Jim Myrtle

Jim Myrtle
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  • The Scourge Of Central Banking  [View article]
    "Only minor -0.34% deflation in 2009 and the only deflation recorded since 1954 and Bernanke and the Fed respond with the most overwhelming monetary easing in history"

    Maybe the overwhelming easing prevented more serious deflation?

    "A bit of an overreaction, one has to surmise"

    How major should they have allowed the deflation to get before they reacted?
    Oct 14, 2012. 10:59 AM | Likes Like |Link to Comment
  • The Scourge Of Central Banking  [View article]
    "Instead of making statements which are not backed in facts or knowledge of the banking crisis"

    Before I check out your link, why not tell me which of my statements you feel are not factually based?
    Oct 14, 2012. 10:55 AM | Likes Like |Link to Comment
  • The Scourge Of Central Banking  [View article]
    "The entire bailout in late '08 socialized the losses incurred by the financial meltdown"

    Except for Fannie and Freddie, which losses were socialized?
    Oct 14, 2012. 10:52 AM | 1 Like Like |Link to Comment
  • Why The U.S. Is Europe: Central Bank Deficit Funding Thinly Veiled  [View article]
    "Exactly correct, and precisely what happens in fractional reserve banking with our current 0% reserve requirements"

    I know that a bank cannot loan money from thin air.
    They need to either borrow from another bank or from a depositor.

    With no such borrowed funds, they can loan $0.
    Oct 14, 2012. 10:49 AM | Likes Like |Link to Comment
  • Why The U.S. Is Europe: Central Bank Deficit Funding Thinly Veiled  [View article]
    We're speaking past each other.
    I've been reacting to the claim that a single bank that receives a deposit from a Primary Dealer, which just sold bonds to the Fed, can magically loan 10 times that deposit. The person who made that claim is obviously confused about the money multiplier, which describes how high powered money eventually impacts the entire banking system.
    The money multiplier does NOT allow a bank to somehow loan more than it holds in deposits or has borrowed from other banks.
    Oct 14, 2012. 10:47 AM | Likes Like |Link to Comment
  • Why The U.S. Is Europe: Central Bank Deficit Funding Thinly Veiled  [View article]
    "Guys, the bottom line is banks create money from thin air"

    No, they cannot create money from thin air.
    If they could, they'd need zero deposits, or loans, to start making loans.

    Central banks, of course, are the only banks that can create money out of thin air.
    Oct 14, 2012. 01:03 AM | 1 Like Like |Link to Comment
  • Why The U.S. Is Europe: Central Bank Deficit Funding Thinly Veiled  [View article]
    "Plug in whatever amount of deposits you like and do the math yourself"

    I plug in $1000 of deposits in a single bank and the math tells me the bank can lend $1000.

    What does the math tell you?

    You understand I'm only discussing a single bank, right?
    With a single deposit, right?
    Oct 14, 2012. 01:00 AM | Likes Like |Link to Comment
  • Why The U.S. Is Europe: Central Bank Deficit Funding Thinly Veiled  [View article]
    "Since they can borrow as much as they want in the future, how much they have borrowed in the past is irrelevant"

    Past? How much are they borrowing now?
    Oct 14, 2012. 12:58 AM | Likes Like |Link to Comment
  • The Scourge Of Central Banking  [View article]
    "One of the lessons learnt is not to socialize the losses of private banks"

    Except for Fannie and Freddie, run by Dem bigwigs, which losses do you feel were socialized?

    "So, the government there let the banks go under and are responding to the needs of their own citizenry"

    Yeah, when a huge chunk of your banks depositors are foreigners, it's easy to screw them.
    Oct 14, 2012. 12:56 AM | 1 Like Like |Link to Comment
  • Why The U.S. Is Europe: Central Bank Deficit Funding Thinly Veiled  [View article]
    "No bank is an island..."

    When all they have is a single $1000 deposit, they are an island.
    An island that can't loan $10,000.
    Oct 13, 2012. 11:53 PM | Likes Like |Link to Comment
  • Why The U.S. Is Europe: Central Bank Deficit Funding Thinly Veiled  [View article]
    "As much as they want"

    I know, and how much have they actually borrowed?
    Oct 13, 2012. 11:52 PM | Likes Like |Link to Comment
  • The Scourge Of Central Banking  [View article]
    "And, when Moody's and the issuers (conspire) to create a rating that is undeserved that is fraud"

    How do you know the rating was undeserved?

    "And when Goldman packages a bunch of crap and sells it with false representations to Iceland, then that's fraud"

    What was the false representation?

    "Now....who will prosecute or sue, well that all remains to be seen"

    And who will prosecute those home buyers who misrepresented themselves? What a mess.
    Oct 13, 2012. 11:36 AM | Likes Like |Link to Comment
  • The Scourge Of Central Banking  [View article]
    ""What law was broken by imperfect ratings?" - I think it's called, "Fraud"."

    Really? So when Moody's changes a rating on a bond issue, does that mean the old rating was fraudulent?

    "The "Fraud" part also extends, IMHO, to the MERS and robo signing"

    If they broke the law, punish them. I'd prefer the punishment didn't let deatbeats off the hook.
    Oct 13, 2012. 07:58 AM | 1 Like Like |Link to Comment
  • Why The U.S. Is Europe: Central Bank Deficit Funding Thinly Veiled  [View article]
    "JimM has already forgotten about the money multiplier he admitted to just a few messages above..."

    You're funny.
    Tell me again how a bank with a $1000 deposit can magically loan $10,000.
    Oct 12, 2012. 09:18 PM | Likes Like |Link to Comment
  • Why The U.S. Is Europe: Central Bank Deficit Funding Thinly Veiled  [View article]
    "Good thing no bank is an island and they can borrow all the reserves they want from the Fed!"

    That's awful! How much are they borrowing from the Fed today?
    Oct 12, 2012. 09:16 PM | Likes Like |Link to Comment
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