Posted on 05/04/2020 2:14:24 PM PDT by yesthatjallen
Refi it all at -2% and then it will go away on its own. Lol
“Borrow from who?”
Well, the Federal Reserve, naturally. Just a matter of speeding up the printing presses.
“Spend all you want, we’ll make more!”
Where’s the Tea Party? An $800 billion dollar stimlus brought everyone out 10 years ago. We get $3 trillion this time and no protest. You might blame social distancing, but I don’t imagine the Tea Party protests will pick up this summer.
Yeah it doesn't work that way.
Yeah, it doesn't work that way.
“ Borrow from who?”
First, I think that should be “whom”.
Second, the answer is the demand for US debt is so strong our currency is up and interest rates are almost zero. I hate debt, but not debt at no interest. Besides, some interesting things have been quietly happening with retiring old debt with higher rates.
Yes, and look at the fed balance sheet. It skyrocketed the past couple of months.
https://www.federalreserve.gov/monetarypolicy/bst_recenttrends.htm
The fed is printing money and buying the government’s debt and thus manipulating the interest rate to where it wants it to be.
And given the alternative (a total crash of the economy and widespread despair) that’s not a bad thing. Hopefully the fed will be smart and wise enough that, as things start returning to normal, they will be able to navigate the tricky reversal successfully.
The Federal Reserve is on !ife support. Trump is letting them bleed out by sticking them with a bloated balance sheet of dollars created and loaned to the US government at zero interest. A lot of it is not even secured by treasury bonds but an unsigned promissary note from the US congress. Its an unsecured loan. Trump is bankrupting the Fed. Trust the plan.
“The fed is printing money and buying the government’s debt and thus manipulating the interest rate to where it wants it to be. And given the alternative (a total crash of the economy and widespread despair) that’s not a bad thing. Hopefully the fed will be smart and wise enough that, as things start returning to normal, they will be able to navigate the tricky reversal successfully.”
agree 100% ... the 1929 depression was because no one would inject liquidity and people were reduced to paying their bills with eggs and butter because there was such a shortage of cash ... wouldn’t be smart to repeat a scenario similar to that ...
Only a socialist country can afford to do business like this. The Republic is long gone, dead, and ready for burial.
“Borrow from who?”
they’ll money launder it like they did with TARP. They’ll buy parking lots for a billion dollars.
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