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"Bernanke is a murderer, he’s a murderer of the middle class and the working class," Marc...

"Bernanke is a murderer, he’s a murderer of the middle class and the working class," Marc Faber says in a King World News interview. "If you print money everything will go up... it goes into equities and for Mr. Bernanke unfortunately into commodities. And this is lifting the cost of living of the median household, of the typical household in the U.S."
Comments (46)
  • Bret Jensen
    , contributor
    Comments (11018) | Send Message
     
    Good piece. Had same take in my article seekingalpha.com/artic...
    7 Apr 2011, 10:28 AM Reply Like
  • Neil459
    , contributor
    Comments (2644) | Send Message
     
    But with our union teachers, they have taught everyone that printing money is free money and free money does not hurt anyone. So don't expect any epiphany from either the Fed or the voters.

     

    Welcome to hope and change.
    7 Apr 2011, 10:28 AM Reply Like
  • Leftfield
    , contributor
    Comments (3879) | Send Message
     
    The adherents of MMT which espouses deficits don't matter if they are printed in our own currency (for now) will deny they see any way those created dollars are finding their way into commodities and causing world unrest by the economically marginal who are now forced to starve or rebel. Bernanke even claimed to see deflation before QEII!

     

    All lies and fallacies promoted by rulers and useful idiots who just "happen" to benefit from policies that are destroying the productive economy.
    7 Apr 2011, 10:39 AM Reply Like
  • stringband
    , contributor
    Comments (8) | Send Message
     
    Wasn’t it Dick Cheney that was quoted as saying that deficits don’t matter?
    7 Apr 2011, 11:49 AM Reply Like
  • wyostocks
    , contributor
    Comments (8811) | Send Message
     
    Read a newpaper---Obama is president and the Biden is veep
    Is your comment in the DNC talking points memo today?
    7 Apr 2011, 11:53 AM Reply Like
  • stringband
    , contributor
    Comments (8) | Send Message
     
    "Reagan proved deficits don't matter," - Dick Cheney. This quote is attributed to Paul O’Neill then Treasury Secretary. Washington Post June 9, 2004 Page A11
    7 Apr 2011, 12:15 PM Reply Like
  • thecandidbull
    , contributor
    Comments (7) | Send Message
     
    You are a very wise man Marc Faber, This country is going down the path to third world status and the unrest we see in the Middle east will be effecting the United States before long
    7 Apr 2011, 10:30 AM Reply Like
  • rick flair
    , contributor
    Comments (369) | Send Message
     
    well, calling him a murderer is going a bit too far. i mean come on, he's obviously just an over-educated cult member from the right side of the kibbitz, but hes just a selfaggrandizing ahole, with an insane self-promotional obsession. when faber mentions his ugly name, HE WON. thats all he cares about, is you and me and faber mentioning HIM. he couldn't care less how ugly or disturbing or even anti-american his behaviors are. quit printing/mentioning his name, and his type will hopefully go away , like the wicked witch of the west...
    7 Apr 2011, 10:33 AM Reply Like
  • alexlavr
    , contributor
    Comments (4) | Send Message
     
    The Fed says they are "swapping assets" not printing money.
    7 Apr 2011, 10:34 AM Reply Like
  • Warderf
    , contributor
    Comments (45) | Send Message
     
    I think in the short run they are "printing money", but as the economy recovers they will sell those assets and take back the money they "printed" so in terms of inflation there should be no impact.
    7 Apr 2011, 11:02 AM Reply Like
  • wyostocks
    , contributor
    Comments (8811) | Send Message
     
    Sure, just shove the toothpaste back into the tube. I think not.
    7 Apr 2011, 11:07 AM Reply Like
  • Dinny
    , contributor
    Comments (21) | Send Message
     
    Nice article Marc Faber - so agree with you
    7 Apr 2011, 10:36 AM Reply Like
  • Teutonic Knight
    , contributor
    Comments (2355) | Send Message
     
    Sure, if we don't print, are we prepared to go into a Depression?
    7 Apr 2011, 10:36 AM Reply Like
  • CRUDE GOLD
    , contributor
    Comments (369) | Send Message
     
    You mean printing with marginal job creation will save you from a depression?
    7 Apr 2011, 10:40 AM Reply Like
  • Neil459
    , contributor
    Comments (2644) | Send Message
     
    Capitalism has up and downs. I am prepared because I was raised by my grandparents, who lived through the last great depression and they taught me about education, risk, savings, and diversified investment.

     

    People don't learn. Politician's don't want them to learn, otherwise they can't buy votes. If people don't care to learn on their own then they need real life to teach them.

