Posted on 03/03/2023 8:12:01 AM PST by Kaiser8408a
There is a fascinating film about the 2008/2009 financial crisis called “The Big Short.” Actually, Iiked a similar film a little more called “Margin Call” where the infamous fire sale of securities (primarily subprime asset-backed securities).
But despite how bad the financial crisis of 2008/2009 was, the growth of Fed assets on it balance sheet (orange oval) paled in comparison to The Fed’s overreaction to the Covid outbreak of 2020. And the government shutdowns and mask mandates.
The good news? The rate of growth YoY of both The Fed’s balance sheet and M2 Money is negative. But it is still startling to see the comparison of Fed reactions to crises.
Give The Fed three steps to catch up to the mayhem they created. Particularly in inflation home prices.
They call Janet Yellen, former Fed Chair and current Treasury Secretary “The Breeze” because idiotic monetary policies just blow over her head.
(Excerpt) Read more at confoundedinterest.net ...
Gimme three steps, Gimme three steps, Gimme three steps, Mister, Gimme three steps towards the door!.......................
“History doesn’t repeat. But it does rhyme.”
The conditions today seem different from the conditions of 2008. Therefore, we won’t have a perfect little repeat of 2008. However, it seems to me that one way or another the global economy is on the edge of a knife, and I think it’s all going to go sideways, some way, some how.
Of course, people will show up and tell me that it’s all surprisingly strong and wonderful and it’s inconceivable that we might have a crisis. So there’s that.
Well...I tried. LOL
And you’ll never see-ah me no more...show me the back door!
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