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Politics : Ask Michael Burke -- Ignore unavailable to you. Want to Upgrade?

To: Freedom Fighter who wrote (124081)	8/13/2010 2:49:22 PM
From: Skeeter Bug	1 Recommendation Respond to of 132070

>>When bankers own so many bad loans that their equity is essentially wiped out, the Fed has no choice just but to lower real interest rates to negative territory.<< well, they have a choice, but one of their choices would probably lead to a pine box in short order. ;-) >>When real interest rates are negative, banks are essentially getting paid to hold deposits even if they get very low returns in short term treasuries and other safe investments.<< and society pays - with interest. the net effect is negative on the economy as a whole. especially if banks don't loan out money or society no longer is interested in escalating debt. >>In other words, massive amounts of wealth are transferred from mom and pop that worked, saved, lived a responsible life, and put something aside for their old age, kids etc... to a bunch of corrupt, evil, incompetent bankers.<< f'n banksters. i completely agree - and this is POLICY for their hand maiden and completely controlled government. obama is bleeding the poor guy while enriching the wealthiest people on earth - and americans are so dumbed down or emotionally immature that they can't think through this rather obvious scam. >>That's what the Fed is about.<< bankers for bankers mixed in with some propaganda to get the sheep ready for some sheering - to the bone. >>It's a wealth transfer mechanism.<< the bubble, the bailouts and the bust all transfer massive well to the elites - and it is all orchestrated scientifically. “The new law will create inflation whenever the trusts want inflation. From now on depressions will be scientifically created.” (Congressman Charles A. Lindbergh, after the passage of the Federal Reserve act 1913.) ourrepubliconline.com >>When it buys treasuries from a government running a deficit it transfers money from tax payers to government in a way that tax payers don't understand and are essentially powerless to do anything about (they can't vote the Fed out the way they can vote our a politician that actually raises taxes for things they don't like).<< yep - the con is multi-dimensional and the populace lacks the critical thinking ability and/or emotional maturity to see through this criminal con. >>When it lowers real rates to negative levels, it transfers wealth from savers to banks.<< yes. >>It's an intrinsically evil, corrupt, and economically unsound system.<< and it gets worse. right now the banks are doing two things. 1. off loading their assets to the public for cold, hard cash. 2. getting everything they can't unload onto the public directly GUARANTEED so, when the collapse occurs, they will simply get paid out in cold, hard cash. so banks hold bonds and cash and... will inflate their wealth away? i don't think so. that would be monumentally stupid! once they have the cash and hold the debt of others and have their toxic trash guaranteed, the SMART thing to do is to withdraw credit and collapse the system. drive the economy into the ground, bury the debt holders and then take some of that pristine cash on hand and newly minted guarantee debt (for society) cash (for bankers) and buy 20 farms for the price of one. buy a city block for the price of a house. buy our roads, water system, electrical grid and then triple or quadruple rates, all in the name of "privatization." once they own everything, then asset appreciation (inflation) will be driven by the bankers. i don't think the bankers are stupid. they want their feudal lord / serfdom system back.