     

    I know it sucks, but just because we live in houses with two cars, air conditioners, big screen TVs, iPhone, and sex on demand does not mean that the world is risk free, no matter what the politician's proclaim.
    7 Apr 2011, 10:44 AM Reply Like
  • Teutonic Knight
    , contributor
    Comments (2355) | Send Message
     
    True, but name me one regime in the history of all mankind who would choose not to avoid pain, i.e.., stop excessive printing or diluting the coin with unholy metals.
    7 Apr 2011, 02:41 PM Reply Like
  • Neil459
    , contributor
    Comments (2644) | Send Message
     
    Teutonic Knight, The problem here is not the resulting pain, its the threat of pain to politicians that don't have a leadership bone in their body and have endured the last 50 years of bad teaching and politically correct media.

     

    The politician's are selling us down the drain because they are scared and don't know what else to do.
    7 Apr 2011, 03:01 PM Reply Like
  • Teutonic Knight
    , contributor
    Comments (2355) | Send Message
     
    Neil459,

     

    Politicians with 'a leadership bone in their body' and electorate who 'learned' are much harder to come by now compared with those during the 1776 American Revolutionary era.

     

    As with Darwinian Evolution Theory, the so-called leaders today have cracked the codes to get elected, akin to the Saturday morning TV show 'It's Academic'. The end game is to get rehearsed to guess for the questions, and memorize the model answers. They are 'Scorers'.

     

    As for the electorates, oh well, just look around and discover the pop culture in play.
    7 Apr 2011, 04:30 PM Reply Like
  • Neil459
    , contributor
    Comments (2644) | Send Message
     
    Teutonic Knight, good point, thats exactly why we have to vote down all government proposals that grow government and give more power to politician's, no matter the supposed good intent, no matter the crisis, no matter the common sense.

     

    I'm sorry, but the politician's have used up all of the their good will. Its time we called them the liars and thieves they are (that applies to both parties.)

     

    There is no way we, the people, can win if we continue to make being a politician have the same benefits as winning the lottery.
    7 Apr 2011, 05:31 PM Reply Like
  • mattyw
    , contributor
    Comments (125) | Send Message
     
    The middle class should buy commodities and ride the boom. This nation used to be great, now people can't even help themselves. Don't blame the fed, study economics and make money from their actions.
    7 Apr 2011, 10:42 AM Reply Like
  • billddrummer
    , contributor
    Comments (1734) | Send Message
     
    The 'middle class' is struggling to buy gasoline.

     

    You seem to be more out of touch than many.
    7 Apr 2011, 12:15 PM Reply Like
  • mattyw
    , contributor
    Comments (125) | Send Message
     
    Well, the middle class shouldn't be buying gas guzzlers then, they should be buying Prius'.
    7 Apr 2011, 02:44 PM Reply Like
  • billddrummer
    , contributor
    Comments (1734) | Send Message
     
    Again, you're presuming something that probably isn't feasible for most.

     

    The middle class people I know are reluctant to borrow $20,000+ to buy a new car. Most of them drive older vehicles and have good relationships with repair shops--if they don't perform their own repairs.

     

    Perhaps you aren't speaking of the middle class at all, but a class that has significant unencumbered assets which they can use to buy commodities and hybrid vehicles--

     

    Oh wait, that would be the upper class, wouldn't it?
    7 Apr 2011, 04:17 PM Reply Like
  • mattyw
    , contributor
    Comments (125) | Send Message
     
    If you drive enough, there becomes a point in terms of gas prices where a hybrid will pay for itself over its life. I will agree that this is contingent on them selling their gas guzzler, which they probably won't get too much for, as few people are buying them anymore.

     

    Or, they don't even have to sell their gas guzzler, if they have an older vehicle, just wait a little while until it gives out, then replace it with a Prius. That's how our economy works, in the long run, there are automatic equilibriums in terms of choices that oil will always drive us to. In this case, if this rise continues, even the lower class will drive hybrids when gas is $10 a gallon.
    7 Apr 2011, 04:50 PM Reply Like
  • billddrummer
    , contributor
    Comments (1734) | Send Message
     
    When gas is $10 a gallon, the lower class will torch your car.
    7 Apr 2011, 07:00 PM Reply Like
  • mattyw
    , contributor
    Comments (125) | Send Message
     
    Hahaha, ya probably.
    7 Apr 2011, 07:55 PM Reply Like
  • wyostocks
    , contributor
    Comments (8811) | Send Message
     
