Record Amount of Money being Printed: What's the End Game here??

[nikcers]

https://twitter.com/USAB4L/status/1268998248347373579

The value of dollars also functionally increases when there is a larger variety of stuff you can buy with them even if the quantity of dollars is artificially increased. Its not designed to be a storage of value it just functionally is the most preferred method. These large corporations that have stopped taking cash are effectively trying to devalue the currency in order to destroy the country from within.

 

[r3volution 3.0]

The end game is hyperinflation, but the next game is stagflation; that's the one to be focused on at the moment.

And it's likely to go on for longer than many of us might think.

To wit:

American fiat retains its value because it represents liberty.

That sounds like a joke, but it's true to an extent. The US can get away with much more reckless behavior than most because the US is still a relatively attractive location for investing. As spending and regulation get worse, the political system becomes less stable, growth slows, and real rates drop further, that's going to change, but it's not going to happen overnight (I think and hope).

 

[Created4]

The end game is hyperinflation, but the next game is stagflation; that's the one to be focused on at the moment.

And it's likely to go on for longer than many of us might think.

Another text book answer. And while I don't disagree, I think there's a greater goal here for the end game.

 

[Krugminator2]

This is exactly what I thought should have been done and the Fed/I look like geniuses right now. It was 1929 and the Fed went right to Milton Friedman playbook and went big to stop a deflationary death spiral. I won't take a victory lap and rub the noses in the Schiffites, who gleefully wanted the Fed to let the world end, on this because I don't think things are out of the woods and there will be a lot of bankruptcies to come but have to say, this might be the greatest monetary policy response by government ever. Still just cautiously optimistic but here are some more optimistic takes from people who were right about everything after 2008:


https://www.themoneyillusion.com/happy-days-are-here-again-never-underestimate-the-stock-market/

The entire recession lasted for two months. And no, the recovery was not entirely due to the end of lockdowns, as the data was mostly collected in the second week of May, when many big states were still closed down. (We’ll know more when we get the state-by-state data. It’s gradually getting safer out there, and businesses are finding creative ways to shield customers from the virus.

PPS. This also removes the last shred of doubt as to whether the slow recovery from 2008-09 was caused by tight money or real factors. It was tight money. Case closed.

The shortest recession ever – unemployment will be below 6% in November https://marketmonetarist.com/2020/0...ver-unemployment-will-be-below-6-in-november/

However, I am now for the first time in more than a decade beginning to think that the risk is that the Fed could err on the upside in terms of overshooting its inflation target....

In fact I have over the past week (on Twitter) been arguing that we might even get a rate hike before the end of the year (yes, this year…) from the Federal Reserve.

The paradox of all of this is the Fed did such a good job that they might actually have to raise rates which would be bad for the stock market.

 

[Krugminator2]

Does anyone have a clue as to what the end game is here? Because this sure as hell is something planned with a goal in mind. We have never seen anything like this.

Have you ever considered the possibility that maybe Powell is doing a great job and the end game is just an economy back into expansion and Ron Paul doesn't understand monetary policy at all. You would think that possibility would at least cross your mind after how ridiculously wrong he was after 2008.

This wisdom from St. Milton should be rubbed in the noses of Austrians like rubbing a dogs nose in pee whenever you have a deflationary crisis.

The answer is straightforward: The Bank of Japan can buy government bonds on the open market, paying for them with either currency or deposits at the Bank of Japan, what economists call high-powered money. Most of the proceeds will end up in commercial banks, adding to their reserves and enabling them to expand their liabilities by loans and open market purchases. But whether they do so or not, the money supply will increase.


There is no limit to the extent to which the Bank of Japan can increase the money supply if it wishes to do so. Higher monetary growth will have the same effect as always. After a year or so, the economy will expand more rapidly; output will grow, and after another delay, inflation will increase moderately. A return to the conditions of the late 1980s would rejuvenate Japan and help shore up the rest of Asia.

https://www.hoover.org/research/reviving-japan

 

[Warrior_of_Freedom]

Gold has just as much value as anything else that humans value. Humans could just say I don't value gold anymore and then all the sudden all you have are pretty rocks that no one else wants.

Well if you don't want it, I'll take it

 

[nikcers]

Well if you don't want it, I'll take it

They are always after my lucky charms.

 

[Created4]

Have you ever considered the possibility that maybe Powell is doing a great job and the end game is just an economy back into expansion and Ron Paul doesn't understand monetary policy at all.

No, I have never considered that at all. Take a look at the graphic up above in the OP again.

This is uncharted territory. Nobody has ever seen anything like this before, and people who keep throwing stones at those they don't agree with don't really have a clue, in my opinion.

If you don't like the teachings of Ron Paul, what are you doing in his forums??

 

[r3volution 3.0]

maybe Powell is doing a great job and the end game is just an economy back into expansion

The Fed Funds Rate peaked at about 9.8% in 1989, 6.5% in 2000, 5.25% in 2007, and 2.4% in 2019.

