Sunday, October 13, 2019

All hail the Federal Reserve for keeping the rich richer and the poor insolvent

For imposing Taxes on us without our Consent

The unanimous Declaration of the thirteen united States of America

"The Federal Reserve said Friday that it will buy short-term Treasury bills each month until the second quarter of 2020 to inject cash into the banking system and make it easier to control its benchmark lending rate.

Fed Chair Jay Powell: The economy is in a good place.

Here's a $60B per month Treasury bill buying program, 
multiple rate cuts and daily repo operations.

Sven Henrich

The action marks the Fed’s latest response to a shortage of cash reserves that developed last month and caused short-term interest rates to spike, briefly sending the Fed’s benchmark rate above its target range.

"The Federal Reserve has expanded it's balance sheet
by $180 billion in the last few weeks
to $3.946 trillion"
The New York Fed said its first monthly purchases, starting Tuesday, will total $60 billion. Future amounts weren’t specified.

Governments cannot create but merely redirect. 

When the government spends, the money has to come from somewhere.

If the government doesn't have a surplus, then it must come from taxes.

If taxes don't go up, then it must come from increased borrowing.

If lenders won't lend, then it must come from the printing press...
each additional dollar printed diminishes the value of those already in circulation.

Something cannot be effortlessly created from nothing.

Peter Schiff

The Fed also said it will extend a separate short-term lending operation through January that is also intended to boost bank reserves.

Pay no attention to why the Fed is suddenly printing more

...For several years through 2013, the Fed bought roughly $1.5 trillion of Treasurys and mortgage bonds to try to hold down long-term interest rates and encourage more borrowing and spending. Lower rates also led investors to invest more in stocks.

Compare what most CEOs think to what you do.

Look up all the news stories telling the public about this information,
reported by The Conference Board in early October
"Companies issue record amounts of debt, use the debt to repurchase record amounts of stock while Insiders sell (near) record amounts of stock to their own companies as retail investors unknowingly stay the course."
We have betrayed our children’s future,
by indenturing future generations to finance a more pleasant present. leading more investors to buy stocks, QE contributed to higher stock prices that disproportionately benefited wealthier Americans while leaving lower-income people with measly savings rates.

A lot of jobs are about to disappear
And the central banks will print even more to reverse natural reality

...$60 billion is three times as large as purchases under the European Central Bank’s recently announced quantitative easing program.

The purchases will begin Tuesday.

...The central bank also wants to eventually replace about $160 billion in short-term loans it has made since the troubles in money markets first surfaced."

The simplest method of gaining control of the public 
is to keep the public undisciplined and ignorant of basic systems principles on the one hand, 
while keeping them confused, disorganized and distracted 
with matters of no real importance on the other hand.

 "We’re now at the tail end of a very long, but in many ways a very weak and artificial, economic expansion"

By a continuing process of inflation,
governments can confiscate secretly and unobserved…the wealth of their citizens.

John Maynard Keynes
Advocate of fiscal and monetary measures to manage economic highs and lows

Aenbr Nood's first bubble, and then the next

From a meeting with Congressman Mark Walker's staff, after which Mark did nothing = Walker has joined the national "keep the financial industry unaccountable" club

Some are hoarding cash

Ponzi finance units must increase outstanding debt 
in order to meet financial obligations.

... either financing costs rise, or income comes in below expectations,
leading to defaults on payment commitments.

Hyman Minsky

"(Inv)" = Inverted = A large portion of the population has begun putting of purchases of relatively high cost goods

…the earth belongs to each of these generations during its course,
fully and in its own right.

The second generation receives it clear
of the debts and incumbrances of the first, the third of the second, and so on. 

For if the first could charge it with a debt,
then the earth would belong to the dead and not to the living generation. 

Then, no generation can contract debts greater than may be paid
during the course of its own existence.

Thomas Jefferson to James Madison