Kicking in for Jay...
The Fiat Money Inflation in France could be explained away as teething problems of something that later got a name of monetary policy. It started by the people in power issuing "just as much paper money as the lands confiscated from church were worth". And when this money injection wore off, the smartest and the honestest of them all decided it would just take some more paper to keep the circulation up. And on it went. Into hyperinflation.
For the lower strata of "Liberté, Egalité, Fraternité"d French it ended in a complete and utter pauperization, while at the top an new caste of the rich appeared - of those who knew how to sell short and how to make debts in an inflationary environment. Then came Napoleon and the hangover and the 19th century. And Marx had a nice practical example on hand to tell us what the "primary accumulation" of capital actually means.
What's the connect with Fed and AG?! No excuses (ie it's not teething pains) for FED when it comes understanding the role and the function of money. The primary cause of concern and distrust (of some, count me in anyhow) is the amount of green paper being created since quite some time, and on AG's watch at that. Money creation disconnected from GDP growth, from anything to do with national economy - except a nice enticing interest curve --- .
"What's the problem with money? Hey, I see it everywhere. I'm rich, you're rich, we're all rich! We buy, we shop, we are the world, we are the children" etc etc...
Hanging above it all the Cheshire cat's smile of the one and the only AG.
Ayn Rand? She would probably ask him to move his a*se and produce some steel instead of all this paper...
re >>if one could understand what he is saying.<< (from New Yorker)
Twas brillig, and the slithy toves
Did gyre and gimble in the wabe:
All mimsy were the borogoves,
And the mome raths 25 BPs
Some more delightful reading at:
financialsense.com
dailyreckoning.com
or ask Google for Mogambo Guru |