    Best not get caught...................
    7 Apr 2011, 08:04 PM Reply Like
  • wyostocks
    , contributor
    Comments (8811) | Send Message
     
    Add to Ben the fools in the American government who insist on using food to replace an abundant supply of fossil fuel.
    How many could be fed by the corn now used in ethanol?
    7 Apr 2011, 10:42 AM Reply Like
  • thecandidbull
    , contributor
    Comments (7) | Send Message
     
    I agree that a murderer is a bit harsh but i also beilieve that what he is doing is slowly killing the middle and lower class, You would think with all the education this man has he would realize the devastation he is causing
    7 Apr 2011, 10:45 AM Reply Like
  • mattyw
    , contributor
    Comments (125) | Send Message
     
    He doesn't care, he works for the rich Wall Street types. The FED always has.
    7 Apr 2011, 10:46 AM Reply Like
  • hayekvonfriedman
    , contributor
    Comments (597) | Send Message
     
    You hit on the problem: education today is indoctrination into secular humanistic post-modern collectivism It has not had much to do with concrete thinking and fact based empirical knowledge for several decades.

     

    The over indoctrinated, under-wise elite with lots of letters after their names are called pseudo-intellectuals for a reason. They are charlatans, false prophets and wolves in sheep's clothing. "Physician heal thyself."

     

    They are guilty of complicity in an unspoken conspiracy to rip away the proven wisdom of the ages that made this country great when applied en masse to a truly educated and informed electorate..
    24 Jun 2011, 01:24 PM Reply Like
  • Teutonic Knight
    , contributor
    Comments (2355) | Send Message
     
    Re: "...with lots of letters after their names..."; this reminds me of one fellow who used to post here with lots of letters after his name as "So and So, BSc, MSc. PhD, Yeti, Yeti, <Carriage Return>, Yeti, Yeti, Blah, Blah, Blah, <Carriage Return>, Yeti, Yeti...<Carriage Return>....".

     

    I believe one could suffer from delusion of grandeur.
    24 Jun 2011, 04:59 PM Reply Like
  • Machiavelli999
    , contributor
    Comments (829) | Send Message
     
    Well, I guess I have to be the one to introduce some textbook economics to the SA horde.

     

    So, Faber was right in saying one thing. If there is REALLY inflation, everything does go up. But that's the problem. Not everything is going up. Just because commodities are going up, doesn't mean EVERYTHING is going up. Specifically, wages are not going up.

     

    The 1970s was a time of TRUE inflation. Everything really was going up. Including people's paychecks. There was a famous moment in the Reagan campaign, when one of the workers he met on the assembly line told him that he takes home more money than he could have ever dreamed of, but it's not really buying him much more now. Another anecdote from the 70s is that you could buy certain cars in the early 70s and sell them used in the late 70s for more nominal dollars.

     

    Another reason we don't have inflation is that prices on commodities are rising around the world, not just in US. I actually wish the problem with commodity prices was just that Bernanke was printing too much and that if he just stopped we could enjoy $1 / gallon gas for perpetuity. But the unfortunate answer is that the problem with commodities is a REAL supply and demand problem. Demand is growing by leaps and bounds while supply is growing but not at as fast a pace as it needs to. Look at inventory statistics. Crop inventories around the world are at historic lows.

     

    Finally, one more comparison to the 70s that proves Faber wrong. The 1970s was a terrible time for stocks despite runaway inflation. So, to say that "If you print money everything will go up... it goes into equities..." just shows his COMPLETE ECONOMIC ILLITERACY. The man is just a doomsday proffet who has his cult following of SA readers. He has no more insight than the people predicting the world will end on May 21st this year.

     

    www.dailymail.co.uk/ne...
    7 Apr 2011, 10:48 AM Reply Like
  • wyostocks
    , contributor
    Comments (8811) | Send Message
     
    He has no more insight than the people predicting the world will end on May 21st this year.

     

    Its next year.....................
    7 Apr 2011, 10:51 AM Reply Like
  • thecandidbull
    , contributor
    Comments (7) | Send Message
     
    So thinkl think that the stock market has been ignoring every negative event for the last year why? Also easy money policies of the Fed are causing commoditties to rage higher, Supply and demand? Please. And the point about the 70's till today. Wages have not budged for a long time but the cost of almost everything has, Is that not inflationary to some? Demand is growing by leaps and bounds? Come on. This is a Economic ponzi scheme pure and simple
    7 Apr 2011, 12:30 PM Reply Like
  • Machiavelli999
    , contributor
    Comments (829) | Send Message
     
    Imagine a conservative utopia country with no central bank and no excessive money printing (BTW, someone does still have to print money, so if you think that the Fed is printing too much, I would like to ask how much would you print? But that's a whole other discussion)

     

    So, anyway, in this conservative utopia of balanced budgets and low taxes and some ideal level of money printing, a genuine oil shortage occurs. Because of a war, because of an embargo against the country or because of whatever reason. Price of oil will go up. And so will price of other items as well. But is that the fault of the monetary authority??

