China Says Fed Must Explain Bond-Buying or Endanger Recovery

Nov. 5 (Bloomberg) -- China said the U.S. Federal Reserve needs to explain this week’s decision to purchase bonds to pump money into the world’s biggest economy or risk undermining the global recovery.

“Many countries are worried about the impact of the policy on their economies,” Vice Foreign Minister Cui Tiankai said at a press briefing in Beijing today. “It would be appropriate for someone to step forward and give us an explanation, otherwise international confidence in the recovery and growth of the global economy might be hurt.”

http://noir.bloomberg.com/apps/news?pid=20601087&sid=alfvfrDQUeHo&pos=5

 

"Hey Mugsy, I Think they are wise to our scam"

 

Nov. 5 (Bloomberg) -- Federal Reserve Chairman Ben S. Bernanke’s decision to pump a further $600 billion into the economy shows his grasp of economics is weak, said investor Jim Rogers, chairman of Rogers Holdings.

“Dr. Bernanke unfortunately does not understand economics, he does not understand currencies, he does not understand finance,” Rogers, 68, said in a lecture at Oxford University’s Balliol College yesterday. “All he understands is printing money.”

 

jim rogers is a joke

 

+1

 

how much did jim rogers make in his lifetime compared to ben bernake? public servant for his whole life

 

You don't get to the head of the Fed without knowing a thing or two about economics...

Agree or disagree with his policies, Bernanke is not an idiot and knows what he's doing. That comment by Rogers severely damages his credibility.

 

Roy Young, Eugene Meyer, Arthur Burns, G William Meyer, and Alan Greenspan all became Fed chairman and none of them really understood economics (Greenspan understood a bit but committed repeated horrific blunders which directly caused two historic bubbles and subsequent crashes).

Bernanke in his short reign so far completely missed the housing bubble, then dismissed the bust after it was clearly happening, and is now pursuing deliberate monetary debasement during a time when GDP is growing 2% - in contradiction of Paul Volcker's successful early 80s policy of monetary stability.

So far he has done nothing at all to show much grasp of real-world economics. I'm sure he knows how to draw a supply/demand curve on a blackboard but economics out "in the field" is a touch more complicated than that. Greenspan himself admitted that the entire theory of economics he believed for 50 years was completely wrong. Bernanke will also, by the time his career is over, demonstrate a similar misunderstanding of the subject.

 

+1

JR has this habit of always being right 6 months later.

 

Until China runs a real currency of it's own, it's not in a position to question anybody.