Quantitative Easing - A definition

With the monolopy game we are involved in everyday I ask myself many questions but feel that I must share some insight.

Quantitative Easing
I'm sure we have all recently heard the word (Bloomberg viewers)
So I was curious as to what all the talk is about and decided to do some investigations.

I want to bring quality SOURCE to the table but I was unable to find anything in the merriam Webster dictionary but found a rather nice explaination on Wikipedia.
Definition

Keep in mind.. They are contemplating QE2 ( a second round) if I'm correct.
The above is a very good read indeed.

In a nutshell: The money system is broken.So they create money "ex nihilo" (out of nothing - adding zero's to the fed's account) Then with their newly created large account they buy things (government bonds, financial institutions, GOLD

I know exactly what your talking about and it's been getting worse the past two decades.

I'm well aware of new currency such as the Bancor.
Bancor Stated by IMF World Bank

I gotta be honest with you. I am hoping against hope that the government DOES nationalize the banking industry.

While they are at it they need to nationalize the Fed as well.

The new national banking system should be tightly constrained to a franework which allows it to make a moderate profit by providing finacial services to citizens which would augment the income produced by taxation.

These profits should be revealed to the public in their entirety.

These profits should be used to fund tax incentives for business to pay the average worker more. This creates more financial activity within the national banking system, thus improving profits, thus allowing the government to encourage a continued closing of the wealth gap.

A society does benefit from social and financial stratification, to an extent. It creates motivation and ambition and encourages innovation and aggressive competition... However we have reached a breaking point, where the elite 1-2% of the nation has take almost total control of our nations wealth. They have corrupted our political systems and social traditions and moral values for the sake of continued record profits.

I don't like government, but sometimes you have to lose to win. I think that giving banking to the government with strict guidelines and full disclosure would be a win/win for the average American and the nation as a whole.

As for the ultra rich that might make less money when they lose the financial schemes they use to hoard money that should be going to the average American so that he/she can spend it to increase liquidity in the markets (fundamentals here!!!!!!), screw em... They don't need the 8th house, 2nd private jet, new private bowling ally and 5th ferrari... We gotta get real here and tell these gluttons to put a cork in it.

Originally posted by Gtown
For those who say our dear president is not a socialist - Give me a few Megabytes of space and I will upload the blueprint - No games it'll give you some insight indeed. I'm not a prophet but they will take ownership of all houses (mortgagegate? bailout?) and create a new currency I'm positive of this!

Craziness!

The head of the Federal Reserve is a Republican. How does that fit with all your theories?

Fiberx

You've got some pretty good ideas, which are honest efforts.

The fed is the main dishonest instrument in the equation in turn enslaving us(individuals) and letting us feel as we are a part.

Poker Analogy
I've got $50 he's got infinite bankroll (in reality, it's like the economy is using steroids TRILLIONS)
I know he's bluffing
I'm all in....
=infinite games
He is the only dealer though
I have to play to get a value meal?


I wish it was as easy as South Park "Shenanigans!"

On a serious note though:
Can you not say that is a monopoly?
There's no competition
Any attorneys on here?

Originally posted by mythatsabigprobe

Originally posted by Gtown
For those who say our dear president is not a socialist - Give me a few Megabytes of space and I will upload the blueprint - No games it'll give you some insight indeed. I'm not a prophet but they will take ownership of all houses (mortgagegate? bailout?) and create a new currency I'm positive of this!

Craziness!

The head of the Federal Reserve is a Republican. How does that fit with all your theories?

That's a good point!
Not really though, I don't think I ever mentioned anything about Democrats or Republicans until just now.
If I did please quote it and I will stand corrected.Disregarding of course this reply.

Further, I will disregard the question in whole as you are referring to and retort to see a see source of your claim.
Socialist


----edit----
mythatsabigprobe - the link in your signature is impressive though
Regardless You, I & a lot more do what we do everyday to get some $.
These magicians create it, then bet on it, then bet on that bet, while betting against those bets, an on.
Truly a mess when you come to terms with it.
Healthcare for all - So we can all pledge allegiance to becoming lab rats - numbers for the newest medications -

reply to post by Gtown


a month or so ago max keiser likened quantitative easing to a dog eating it's own vomit. made me giggle for sure.
with respect to the state of the uk finances and the part nationalisation of the banks, i feel things could have been improved if the government were to have given every citizen their share of the bank(s), kind of like a share. this would have allayed many concerns and could have encouraged trading from the bottom up.
f

reply to post by Fiberx


I like your ideas, as they do have some merit. However I believe there is possibly a better option. We go back to the way we started doing things, by separating the banks from the control of the money supply and also separating the government from the control of the banks. Private banks, nationalized money supply.

To me the real kicker is that according to the reading I have done, which admittedly is not exhaustive, only congress is supposed to have the power to regulate the currency anyway - and nowhere are they given the right to delegate this authority to another institution....*cough*

As an even crazier thought, maybe we could even go one step further, and have a currency that is 100% backed by a tangible good or resource, thereby abolishing the "boom/bust cycle"; a direct result of fractional reserve banking coupled with a private bank being allowed to regulate the inflationary rate of the currency.

Originally posted by blood0fheroes
reply to post by Fiberx

 

I like your ideas, as they do have some merit. However I believe there is possibly a better option. We go back to the way we started doing things, by separating the banks from the control of the money supply and also separating the government from the control of the banks. Private banks, nationalized money supply.

To me the real kicker is that according to the reading I have done, which admittedly is not exhaustive, only congress is supposed to have the power to regulate the currency anyway - and nowhere are they given the right to delegate this authority to another institution....*cough*

As an even crazier thought, maybe we could even go one step further, and have a currency that is 100% backed by a tangible good or resource, thereby abolishing the "boom/bust cycle"; a direct result of fractional reserve banking coupled with a private bank being allowed to regulate the inflationary rate of the currency.

It's a sdicc game we are entrapped in, once you realize it, you first contemplate being odd, then view the ignorant as odd. How to lead.....

reply to post by Gtown


How to lead indeed? Myself I prefer not to. I prefer to inform those around me and let them take their own paths.

I do this, by citing historical examples of our precise situation and the repercussions of not learning from history.
Sad to say though that throughout history, no matter how bad it gets no one ever puts two and two together till they are carting a wheelbarrow full of cash out to buy dinner......because they always think "that'll never happen *here*"




[sarcasm]But on the bright side, we'll all be rich and happy![/sarcasm]




On a more serious note, when the dollar does tank, methinks there will be alot of other countries pissed at us. More than there are already, since the dollar is the worlds reserve currency.