Fed unleashes greatest bubble of all: John Kemp (Age of Zero)

Reuters ^ | 12/17/08 | John Kemp

[TigerLikesRooster]

Age of Zero: Zero rate, Zero jobs, Zero president

[TigerLikesRooster]

Ping!

[DB]

Zero wealth.

[JDoutrider]

Age of Zero: Zero rate, Zero jobs, Zero president

Zero chances we'll get out of this mess in the coming four years of the zero messiah...

[Moonman62]

Why don’t these guys ever complain when the yield curve is inverted?

[LZ_Bayonet]

"The problem is that if the unconventional monetary policy works, and the economy picks up, the Fed will come under pressure to "normalize" rates and reduce excess liquidity to prevent a rise in inflation."

But now there will be a tax raising Democratic President and Congress. Might they simply dry up excess liquidity by raising taxes? Economics oriented Freepers, please comment.

[RC one]

He’s going to print money before he raises taxes. That should cause inflation. I don’t know how to comment on the “excess liquidity” issue. It seems like wall street is working hard to dry up that pool. I’m just an “armchair economist” though so what do I know (I know enough to be wary of banks, governments, and giant bailouts).

[6SJ7]

But now there will be a tax raising Democratic President and Congress. Might they simply dry up excess liquidity by raising taxes? Economics oriented Freepers, please comment.

I don't pretend to know how to control the economy. Too bad the Fed and Congress think they know.

[allmost]

Might they simply dry up excess liquidity by raising taxes?
Yes, that's the method comrade. What do these people need their money for anyway? It does the state no good so it must be bad ;)

[muir_redwoods]

When the US government defaults on its debt, it does it by printing money and, thus, destroying wealth accumulation. I’m not a gold bug but one has to consider options.

[LibLieSlayer]

Buy Guns and ammo... the hoard will kill you and take your gold.

LLS

[B4Ranch]

>>Led by Bernanke and Greenspan, officials have argued it is too hard and subjective to identify bubbles until afterwards, and not the Fed’s job to second-guess asset allocation decisions of professional investors.<<

Just a few days ago Ben the printer was saying that he would be able to catch the swing from deflation to inflation and would be able to prevent hyper inflation. Did he hire some new trend observers?

[billhilly]

People with homes that are paid for and no debt are the ones best positioned to ride this storm. Of course, that leaves a lot of folks in the maelstrom.

[oblomov]

Zero did say that the Wold had a wealth inequality problem. If our wealth can be inflated away, problem solved.

[NoControllingLegalAuthority]

People with homes that are paid for and no debt are the ones best positioned to ride this storm.

That's certainly true but what if you cannot pay the annual property taxes? You will still lose your home.

[billhilly]

“That’s certainly true but what if you cannot pay the annual property taxes? You will still lose your home.”

Well, if one’s taxes equal the value of their home, you are right.

[B4Ranch]

Yes, I agree with you. Just this past week I have been making preparations to pay mine off and prepay five years of property taxes.

[Travis McGee]

If you prepay at today’s rate, and your local taxing authority triples the rate next year, will you be on the hook for the difference?

Jacking up property rates to the sky will be govts last ditch effort, because it risks total social rebellion.

[org.whodat]

Free money, get your free money here!!! We can close the FBI and Treasury departments counterfeit division.. It makes no difference!!!!

[BGHater]

Jeeze. Everyone sounds like Ron Paul these days. What a bunch of posers.