This was written Aug 10 08:43 AM on seekingalpha.com
**"I am not an economist,just a retired real estate broker.I call myself justaluckyfool because anyone who attemps to predict the future is a fool,if correct;justaluckyfool... it is in our nature to try.
The Feds have in fact set in motion what may be "The Worlds Largest Ponze Scheme" . By giving banks practically free money to puchase equties and by sheer force ,allowing no safe place to save money, they are inflating the balloon.
Bernanke is no fool,and I am hoping he is to be "justaluckyfool"
for he may realize that he has started the clock,bought time
to solve the real problem at he knows that it is not the phycological
baramerter called the DOW.
He has recently proven that trillions can be put into play without the risk of inflation;e.g.,TARP and TALP were for over $8 trillion!
(as reported to Sen. Sanders..."A Jaw Dropper at the Federal Reserve)He discovered that giving the money to banks did not work becausethey did not use the money properly,(Can you believe that?)They kept it to make profits instead of loans to create jobs
and goods that would off set the increase in money supply.
To quote just about anyone that is truly aware of the state of this economy,"We must fix the housing market before we know how much we have lost and we must create jobs at the same time
to recapture those loses and to justify our money supply without inflation.
I hope and pray Dr "Helicopter" Bernanke will save this economy.
QE3 to create 10 million jobs,reduce national debt to zero,
Yes,all of that and more.HE CAN DO IT.
1.MAKE- THE FEDERAL RESERVE BANK in reality what people are led to believe it is! A bank of the people ,for the people and by the people.
2.Turn Freddie Mac and Fannie Mae into LOAN SERVICE corporations.
3.Fund ..THE US FEDERAL RESERVE BANK with $10 trillion.
Make direct loans for residential real estate to all taxpayers for
95% of value for 36 years @4%.This allows 2% to double the taxpayers money,and 2% for Freddie and Fannie to service,and keep the loans at 100% value to market.Make the comercial loans @5%.
As Einstein said,"Keep it simple"
The US Treas would gain more than $10 Trillion every 36 years
and AMERICA will return to economic power.
The goverment will have the means (read Money) to promote the gereral welfare.
The banks have proven beyond a reasonable doubt that their greed has disqualified them from this job.
Even with the help of Ben Benanke (who should be nominated for the Nobel Prize in Economics as he has single handedly proven that America is a Monetery Sovereignty.Just in the past few years by “printing” putting into banks and other financial institutions over $16 trillion).
NOW WISHES TO PURCHASE $554 BILLION OF MBS's !!!!
A more that is supposed to help the housing market.
BEN, if BAC is at a 10% loss (giving them a hopeful wish it's true rather than 20%)
that would mean they would need EIGHT TRILLION DOLLARS (8,000,000,000,000).
We know that you have proven that you can do it,but please become an American Patriot this time DO IT FOR THE PEOPLE.
Take over the insolvent bank and combine all loans with Freddie,Frannie,Sallie, into The Federal Bank of America-The Federal Bank of America will be the maker of all loans,not guarantee them for others, they will be the maker of these loans and will retain all profits. Profits which by law will be turned over to the US Treasury,as funds for Congress for government expensive’s.
The Federal Bank of America:
-Will no longer allow the paying of interest for the use of its own money.
-Will not take deposits from anyone other then the US Treasury.
-Will not be involved in any financial investment services.
The Federal Bank of America will be the sole lender of legal tender. Any financial institution that wishes to loan American Dollars must acquire any legal tender that it may need from the Federal Bank of America,as all loans must be backed with a 100% reserve (Either dollars on hand or borrowed from the FB of A)
The Federal Bank of America may raise or lower rates of interest to insure the quality and quantity of the American Dollar.
The Federal Bank of America shall be funded by the US Treasury