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WMARKW

WMARKW
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  • Why Gold-Related Investments Are Slowly Becoming Worthless [View article]
    "Now fast forward to 2012. Information can get from London to Los Angeles in fractions of a second over the internet, and because of this there is less of a threat of someone suddenly flooding the money supply without everyone knowing about it instantly."

    Two thing....first, tell me if you think we have transparancy on what Central Banks are doing today re: EU. I say no.

    Second, everytime I check out of the hotel in Shanghai, I give them my AMEX card and they charge my card in RMB and I pay a transaction fee and get billed in USD.

    There is NO reason we cannot have a gold backed currency with an open mint and the ability to conduct any transaction we want using currency or specie. If I take a 1 ounce gold piece to the department store to buy stuff, they can accept it based on spot price in their POP system and give me change in "currency" or specie at my choosing. That is so simple it could be implemented almost instantly.

    When the money supply needs to be expanded, then the conversion rate from currency to gold is adjusted.
    Jan 13, 2012. 07:24 PM | 4 Likes Like |Link to Comment
  • Why Gold-Related Investments Are Slowly Becoming Worthless [View article]
    Billions of people want it. And....if the cost of gold goes to the cost of storage, you can rest assured, I will be happy to take if off your hands for cost of storage plus $10 per ounce. There....like Debutant below, I think we're pretty accommodating, right?
    Jan 13, 2012. 07:17 PM | 6 Likes Like |Link to Comment
  • Why Gold-Related Investments Are Slowly Becoming Worthless [View article]
    Sane....what makes you think that those "preparing" for catastrophic events in the future don't have some gold, silver, cash, canned food, water, bunkers, solar panels, etc. In your mind set, there is no reason to have an automobile insurance policy either....right?
    Jan 13, 2012. 07:15 PM | 7 Likes Like |Link to Comment
  • Why Gold-Related Investments Are Slowly Becoming Worthless [View article]
    John....the key word in your comment is "can". That doesn't mean they will. One would have said 30 years ago that Eastman Kodak was a long term winner and that no one could kill that company. Or American Airlines. All these companies have haydays....and they are all subject to the risks of competition, technology obsolescence, etc. I could pretty much guarantee you that 200 years from today.....the only company that will be left standing that we know of now....will be TACO BELL.
    Jan 13, 2012. 07:13 PM | 14 Likes Like |Link to Comment
  • Wall Street Breakfast: Must-Know News [View article]
    James.....when is the last time one flew on an airline carrier and got off the plane saying, "My goodness, that was the most enjoyable experience of my life. I would gladly have paid a few $$ more for that experience."

    "Would you like peanuts or pretzels (only one bag sir....don't be greedy) and by the way, I'm sure you don't mind sharing your 1 square foot of seat with the rather healthy lady sitting next to you spilling over into your seat - do you?"
    Jan 13, 2012. 06:28 PM | 1 Like Like |Link to Comment
  • Wall Street Breakfast: Must-Know News [View article]
    James...it's clear that the accountants and politicians in DC were products of the Department of (non) Education programs in public school systems.
    Jan 13, 2012. 06:23 PM | Likes Like |Link to Comment
  • Titled "Death of a Theory," a research paper from St. Louis Fed chief Bullard says decades of conventional wisdom are wrong, and that fiscal authorities should leave it to the Fed to stabilize the economy when tough times hit. "The monetary authority ... can operate effectively even at the zero lower bound," i.e. QE, if 0% rates don't do the trick. (pdf)  [View news story]
    Wyostocks....you mean Nightmare on "K" Street.
    Jan 13, 2012. 04:34 PM | 2 Likes Like |Link to Comment
  • Debt Chaos, Financial Repression And Gold [View article]
    Plan B....that's the point. Example Japan. How do you force "savers" to spend money on stuff? You don't (I guess unless you can inspire some inflation). Japan's society is a society of savers. The Japanese government can't spend more money than the savers will turn around and scoop up and save as debt.

