Volcker:Bernanke is a fool, condemned to repeat history

[zdreg]

Quote from m22au:

how about this alternative Fed proposal:

Doing nothing.

exactly. give the body a chance to recover naturally and do not overdose the body with medicine which covers the symptoms but does not cure the underlying causes. a cliche perhaps but one which is true and should be followed.

 

[dtan1e]

can't see how what the fed is doing now is any different to what previous fed does in creating bubbles and if according to history wouldn't this just create another crash?

 

[Larson]

Quote from intradaybill:

Psychosis does not help. Volcker raising rates for a long time caused the crash.

http://www.newdeal20.org/2010/04/21/the-unlearned-lesson-of-the-1987-crash-10017/

They then blamed some computer programs like now they are blaming HFT.

Now, if you have somethign to say either be nice or you insults will be properly answered. Psychosis does not help.

Rudeness begats rudeness. Telling people to shut up gets you the response you deserved. Now, who is Henry Liu and why should I take his word on whether rates at that time caused the crash? Sounds to me as if someone is trying to re-write history. Why don't you you educate yourself on the exact causes before spouting error.

 

[zdreg]

Quote from dtan1e:

can't see how what the fed is doing now is any different to what previous fed does in creating bubbles and if according to history wouldn't this just create another crash?

of course. bubble followed by bust. but bernanke will be gone and obama and the democrats will be in control in 2012. this scenario use to happen in south america all the time. the dumb populace use to fall for it all the time.
we will see if americans are different. the germans and chinese certainly are. enjoy the party but leave before there is a stampede to the exit.

 

[dtan1e]

Quote from zdreg:

of course. bubble followed by bust. but bernanke will be gone and obama and the democrats will be in control in 2012. this scenario use to happen in south america all the time. the dumb populace use to fall for it all the time.
we will see if americans are different. the germans and chinese certainly are.

ah, i see what u saying ben is just trying to save his own ass, could be

 

[Scataphagos]

Milton Friedman was right when he suggested that the Fed should be abolished. In its place, a computer which increases the money supply at about the same rate as the population growth. Then, "let capitalism be capitalism".

 

[olias]

Quote from m22au:

how about this alternative Fed proposal:

Doing nothing.

Perhaps. But the argument is that the county was on/ is still on the precipice of Great Depression 2. Whether or not that can be averted, who knows? But who's going to be the one to say 'well, let's do nothing and let it sort itself out'. You realize that Bernanke spent quite some time studying the Great Depression, right?

QE sucks, but in my estimation it is a necessary evil. Certainly better than doing nothing

 

[zdreg]

Quote from Scataphagos:

Milton Friedman was right when he suggested that the Fed should be abolished. In its place, a computer which increases the money supply at about the same rate as the population growth. Then, "let capitalism be capitalism".

of course friedman was right. but neither the republicans or democrats are interested in capitalism or the best interests of the country. they are interested in obtaining power, wealth and influence with the least amount of work.

 

[MKTrader]

Quote from intradaybill:

Psychosis does not help. Volcker raising rates for a long time caused the crash.

http://www.newdeal20.org/2010/04/21/the-unlearned-lesson-of-the-1987-crash-10017/

They then blamed some computer programs like now they are blaming HFT.

Now, if you have somethign to say either be nice or you insults will be properly answered. Psychosis does not help.

How many times have you told other posters "Psychosis does not help"? You really have issues, projection being among them.

 

[Kassz007]

I really don't understand why traders are complaining about bubbles and subsequent crashes. They are excellent money making opportunities.

As well, I really don't understand the argument that we get rid of the Fed, and all of a sudden there are no more bubbles and no more crashes. Do you really believe that if the market is left alone that the economy just ploughs ahead unabated?