In each of the last three cycles, GDP growth rates declined, from about 4% to 3% to 2.5%.

The number of zombie firms as a share of the total has increased about 6x over this period.

Any thoughts on where these trends are leading?

No icebergs ahead?

This is exactly what I thought should have been done and the Fed/I look like geniuses right now. It was 1929 and the Fed went right to Milton Friedman playbook and went big to stop a deflationary death spiral.

Printing money and buying things causes the prices of those things to rise?

You don't say...

The "Schiffites" never said that the Fed couldn't or wouldn't do what they did.

We said they shouldn't, for reasons to become increasingly apparent (see above).

 

[jon4liberty]

Well we haven't had the Peter Schiff hyper inflation yet. They shut down our economy to stop money velocity to allow them to print. Prices haven't reflected yet because the economy is fully opened.

It's almost like the plan is to wipe off debt by blaming foreign countries who have leached off us. The debt disappears. The FED was also distributing US dollars to other central banks.

Meanwhile fed is suppressing the gold prices. What happens when the spot price and the real market place aren't aligned? What happens when people demand delivery of the GLD? Maybe a plan is in the works to break the comex?

 

[Created4]

Well we haven't had the Peter Schiff hyper inflation yet. They shut down our economy to stop money velocity to allow them to print. Prices haven't reflected yet because the economy is fully opened.

It's almost like the plan is to wipe off debt by blaming foreign countries who have leached off us. The debt disappears. The FED was also distributing US dollars to other central banks.

Meanwhile fed is suppressing the gold prices. What happens when the spot price and the real market place aren't aligned? What happens when people demand delivery of the GLD? Maybe a plan is in the works to break the comex?

Interesting observations. If the US defaults on their debt to China, what motivation does China have to keep playing along with this foolishness and decide they are just going to take over the world economy and cripple the U.S.? Maybe bring down our grid, or the Internet, in a new Cyber war? Congress is already looking at ways to stop more imports from China, especially pharmaceutical products. He who controls the drugs controls the world....

 

[jon4liberty]

The supply chains are all messed up and China is relying on imports that won't be making it there.

Meanwhile China reneging on the deal. Trump walks away from deal and then has all the leverage. Corporations are finding other countries in Asia or even north america.

Pharma is being highlighted and now shifting to Israel. Trump is making the people aware of the threat of vaccines with the help of RFK jr.

He who controls the money supply controls the world...

 

[nikcers]

The supply chains are all messed up and China is relying on imports that won't be making it there.

Meanwhile China reneging on the deal. Trump walks away from deal and then has all the leverage. Corporations are finding other countries in Asia or even north america.

Pharma is being highlighted and now shifting to Israel. Trump is making the people aware of the threat of vaccines with the help of RFK jr.

He who controls the money supply controls the world...

Money goes where it's welcome.

 

[jon4liberty]

So foreign dollars will stay abroad and not back to the US

 

[nikcers]

So foreign dollars will stay abroad and not back to the US

People who bet against America will not have a good time.

 

[Created4]

Trump is making the people aware of the threat of vaccines with the help of RFK jr..

Where are you seeing that?? He is out there promoting the covid vaccine, and giving Big Pharma a blank check to make it....

 

[Created4]

And we are at Endgame, as the thread title stated. This currency system has reached the end of its cycle. Hence why we now have the Davos Group making statements like "Now is the time for a 'Great Reset'".

I think you nailed it Damian. Check out Spiro Skouras' latest video where he elaborates on this:



But the "currency reset" includes switching over to digital currency and eliminating cash, redistribution of wealth, and reducing the size of the world's population to combat "global warming" and usher in the New World Order.

 

[Created4]

From the World Economic Forum video:

"We need a different world economic model. And by that I don't mean capitalism versus communism. What I am talking about is a shift in the system. Along the lines of the two big changes that happened in the 20th century. Keynesian was a much greater focus on health and education, and the role of government working with business.

And then the reaction against that in late century to neo-liberalism, where the focus was free markets, freedom of the individual and getting governments out of the way.

We need a shift to a new system that will allow us to meet the basic needs of every human on the planet within the planetary means. That means the world is fairer and that will be focused as its key goal, not on growth per se, but on maximizing human well being.

And history tells us that a value shift is triggered by creation of a new story about how we want to live."

There it is. Just as I have been saying the New World Order is no longer a secret. It has been published.

 

[CCTelander]

Where are you seeing that?? He is out there promoting the covid vaccine, and giving Big Pharma a blank check to make it....

I know, right?

Where do these people get this crap?

"They have to take the shot." -Donald Trump referring to those resisting the mandatory measles vaccination in NY last year.

 

[nikcers]

That's what the Marxists want you to do. Getting rid of capitalism because socialism made resources scarce for some people isnt going to make socialism work. American capitalism has distributed more resources and created the greatest standards of living. In a capitalist society the consumer is king. More socialism means more inequalities and the state is king.