Silicon Investor (SI) -- The First Internet Community

STOCKTALK

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 : The Obama - Clinton Disaster -- Ignore unavailable to you. Want to Upgrade?

To: Wayners who wrote (55014)	8/9/2011 5:39:28 PM
From: John	Read Replies (1) \| Respond to of 103300

That's exactly right, Wayners. The entire world's growth cycle is based on the ponzi/pyramid scheme. It is mathematically impossible for central banks to sustain it forever. All they can do is repeatedly repack the debt, sell it to someone else, and push it further out into the future. I know that the US buys the UK's debt and vice versa, but I've wondered if the US buys China's debt. I'll try to look that up. Regardless, debt is a big sham that is brought about by the human desire to possess something today that is unaffordable until tomorrow (or never). -ng- The rent-to-own stores and cash stores rake in the moola because idiots don't have the self-discipline to save their money for a couple of months to buy their new television sets at Wal-Mart for ~200 clownbux. No, they would rather get it today and pay 30 clownbux a month for the next two years ($720). (...or whatever they charge these days).

To: Wayners who wrote (55014)	8/9/2011 9:08:33 PM
From: DuckTapeSunroof	Read Replies (1) \| Respond to of 103300

Re: "It's pretty simple, economy is in the shitter and the Feds offer endless bonds, notes and bills for sale every other week it seems. Banks choose to do it. I blame the Feds mostly, not the banks. The Feds are soaking up ALL the friggin money!" But it's the United States Treasury that sells the bonds (not Fed). And the Treasury only sells bonds to finance the chronic deficits we have been running for decades. So long as we take in less revenue then we spend (right now I think it's about $4 spending for every $3 in revenue) than they will keep selling bonds to finance the difference. You have a point though... I believe the big banks are 'sitting' on about $3 Trillion in cash right now. not really lending much into the real economy. Instead it seems they currently prefer putting in on deposit at the Fed, and 'earning' somewhere between a tenth of a percent and zero in interest the fed pays.... Not much sense in that but, hey, don't ask me, ask BAC, C, GS, JPM, etc., why they do that instead of lending....