Federal Reserve slaps on financial rocket boosters but who will benefit? Half of Americans spend more than they make and household incomes fall back to levels last seen in 1995.
The Federal Reserve announced the sequel to the sequel on Thursday with Quantitative Easing 3. After all, if something didn’t work the first time might as well rinse and repeat. The markets are rallying yet what has come from the QEI, QEII, TALF, TARP, and all of those other backdoor bailouts? What has resulted is […]
US Dollar already went off a fiscal cliff – what does a falling dollar mean to US families? Masking de-leveraging via debt markets.
People tend to have a short-term memory when it comes to financial panics. Even when told that the US dollar has lost over 90+ percent of its purchasing power since 1914 when the Federal Reserve was first established, many just assume this is normal. Inflation is as common as air. Today’s purchasing power of one […]
The engineering of bigger financial bubbles – corporate profits as a percent of GDP at record levels while unemployment is historically high and record number of Americans on transfer payments. Paying interest on excess reserves to banks for our own bailout funds.
The market is perched on the edge of a chair looking out for what the Federal Reserve and European Central Bank have to say. The almighty Oz is the only game in town. With the Fed, the expectation is of some sort of additional quantitative easing to prime the economy once again whereas the market […]
The sinister nature of inflation – historic droughts push food costs up impacting 46 million Americans on food stamps. What happens when everything gets more expensive and incomes fall?
Inflation is an odd sort of economic beast. People take it for granted that inflation will always be a part of our life sort of like a quite humming background noise. The Federal Reserve is doing all it can to increase inflation so banks can essentially inflate their debts away. Yet the impact for most […]