    I suspect most holders of Treasuries are "savers" and if you printed money to pay them off they would just go find another way to save it. Of course some competition for assets would create some inflation in asset classes (yielding capital gains tax to offset capital losses on Treasuries). What are the Chinese going to do with their ~$3 Trillion? They will look for other investment vehicles - perhaps many dollar denominated.
    Jan 13, 2012. 04:30 PM | Likes Like |Link to Comment
  • Titled "Death of a Theory," a research paper from St. Louis Fed chief Bullard says decades of conventional wisdom are wrong, and that fiscal authorities should leave it to the Fed to stabilize the economy when tough times hit. "The monetary authority ... can operate effectively even at the zero lower bound," i.e. QE, if 0% rates don't do the trick. (pdf)  [View news story]
    "I describe and critique two theories of how …scal policy might be viewed as effective in such circumstances. One, heavily studied, is that a tax-fi…nanced increase in government expenditures would temporarily increase total output in the economy. The other, lightly studied but rhetorically forceful, is that increased government expenditures may inspire con…dence. Both theories have drawbacks, but I argue the …first is dying because of three considerations:
    (1) actual political systems are ill-suited to implement the advice from the theory;
    (2) monetary stabilization policy has been quite effective, making …fiscal experiments redundant;" Bullard.

    Good Lord....what a moron. Are you kidding me. Consideration # 2. Will you kindly tell us Mr. Bullard....if monetary policy has proven to be so effective why you haven't done anything in the last 3 years that has helped the economy?

    Next, kindly tell us, Mr. Bullard, why Bernanke in Jackson Hole admitted to in-effective monetary tools and squarely told the administration to get the fiscal stimulus going?
    Jan 13, 2012. 04:21 PM | 1 Like Like |Link to Comment
  • Gold And Silver Is Risky For The Long Term [View article]
    Your welcome. March....I thought it was very good too.
    Jan 13, 2012. 02:12 PM | 1 Like Like |Link to Comment
  • The Fed's Undistinguished Macro Discussions [View article]
    Venturen....isn't that B, B, and T's plan.....trillions for the banksters.
    Jan 13, 2012. 02:11 PM | 1 Like Like |Link to Comment
  • Debt Chaos, Financial Repression And Gold [View article]
    Because if you give every US citizen $1 million they will spend in stuff and that WILL be inflationary. If you give the SS Trust fund $2.5 Trillion that they own in US Treasuries, they won't go out and buy stuff, they will look for alternative investments in equities, MBS, corporate bonds, municipal bonds, etc. That won't cause inflation in the prices of stuff. It may cause inflation in things like equities, MBS, etc. but it will cause "deflation" in Treasuries.
    Jan 13, 2012. 02:05 PM | Likes Like |Link to Comment
  • The Burden We Leave Our Grandchildren [View article]
    Green River....thanks for the reminder.
    Jan 13, 2012. 09:19 AM | Likes Like |Link to Comment
  • Debt Chaos, Financial Repression And Gold [View article]
    Well said Larry.....

    The author's 4 points come under the caption of "How to stop the debt spiral". Perhaps the first question should be: Do we need to stop it? Another question would be: What will happen if we stop it?

    I was reading some of Fulweiller a few minutes ago, and he was talking about some of the laws governing the relationship between government spending and the requirement to have cash balances, etc. My first thought was simply this: If we can create a law to govern such things, we can "uncreate" the law just as easily.

    So once again, everyone, we have a printing press and we really don't need to ask anyone to pull the trigger.
    Jan 13, 2012. 09:17 AM | 1 Like Like |Link to Comment
  • The Fed's Undistinguished Macro Discussions [View article]
    In the first place, why would you think that the Fed actually wanted to stop a recession? And what suggests that they have the tools to do so anyway? They haven't been able to reverse a recession, so why do we think they can stop one. They can't tell you when a recession will end, because they can't stop it. Thus why do we think they can tell you when a recession will begin?
    Jan 13, 2012. 08:42 AM | Likes Like |Link to Comment
COMMENTS STATS
10,685 Comments
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