     

    Also, demand for commodities IS growing by leaps and bound. Not in America. But in the world as whole. We are not alone here and do not dictate commodity prices. The world is getting richer and demanding more and more commodities. This is undeniable. Just read around here a little bit: www.agweb.com/

     

    So, I guess the Fed can bring down commodity prices. It can run tight monetary policy and crash the world economy again. That would bring demand down and cause prices to fall, like they did in 2008. Or we can look for REAL supply solutions. More drilling, more research on alternatives, more exploration, etc., etc.
    7 Apr 2011, 03:12 PM Reply Like
  • Warderf
    , contributor
    Comments (45) | Send Message
     
    I disagree with the fact that "easy money" flows into commodities. I believe that the recent increases the money supply has resulted in a lower dollar, which makes things more expensive. But it helps exporters and that's why we've seen an improvement in industrial part of the economy.
    Soft commodity prices for the most part have gone up due to weather conditions. Industrial commodities are going up because of demand from China and India.
    Prices of soft commodities will come down I believe. I hope for good weather around the world and no more disasters. Industrial commodities prices will probably get more expensive. As China and India grow as a % of world GDP they will need more industrial commodities to meet their demands.
    I believe that Bernanke was right to implement QE2. At the time the government was sitting on their hands, while things seemed to be getting worse. Remember what it felt like between last May and August.
    As for eternal pessimists I really have very very little time for them.

     

    7 Apr 2011, 10:50 AM Reply Like
  • stringband
    , contributor
    Comments (8) | Send Message
     
    So when did they let rational and educated opinions in here?
    7 Apr 2011, 11:06 AM Reply Like
  • kashirin
    , contributor
    Comments (52) | Send Message
     
    And do you know how you usually stop excessive demand? You stop priinting money!

     

    All this cheap talk about demand propping up prices is false. Remove excessive liquidity and you will see how demand will disappear like it disappeared in 2008
    7 Apr 2011, 11:08 AM Reply Like
  • rick flair
    , contributor
    Comments (369) | Send Message
     
    wow, did you read that right out of your FED handbook? CNBC has a slot open for you......
    7 Apr 2011, 11:52 AM Reply Like
  • inthemoney
    , contributor
    Comments (981) | Send Message
     
    > I disagree with the fact that "easy money" flows into commodities.

     

    Well, you disagree but BOJ agrees.
    7 Apr 2011, 12:30 PM Reply Like
  • Topcat
    , contributor
    Comments (481) | Send Message
     
    I don't understand what the criteria is for getting news and articles posted on seekingalpha? When I first discovered this web site 3-4 years ago it was so good, with great market technical info and expert commentary...now it has deteriorated into political views and weird fringe bloggers and media prognosticators...sad
    7 Apr 2011, 11:10 AM Reply Like
  • rick flair
    , contributor
    Comments (369) | Send Message
     
    every site degenerates in to this.....its a law of nature....
    7 Apr 2011, 01:12 PM Reply Like
  • Kristian
    , contributor
    Comments (51) | Send Message
     
    @ Topcat

     

    Agree.. an utter disgrace... and meaningful and well reasoned comments are now rare. The number of recalcitrant posts that appear in this thread are more than adequate proof.

     

    However, for those interested in learning something...

     

    An article in Wall Street Opinion Editorial section, "Our Unaccountable Fed" reveals details in brief of how the usurping of power and altered mandates beginning with the original 1913 Federal Reserve charter, came about:

     

    online.wsj.com/article...
    7 Apr 2011, 08:50 PM Reply Like
  • billddrummer
    , contributor
    Comments (1734) | Send Message
     
    Yes, include me in the weird fringe blogger group.
    8 Apr 2011, 12:20 PM Reply Like
  • Leftfield
    , contributor
    Comments (3879) | Send Message
     
    There are always some who resort to the conceit of sounding above the fray no matter what is going on in the world. Somehow they believe making a profit and criticizing the deplorable need be mutually exclusive.

     

    They probably also have trouble walking and chewing gum at the same time.
    8 Apr 2011, 01:21 PM Reply Like
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