Posted on 11/11/2012 5:58:13 AM PST by Dartman
Edited on 11/11/2012 6:51:02 AM PST by Sidebar Moderator. [history]
What is a fiscal cliff?.Obama in office note last four years.
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Banks hold it as reserves.
And if you wonder why that is a problem, think about how it will feel if your money is worthless, buys NOTHING....food, gas, medicine, ammo.
Companies out of business. No jobs. Expect violence as Homeland Security tries to restore/keep order.
Frack. The more I think of this, the more I think it’s going to make Greece’s pains look like an bright Sunday afternoon picnic. :(
Why is it so urgent? We run out of money to pay interest due, government payments to SS, military pay, government employee pay just before the end of this year.
then the money velocity graph shouldn’t look like it does and the excess reserves of depository institutions graph definitely shouldn’t look like it does. The money is just sitting there in limbo according to the graphs. If it’s just going to sit there in reserve, what was the point of creating it in the first place? It was like raising the largest army the world has ever seen and then not using them to fight the biggest war the world has ever seen.
Fed used it to buy toxic debt from banks which now sits on the Fed’s books.
According to the graphs it's sitting in reserve. Why? The money was created to bail out main street as well as wall street but it clearly never made it to main street for some reason. So where is it really? The only people who truly know where the money went are the people who ultimately received it and the people who gave it away and they weren't required to tell us. It smells like theft by fraud to me.
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