the money. You got lost wages and lost jobs.
On a side note, man, there's alot of sheeples on this board. Do you all like get up early in the morning to go to work and get robbed?
Re: Fed, worried about recovery, will buy US debt
#10i suppose it makes more sense to print money and lend it to itself than lending it to banks to lend to itself