The American economy has stalled yet again and the US Federal Reserve is about to create another $ trillion in their computers,get the US Govt to issue bonds( ie IOU's to that amount) and pay it back in interest.Last year the Fed created $2 trillion for no result.

I call it counterfeiting because when any institution creates money from nothing,without a commensurate increase in production,it devalues the wealth of everyone in that community.

Last yr much of the money went into bailing out a financial system that was errant and dysfunctional."Too big to fail".There exists no such corporate entity.Put them into bankruptcy re-organisation.Obama, Congress and the Fed have sacrificed the US economy for the expediency of their own immediate avarice and power.

When countries around the world begin to divest themselves of a collapsing US $,there'll be no stopping the rush for the exists.Once the derivative market begins to unravel,$ trillions will enter the real economy thus causing hyper-inflation.

The way out for the US people is to rid themselves of the US Fed,begin to create their own debt free money via Govt Banks,and re-vitalise their manufacturing industry.

Pres Andrew Jackson and Abraham Lincoln created their own Govt debt free currency.Thomas Jefferson wanted to and JFK had signed executive order No.11110 that returned once again the power of the US Govt to issue currency just before he died.That order was recinded by LBJ.

It has been a success in the past so long as Govt is constrained by the parameters of monetary discipline.

Didn't even have to look to see it was you Arjay :) poor boy.

Ur barking up the wrong tree mate... start naming people.

Strong?
Gore?
Soros?

Are they 'good guys' with white hats in your vast conspiracy theory or 'bad guys' ?

There's something about Arjay and govt; run banks. Thats socialism.
When USA turn the corner that play money will have to be withdrawn a bit at a time.
If our govt; suggested a govt run bank, There would be screemes of communism, never mind the upside.

579 It is not socialism.The new money for GDP + inflation of $ 91 billion pa belongs to all Australians not just a select group of private banks.Why do you think we are in so much debt?

Eventually under this system the total amount of money in the economy will equal the amount of debt.It is called slavery.

I said 12 mths ago that bailing out a corrupt dyfuntional finance system would not work and now the chickens have come home to roost.

Times will only get tougher as interest rates rise with the inevitable inflation of the Fed counterfeiting our currencies,yet very few have the intellect to realise what is actually happening.Very sad indeed.

*the chickens have come home to roost.*

The chickens are doing fine Arjay, clucking away,
eating their food and laying eggs. They do indeed
come home to roost each night, that is normal
chicken behaviour, if you were not aware of it :)

As to the American Dollar, I remind you that you claimed
that the US could never repay its debt, which is in US Dollars.
I also remind you that SE Asia has manipulated currencies for
years, to try and gain a trade advantage. They ignored the
free market, China in particular.

So now they have vaults full of $! Do you still think that
America can't repay the $ that it owes them?

Yes we all knew instantly it was arjay.
My persciption?
Leave fox news of your list forever and live your life.
Nothing you can do will change anything.

Yabby they are trying to reduce the debt by depreciatiing their currency.This has an effect on currencies world wide since the US $ is still the trading currency.The Fed is forcing up rates here by creating this phoney money.This phoney money moves off shore looking for safe assets and creating inflation.There should be a tax on US currency equal to the inflation it creates.

It's a direct attack on the Statue of Liberty. You can't bring in a socialist world government while that great lady stands there tall and proud, holding her torch illuminating our path to freedom and liberty.

She must be brought down and this is a sure way of cracking the foundations even further.

America is perhaps the worst offender when it comes to counterfeit; But every Government entity in the world is guilty of the exact same thing Arjay; and the inflationary effect is still yet to come. But this one will be the retrogressive coruscation of The Progressive movements undoing ; and become Moribund.
Who, or perhaps, “What is Government ? “, until the dingbats come to realise the importantce of that question; Then there are some very troubled times for them ahead.
Pathological Liars and Pan-physiological Engineers and their subscribers Printing their own Money , whilst Robbing the pessants of their prosperity and Rights at the same time ; is indeed a short lived Pathological Looters Utopia.
And that is as bad as the notion that these thieves Named so Government and their Minions are here to help. To Help themselves to Wealth- Power - and self indulgence; Have to Love democracy, ay.

Arjay, I think you have found your soulmate.

>>Pathological Liars and Pan-physiological Engineers and their subscribers Printing their own Money , whilst Robbing the pessants of their prosperity and Rights at the same time ; is indeed a short lived Pathological Looters Utopia.<<

I Suspect you may also Share the same Deep Insights into Economic and Fiscal issues.

Enjoy your day.

That was deep and meaningless Pericluless, but Obviously not as shallow in intellect and in cognition as you are , and at least in content it consists of much more than your continual contribution of nothingness ; did you actually says something constructive yet?
No?

All,I've nailed Pericles to the cross of truth so often in the last 2 yrs,that now he actually believes he can walk on water.

