SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Politics : Welcome to Slider's Dugout

 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: jim_p who wrote (15042)2/9/2009 1:03:00 AM
From: Amark$p   of 50429
 
Fed multiplier down again this month to .885

"The Fed's M1 Multiplier continues to drop. The latest figure is 0.885, which is below the critical 1.0 level. As I have stated previously, I interpret this as evidence that we entered into the deflationary death spiral in September, 2008. The M1 Multiplier has only gotten worse over time.

It simply means that for every dollar the Federal Reserve adds to the economy its monetary effect is having a less and less stimulative impact. It also means a growing number of recipients of these dollars are hoarding (either saving or siphoning) rather than spending them. This is putting the brakes on the velocity of money in our economy. Another way of looking at it, progressively more and more of the Fed's newly printed dollars are getting flushed down the financial toilet."

geocities.com
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext