Most disingenuous Fed Chairman?

Discussion in 'Economics' started by rsi80, Dec 6, 2010.

  1. rsi80


  2. Did he talk about decimals and zeros??? :eek:
  3. The Bank of America Wikileak will, hopefully, have mentions of the Fed's secret dealings with taxpayer money.
  4. ben's right - they're not printing money right now - they haven't been for a while now. This shouldn't come as a shock to anyone except conspiracy theorists with tin-foil hats.
  5. Did he talk about decimals and zeros??? :eek:
  6. the1


    If you study body language you'll quickly realize Big Ben told so many lies during that interview but I have to give him credit for being so candid about the state of the labor market. It's going to be a while before we see 5% unemployment again.

    Also, John Law was the last to try what Bernanke is doing now and the end result was not pretty. Is Bernanke repeating history? Let's hope not.
  7. piezoe


    I thought the Fed announced that they would use revenues from the debt obligations they hold to buy treasuries. If that's the main source of the money they are using to buy treasuries than that's not a particularly inflationary policy, and it won't expand the money supply.
  8. gucci


    This is really interesting. It just disappears and pops up again at will right? Just think up some elaborated theories about money channels and so on. This is really a shock if you think about the level of education in the US. No wonder the good old european Diploma can beat the shit out of every american PhD.
  9. "We're not printing money. The amount of currency in circulation is not changing. The money supply is not changing in any significant way."

    He is right, technically. They are not printing the physical currency, ie not widening M0 (notes and coins in circulation and in bank vaults); so he is right, since most people associate 'printing money' with the physical production of notes and coins. But that's not what money printing refers to (it is the rapid expansion of the monetary base; the Fed is selling treasuries and (formerly) bought every crap on the street).

    Most people - including journalists - don't understand what the fuck they are talking/asking about, and Ben is using that to his advantage. Anyone proficient to a minimal acceptable level in economics could have handed Bernanke his own ass on this remark as he was just weaseling his way out of the question using semantics. But don't expect that from journalists.
  10. gucci


    Now we are talking.
    #10     Dec 7, 2010