Last yr Pericles tried to pervey the illusion of the US Fed was actually owned and controlled by the US Govt.The Fed has Govt members on it's board but is wholly owned by private interests.

What this cabal of facist elites do not realise,is that their greed and power lust is actually limiting all human potential on this planet thus creating misery and destitution rather than raising the human consciousness to higher levels.

The problems of world population,energy,pollution can be solved by prosperity,rather than their scortched earth policies of economic austerity. The Greens have been bought out by the very corporate devils who seek to enslave us.

Ah yes, Arjay, I feel those scars every time I read yet another of your scintillating, but completely inaccurate, assessments of fiscal policy.

>>All,I've nailed Pericles to the cross of truth so often in the last 2 yrs,that now he actually believes he can walk on water.<<

But I cannot let you get away with this calumny.

>>Last yr Pericles tried to pervey the illusion of the US Fed was actually owned and controlled by the US Govt.<<

I did no such thing.

Check your records, Arjay (I'm sure you keep details of all our exchanges as proof of how clever you are), because this one is straight out of your imagination.

Occasionally, though, you do strike a glinting nugget of reality amongst the dull dross of conspiracy-speak...

>>The problems of world population,energy,pollution can be solved by prosperity<<

Ain't that the truth.

Sadly, you have no more idea of how to bring this about - or even how complex and difficult a task it is going to be - than the jam doughnut I am about to have with my coffee.

Yum.

Sugary, jammy, doughy perfection.

But not a single atom of economic insight.

The political conspiracy theory is always trotted out when their nerves get tickled by some home truths Arjay; and the fact is that Economics is very easy to know and realise if you actually realise the Factual attributes both in History and in Human Action; and realise the utter fabrications so mastered to benefit those who have most to gain at the expense of others; The simple solution is easy, Get rid of The Plundering thief’s called Government and all of their Marauding minions. Problem solved.

I assume that Pericles has heard of the Kato files of the Seventeenth century? After all, he is a Pom; and again, once more we go. We can now realise what people do when they are tired of being robbed and oppressed by the plunderers, wether a Democratic plunderer – Feudal or Pan theological Plunderer, The same outcome is always achieved.

Just as it was then with the Plundering by the self appointed Authorities and mates, as it is now with Witchdoctor Authority and their minions and mates. But much worse than ever seen in all of History as a whole , and on a Global scale.

It is likened to being hit with a sledge hammer when you come to realise the truth Arjay.

That's interesting, All-

>>I assume that Pericles has heard of the Kato files of the Seventeenth century?<<

Indeed I haven't.

I do know that of a Kato who was the Green Hornet's assistant, once played by Bruce Lee.

But the "Kato Files"?

I've come up empty on that one.

>>It is likened to being hit with a sledge hammer when you come to realise the truth Arjay.<<

D'you know, All-, that explains a great deal. Being hit with a sledgehammer can do strange things to your thought processes, I've heard.

But do tell. Where do I find the Kato files?

I love seventeenth century intrigue.

http://www.archive.org/details/catosletters01tren
And Audio file Lecture.
http://mises.org/media/5405

Ah.

>>I assume that Pericles has heard of the Kato files of the Seventeenth century?<<

So, it turns out to be Cato, not Kato.

Letters, not Files.

And the eighteenth, not the seventeenth century.

Thank you All-, a modicum of accuracy is always a help.

"These articles, written under the name "Cato," were the work of John Trenchard and Thomas Gordon, a pair of uppity English Whigs"

http://classicliberal.tripod.com/cato/

"The Whig tendency supported the great aristocratic families, the Protestant Hanoverian succession and toleration for nonconformist Protestants", says Wikipedia.

So, "a pair of uppity English Whigs" float your boat, do they? How interesting.

What remains a mystery is what relevance they have to... well, anything outside the first half of the eighteenth century, really.

Although they are fun to read. Here's my favourite soundbite, so far, right at the start of Volume II.

"The Papacy... is a Fairy Dominion, founded upon Non-Entities, Inventions and Abominations; supported by Lies and Terrors; exercised with Cruelty, Craft and Rapine; and producing Meanness, Delusion and Poverty, where-ever it prevails"

Wow. Not much to argue with there, I guess. But it was a surprise to find one of runner's ancestors being so active back in those days too.

But quite how they came to be the patron saints of the Mises Institute is pretty obscure. Do you have any references that illustrate this, All-?

Or do you just blindly accept anything that the Austrian School tells you, much like Arjay does?

For a start Pericleless, Stop eating the Jam donuts, whatever neurons that may have operating in that little brain of yours seems to find its way to a sewer once a day.
I would not have been surprised at all of the absolute idiosyncratic crap that you had written , Pericluless, In fact my post notes were almost on the mark , so I will just prick your ego a little and watch you fly back to England just on the thrust vectoring of that very ego as it is deflating.
I know your frustration, but unlike in some other place towards some other persons not named Yet, Pericluless, You can not state on this Forum that you would shoot them.perrythebells. IP Addresses, Obvious with every comment - Threatening.
I know

You are an utter fraud and a Phony Pericluless, That donut must have been tangled up somewhere else , and there is a back log.

