With "conventional" QE not bringing the global economy out of its malaise, ever-more radical...

With "conventional" QE not bringing the global economy out of its malaise, ever-more radical ideas are gaining proponents. One is QE for the people - or QEP, or helicopter money - or handing out free cash, while another is giving governments back the exclusive right to create money, which they've lost to commercial banks. This would apparently restore growth and eliminate government debt without tax increases or spending cuts. When something sounds too good to be true...

Comments (13)
  • davidbdc
    , contributor
    Comments (3194) | Send Message
    Here's a radical idea....... CUT GOVERNMENT SPENDING!!!


    Like actual cuts! Not the "we were going to spend 10% more but now are only going to spend 6.5% more so we've cut spending by 10 Billion".


    Get rid of Agencies. Cut Bureaucrats pay by 20% - tomorrow. Don't like "public service" so much anymore? Quit. Reduce our military presence overseas. Buy less weapons. Raise retirement ages for SS, Medicare. Throw millions off of "disability". Somehow we have 10's of millions fewer people doing manual type labor but have skyrocketing disability claims. Reform the tax code - zero deductions - three increasing levels of flat tax depending on income.


    Its amazing the nonsense that gets thrown around... all to avoid the simple fact of life that everyone can't have everything. Reminds me of a little jingle my grandmother used to say.....
    "Thats Life! What's Life? A magazine. Oh, How much does it cost? 10 cents. I've only got a nickel!, thats life!......


    Its now 2012. Think if we had acted in 2008 and reformed our social programs. If we had restructured our government over the past 3 years? If we had restructured our military? But no, just more and more and more nonsense that doesn't deal with the very simple truth that you cannot spend your way out of a debt and deficit problem.
    28 Oct 2012, 04:34 AM Reply Like
    , contributor
    Comments (10809) | Send Message
    David....you're way to "practical". That attribute doesn't really exist in "government" when it comes to spending. I saw George Will's editorial about Disability Claims this morning in the Sunday paper. Pretty amazing. Ten smart people sitting in a room could probably cut 500 billion a year out of spending today if they just used their common sense and didn't have any concerns about political fallout. Your list is a good start.
    28 Oct 2012, 10:39 AM Reply Like
  • Thrift Maven
    , contributor
    Comments (144) | Send Message
    Most disability claims from Social Security are automatically denied
    since the Reagan years. The disabled folk need get a SS lawyer
    to help them refile. The lawyer takes a third of the initial payment, I believe, which is usually 3-6 months worth or more.


    I was processing a MediCal case once. The client died the same day his disability application notification was returned to me denied.


    Don't believe everything the RepubliCons try to snooker you with.
    28 Oct 2012, 05:39 PM Reply Like
  • davidbdc
    , contributor
    Comments (3194) | Send Message
    Most disability claims denied???


    Better look at the statistics. There are judges with 100% approval rates. All one has to do is look at the number of applications versus the number approved.


    Then if you really want to be depressed look at the numbers on the program 20 years ago. And then think about how our workplace has changed and how many fewer Americans do truly tough manual work.


    We have a growing number of people scamming the system, and the government is allowing disability to be used as an early retirement program.
    28 Oct 2012, 05:49 PM Reply Like
  • winningtrader
    , contributor
    Comments (2459) | Send Message
    Right, it will not happen. You want smaller government but the government makes the decisions. Don't you see the contradiction, the government has to cut itself? It will not happen until there is a huge crisis. It will get ugly.
    28 Oct 2012, 05:59 PM Reply Like
  • Hendershott
    , contributor
    Comments (1889) | Send Message
    How about Simpson-Bowles? We had a bunch of smart people sitting in a room and they did figure it out. Unfortunately, it required a compromise from both parties.
    28 Oct 2012, 08:15 PM Reply Like
  • Ron Myers
    , contributor
    Comments (255) | Send Message
    Actually it doesn't even sound like it's too good to be true. It sounds like an awful idea that would never work and it's amazing that well-educated economists would fall for this. How could it possibly be different from the last twelve times QE has failed to produce growth.
    28 Oct 2012, 05:18 AM Reply Like
  • Thrift Maven
    , contributor
    Comments (144) | Send Message
    This idea was circulated during the great depression. Having the
    government print its own money. For thirty five years, since the '80's,
    the American Workforce has been pauperized. People who once made an area's median wage, now make about 30% less. Really.
    That is one reason why credit card use went ballistic during Republican Policy years - meeting monthly payments required some
    borrowing. Housing is still unaffordable. Banks know all this and
    are leary of lending to the pauperized local folk.
    Even if the government printed money to take up the slack of diminished wages and decreased COLAS over the past 35 years,
    plus an increase to Aged, Blind and Disabled people, local economies would become more stable - nationwide.


    Thirty five years of sociologically illiterate Republican Legislators have decimated our population's stability. A pauperized workforce
    and out of control housing costs brought to you by the people
    who call themselves successful. Geeeeeeeez.
    28 Oct 2012, 05:47 PM Reply Like
  • mike mohr
    , contributor
    Comments (452) | Send Message
    Provide 2% 30 year mortgage to home owners, cut the property taxes, bring the jobs back to America, stop tax breaks to business for outsourcing. Then we will see 6-7% GDP for many years.
    28 Oct 2012, 09:20 AM Reply Like
  • mcostigane
    , contributor
    Comments (44) | Send Message
    fiat currencies are finished


    the endagame is predictable and unstobsable


    it's simply a matter of how much money you want to make out of the situation
    28 Oct 2012, 10:02 AM Reply Like
  • june1234
    , contributor
    Comments (4504) | Send Message
    "radical" as opposed to the current "non-radical" government by and for banks. Giving trillions to commercial banks as opposed to people on the ground is a better plan? People on the ground spend it. What are the super banks doing with all that cash? Banking giant UBS just announced another 10,000 job cuts almost 20% more of their ever shrinking work force. Lets give them more money. Not even UBS stockholders are seeing any benefits, just the top brass.


    Lets look at the results so far of the current plan: Trillions of $$ in aid to banks and here we are more and more companies missing both revenues and earnings estimates.400,00 new unemployment claims each week for the last 4.5 years. I doubt those people are making more money on their new jobs as they were on their old ones. Economic model for idiots I call the current plan.
    28 Oct 2012, 10:31 AM Reply Like
  • Hendershott
    , contributor
    Comments (1889) | Send Message
    Did you ever hear of something called the global economy? UBS is a Swiss bank. Investment banking is shrinking around the world.
    30 Oct 2012, 08:46 PM Reply Like
  • june1234
    , contributor
    Comments (4504) | Send Message


    $13 trillion undisclosed sent by the Fed to bail out it's super bank buddies while they have voters argue whether to cut park service or medicare or whatever. That $13 trillion is almost enough to pay off the entire national debt. Fed refuses to disclose to whom they gave that money to. Wasn't me
    30 Oct 2012, 02:31 PM Reply Like
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