The Patriot Post® · QE Equals Monopoly Money
Ben Bernanke, Chairman of the Federal Reserve, continues acquiescing to Wall Street, banking and political pressure with Quantitative Easing stretching from QE1 to QE5, along with Operation Twist that exchanged longer-term Treasuries for shorter-dated issues it already held. Increasing the Monopoly Money supply out of thin air accommodates Wall Street and investors that get more money in the gambling pot available for its BETS that despite protestation to the contrary, Wall Street and Federal Government CREATE NO NEW JOBS. FED officials continue to print enough money to buy about $85 billion or more of government debt each month since Bush II, monetizing debt, turning debts into assets, to provide liquidity for government.
The European Central Bank (ECB) also prints money to bail out the failing Euro. The World is being bailed out and the question remains: Are there enough buckets for never-ending bailouts, or will it be like the sinking of the Titanic where there were not enough lifeboats for the commoners who went down with the ship? Quantitative Easing has continually kicked the debt can down the road and the poor can has a lot of dents that necessarily will become holes, but America is without a Little Dutch Boy to put his finger in the dike to save the country. Only balking House Speaker John Boehner can, but will not be that heroic Little Dutch Boy.
Sequestration is not a drag on the economy as its budget cuts are to increased rate of spending that nevertheless grows. Texas Senator Tom Cornyn has lists of wasteful redundant spending totaling more than $100 billion annually, a solid $1 trillion over ten years, but Congress considers that too small to consider.
What happened to “A penny saved is a penny earned,” or “If you take care of the pennies, the dollars will take care of themselves.” Every bubble eventually bursts and when this one bursts, America will be broken and all the King’s horses and all the King’s men will not be able to put Humpty Dumpty back together again.
Michelle Obama has made her mark fighting obesity but it is a proven fact that many so-called poor in America are not poor according to world standards, but only according to intentionally slanted government statistics. The truly poor in America are the homeless as they do not have a mailing address necessary to qualify for magnanimous government benefits that poor people in other countries would kill for. A poor American family of five qualifies for about $30,000 per year of tax-free benefits.
The consensus in Congress that spills out onto Main Street is that we cannot afford to cut anything, not even waste, or the economy bubble will burst. Who is there to fight against government obesity that only creates wasteful jobs that contribute nothing and can only continue with increased taxes? Feeding more to the obese is not a solution.