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nice cherry picking I could post videos of peter schiff and other austrian's guaranteeing hyperinflation and treasuries to sky rocket or the ultimate stupidity, that a country that has a country non convertible floating currency operationally ( not politically) go bankrupt. but I'm sure you...

The Austrian school is the attempt by oligarchs to re-establish feudalism. smashing the nation state leaving the next higher power faction (them) to determine society. Power is going to manifest itself in one form or another be it government, robber barons, finance capital. Their will always...

Japan has the same and is not a reserves currency. The reason "all the bonds are bought " is because the FED, the Treasury and primary dealers coordinate auctions so they don't fail. Making sure their are enough reserves in the banking system. Also with a non convertible floating currency...

treasury bonds get paid off by the fed debiting and crediting accounts at the fed. It is not taken from anywhere According to conventional wisdom, the Federal government spends taxpayers' money. In reality it creates all the money it spends, and recaptures it with taxes and the sale of...

nobody, In fact it will decrease private savings Government Deficits adds to net private savings Government surpluses decreases net private savings http://articles.businessinsider.com/2011-02-03/markets/29993505_1_sector-budget-surplus-budget-deficit

very good except i would say during war time, prices rise because of scarcity of resources as the war effort sucks it all up. Of course war now days are low resource events, unmanned drones which rarely need replacing. but ya if you want a high standard of living you need production...

the components of m3 are still available all it takes is that simple math you know how to do. correction: it does appear that m3 has turned up, but not anywhere near previous levels. I'm curious were you ranting about fiat money when the banks were expanding the money supply around %15 per year?

give a shit about what. economic activity is buying and selling without it there is no economy to "health"

correct, deficit spending does the same. Although I'm partial to deficit spending on capital goods. Building infrastructure and other capital is far better than spending on ipads and nintindos. Don't me me wrong the Infrastructure money ultimately ends up there anyway, but at least we have new...

yet m3 is still contracting. Inflation isn't as high as the peek of the housing boom , the money supply isn't either. Banks create the bulk of what your definition of money is , yet you blame the government. Contracting the money supply even further would mean less economic activity (spending)...

Well the treasury has redeemed 41 trillion this year alone. 350 trillion since 2001. The NY Fed describes the way in which their operations are intricately intertwined with the US Treasury: “Staff on the Desk start each workday by gathering information about the market’s activities...

So private captal needs the governemnt to hold their hand and signal how bad the economy is, then they all act in unison. I didn't know they were so incompatent. The numbers are not a secret. It's hard to believe that markets act on the feds perception of the economy rather that economic...

Also why doesn't Canada suffer from this. Under the above premise a country without reserve requirements should have a comparatively worse loss of foreign investment when it announced it no long had reserve requirements.

well, now I'm confused. Now you say that the market (supposedly well informed and efficient) will grossly mistaken adding reserves to banks as "money printing" and abandon the currency. Hasn't happened the first two rounds. Dollar is higher after QEs and twisting. But this is not what your...

banks don't spend reserves into the economy. Reserves stay at the fed in the reserve accounts of banks. Banks need reserves to meet requirements, but as noted earlier the FED will provide reserves on demand to set the rate "Based on how monetary policy has been conducted for several...

the only thing it does , is take away an interest bearing asset and replace it with a non interest bearing asset. If anything it is deflationary since it takes away interest payments.

QE will not do anything as usual. It's not how the mechanics of banking works. Banks don't lend reserves, in fact reserves don't leave the fed. when a bank loans money it creates a claim on reserves or promises to pay reserves on demand. Reserves are created in response to banks increasing loan...

one person's spending is someone else's income ( and savings). It's hard to fathom how decreasing income will help. Europe is finding this out the hard way. %40 of Germany's Euro surplus is a direct result of the pigs running a deficit. Only an increase in aggregate demand will turn the...

yes, As the issuer of currency the debt is never a problem as long as the debt is in the issuer's own currency. Inflation is a potential problem, but I don't see how turning 1 dollar worth of treasures into 1 dollar (or any amount) is inflationary, as treasury holders can do this anytime and...

i meant to post this Also remember that Government financial liabilities are private sector's financial assets. To reduce Government financial liabilities is to reduce private sector financial assets. Domestic Private Balance + Domestic Government Balance + Foreign Balance = 0...