So before you continue with your diatribe on this forum or anywhere else Pericluless , Pay some respect for others Ideas or thoughts , for you do not have any.

All, Pericles is in fact one of the smartest posters on OLO and
most have a high regard for his wisdoms. Perhaps you could
apologise for your abusive post, for it puts you in a pretty
shabby light.

Thanks Yabby, much appreciated, but as far as I'm concerned the tone and content of All-'s post says everything that needs to be said about his/her ability to engage in thoughtful discussion. Not worth apologizing for.

>> In fact my post notes were almost on the mark<<

An interesting definition of "on the mark", All-.

Three descriptors - Kato, files and seventeenth century - and all of them wrong. It must be an exciting event for you, every time you unpack the weekly shopping.

As for ideas and thoughts, I do actually spend some time trying to understand the rationale behind some of the more bizarre economic theories that are, quite regularly, presented here. One of the most common is "output" from the Mises Institute, backed up by the whole Austrian School movement.

And my advice is always the same. Instead of simply churning out someone else's words, simply because you like the way they sound, or they support your particular world view, "follow the bouncing ball" to get an idea where such policies would take you.

Like many such theories, this is one that can only operate in a vacuum. There are no remedies available from Mises, only wistful, idealistic "wouldn't it be great if only..." soundbites.

There is no possibility, for example, that the world will ever again embrace a currency that is based on a mineral, whether that is gold, silver or anything else formed as a result of geological processes. Yet there is continual hankering after this concept, littered throughout Mises thinking - even on that (quite tedious) after-dinner speech you linked us to.

As I have often recommended to Arjay, try to plot out some of the consequences of Mises thinking. Understand what it means to i) existing debt, ii) future growth and iii) stable government. Unless you are able to start with a clean slate, none of their propositions has the faintest chance of ever being implemented.

Which is probably why they are happy to continue philosophising. knowing there isn't a snowball's chance in hell of them ever being proved wrong.

Pericles last yr you told us what a shining light of economic wisdom Ben Bernanke was.He is about to counterfeit another $ trillion.Do you still hold him in high regard?

There does not necessarily need to be a common theses provided by Von Misses to substantiate the validity of such a theory; With a little bit of creativity of what I mentioned of the Cato files – Essays and the level of corruption that had existed under that order and at that time; and the start up of the centralised bank in the later part of the 16th century to pay for Oligarchic plundering and Idealisms at the expense of the future population and by Inflationary means; Print their wealth where it never existed.Whilst bankrupt.

It does not correlate to any stable government, that is Oxymoronic, Government by definition has to rob the people for it to exist, and does so with violent coercion and compulsion; and who draws the line and who defends the people when government draws its own lines.
If it consumes all the capitol wealth for its own parasitic purposes, it stands to reason that there will not be capitol to expand industry – unless it is industries that are State Privileged Monopolies.
Mises did not tell me that , I just looked out the window. Nobody has the right to procure money or productivity that will in turn jeopardise and compromise future Generations by denying their right to ownership of themselves or any productive forces who the state has proclaimed to be its owner.
That is the Modern Hallmark of Despotism gone utter sectarian to serve its purpose and not yours.

Interesting observation, Arjay.

>>Pericles last yr you told us what a shining light of economic wisdom Ben Bernanke was<<

I'd be interested to see where I offered an opinion on Mr Bernanke's wisdom. I don't usually comment on individual capability.

>>He is about to counterfeit another $ trillion.Do you still hold him in high regard?<<

Your suggestion that the additional stimulus is counterfeit money will disturb those people who are going to use it. Counterfeit indicates an imitation, as in counterfeit Gucci handbags or counterfeit Patek Philippe watches. By contrast, you won't be able to tell the difference between these new dollars and all the others that are going around.

Is it the right move? Is he being "wise"?

The reality is, I would suggest, that his hands are pretty well tied at the moment. Any stimulus level of carries with it a risk, but on balance I'd say with inflation and growth both at the low end of the scale, and unemployment stubbornly high, it is probably the best option right now.

Do you have an alternative strategy you believe is better? Or, put another way, do you understand why his actions may be necessary, and what they are hoping to achieve?

Incidentally All-, I think it might be best if you first brushed up on your history.

>>...the start up of the centralised bank in the later part of the 16th century...<<

Which central Bank was that?

The doomsday merchants are everywhere in bad times, and the irrational optimists are everywhere in boom times.

But the clever people, the ones who are always laughing all the way to the bank, are those who know that a boom ALWAYS follows a bust and a bust ALWAYS follows a boom.