With Rates Near Zero, What Will Fed Do Next? (Buying long term treasuries=printing money)

cnbc/reuters ^ | 1/25/09

[Lurker]

That's two clowns I helped today.

That's you, and the guy in your mirror. So, I guess, in some weird sick twisted Toddster Universe, you've 'helped'.

So now. Back to my original question.

From whence comes the XX,XXX,XXX dollars the Federal Reserve 'added' to the Bank of Hooterville's balance sheet?

Come on Todd...answer the question.

Where does it come from?

L

[Toddsterpatriot]

From whence comes the XX,XXX,XXX dollars the Federal Reserve 'added' to the Bank of Hooterville's balance sheet?

The Fed changes the numbers on the spreadsheet. Sorry I can't dumb it down any further for you.

[Lurker]

The Fed changes the numbers on the spreadsheet.

So they just create the 'money' out of thin then.

I hope you can run really, really fast, boy.

I hear that tar and feathers, properly applied, are very painful.

L

[hiredhand]

Aw Trav... have some pity. He's from Illinois. :-) Check his "about" page. :-)

[DuncanWaring]

So why doesn’t the Fed put even bigger numbers into the spreadsheet and send everyone One! Million! Dollars!?

[Lurker]

Hey, we ain't all as brick stupid as Toddster here in IL.

Some of us actually own pitchforks and torches and know where the Toddsters of the world live.

Sleep well Todd. The Reckoning is coming.

L

[DuncanWaring]

From whence comes the XX,XXX,XXX dollars the Federal Reserve 'added' to the Bank of Hooterville's balance sheet?

They kidnap orphan children from Darfur, steal their teeth, and put them under the Fed pillow, where the Tooth Fairy exchanges them for $1,000,000,000 each.

[DuncanWaring]

I hear that tar and feathers, properly applied, are very painful.

Even more painful when removed.

[Lurker]

Oh. I see you're from Illinois, AND a fan of Todd Rundgren.

That explains a lot.

An awful lot.

L

[Toddsterpatriot]

So they just create the 'money' out of thin [air] then.

Yes.

Are you better described as a cretin or an imbecile?

[Toddsterpatriot]

Hey, we ain't all as brick stupid as Toddster here in IL.

Don't sell yourself short judge, you're an incredible slouch.

[Lurker]

Are you better described as

Any adjective you can come up with is far, far better than "Todd Rundgren fan". (Of all the pansy ass, pretend wannabe rock and roll 'stars' the world has ever seen, Rundgren is the most over-rated. Only those who aren't quite sure of their sexuality and Sailors are Rundgren fans.)

Do your worst.

L

[DuncanWaring]

If the money ain’t in the account to begin with, it doesn’t get to the phone company at all.

[hiredhand]

You knew I wasn't talking about you! :-)

[DuncanWaring]

Only those who aren't quite sure of their sexuality and Sailors are Rundgren fans.)

Travis might dispute you on that last one.

[Toddsterpatriot]

And if it is, how does it get there?

[Toddsterpatriot]

Oh no! Cretins would don't know how spreadsheets work are coming to get me.

You really shouldn't talk about the Federal Reserve. Your ignorance is so overwhelming, I feel sorry for you. I hope your parents at least got you into a good group home.

[DuncanWaring]

Nobody is disputing that the Fed can move money from one place to another.

We’re asking where food comes from, and you’re telling us about trucks.

[Toddsterpatriot]

Nobody is disputing that the Fed can move money from one place to another.

If those ignorant of the Fed's workings knew how wire transfers or check clearing worked, I could probably help them better understand how money creation works.

The ones who don't even know how a number is changed on a spreadsheet can't be helped.

We’re asking where food comes from, and you’re telling us about trucks.

Wire transfers move by truck?