tag:blogger.com,1999:blog-8706418327765086990.post7948322927288896604..comments2023-10-19T06:27:43.628-04:00Comments on Investophoria - "that feeling of triumph when you tame the bear and the bull": 'Tis the Season of HopeUnknownnoreply@blogger.comBlogger13125tag:blogger.com,1999:blog-8706418327765086990.post-88795961795609796082010-01-06T09:53:06.800-05:002010-01-06T09:53:06.800-05:00Firstly, the process by which the Federal Reserve ...Firstly, the process by which the Federal Reserve can do any monetizing is slowly and getting more muddled up. Bernanke and Pals have to watch their step more and more as the possibility of being audited, and constant information requests from congress and the media are forcing them to cover their tracks.<br /><br />Secondly, government is always slow to react and late to act. Generally, Derekhttps://www.blogger.com/profile/13922443022368556258noreply@blogger.comtag:blogger.com,1999:blog-8706418327765086990.post-31239474756385936722010-01-06T09:10:56.275-05:002010-01-06T09:10:56.275-05:00Derek,
You write "..the government can only ...Derek,<br /><br />You write "..the government can only create inflation via the Federal Reserve adding to the monetary base... The catch here is that banks are not using these reserves to lend to private borrowers."<br /><br />What's to stop the government from taking extraordinary measures? What if they decided to send $10,000 a month to every person in the US, bypassing the banks?E.D.noreply@blogger.comtag:blogger.com,1999:blog-8706418327765086990.post-87268961086369254302010-01-05T12:43:17.274-05:002010-01-05T12:43:17.274-05:00E.D.
The government will always attempt to inflat...E.D.<br /><br />The government will always attempt to inflate to negate the deflationary effects on their debt obligations. <br /><br />However, attempt is the key word in that sentence - the government can only create inflation via the Federal Reserve adding to the monetary base. Under normal credit and economic conditions this would then turn into much more money via the fractional reserve Derekhttps://www.blogger.com/profile/13922443022368556258noreply@blogger.comtag:blogger.com,1999:blog-8706418327765086990.post-56914430607196347122010-01-05T10:50:18.873-05:002010-01-05T10:50:18.873-05:00Derek, I have a question on something you wrote on...Derek, I have a question on something you wrote on October 29, 2009. This is the quote: "..there will be far less US dollars the government can get (from taxes and such) to repay their bonds with.."<br /><br />This is part of your argument for deflation. I do not disagree with you, but would like to ask the obvious. Why won't the government print money to pay their bond obligations E.D.noreply@blogger.comtag:blogger.com,1999:blog-8706418327765086990.post-50565251331613160552009-12-26T19:34:00.881-05:002009-12-26T19:34:00.881-05:00Derek B is absoutely correct. I've been statin...Derek B is absoutely correct. I've been stating this since Sept 09 and wonder if Derek stole my posts......lol<br /><br />Because I had called and know in 2010 all will crash except the USD which will go to 90-95 before it falls to 41 in 2012.<br /><br />"Nothing is new under the sun. What has been will be again."<br /><br />"Jesus was a rebel" Remember this and your Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-8706418327765086990.post-83844897676133020112009-12-25T12:27:52.044-05:002009-12-25T12:27:52.044-05:00I agree David. I don't understand this guy'...I agree David. I don't understand this guy's hysterical reaction. 20% correction will put the fear of god in people.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-8706418327765086990.post-78150662816041249172009-12-24T16:00:57.830-05:002009-12-24T16:00:57.830-05:00I am a gold bull, but I don't feel the need to...I am a gold bull, but I don't feel the need to react hysterically whenever someone posits a different viewpoint. I'm grateful for it, actually.<br /><br />To that end, the Investors Intelligence survey clearly portends a substantial correction in stocks. I doubt that it will be of the magnitude of 2008, however. 20%-ish would be sufficient to put the fear of God into people.Davidhttps://www.blogger.com/profile/03084833038198767100noreply@blogger.comtag:blogger.com,1999:blog-8706418327765086990.post-26520624184483449612009-12-24T15:47:16.658-05:002009-12-24T15:47:16.658-05:00jr. M.O.T.Y. for providing (false) witness to the ...jr. M.O.T.Y. for providing (false) witness to the reality of the economics of goldAnonymousnoreply@blogger.comtag:blogger.com,1999:blog-8706418327765086990.post-23225057232645679582009-12-23T22:44:46.900-05:002009-12-23T22:44:46.900-05:00The government has 3 choices to come up with the f...The government has 3 choices to come up with the funds for the the deficit. 1.) Severely raise taxes. Political suicide.2.) Renege on the Government debt. highly unlikely 3.) Monitize the debt (print more money. Which do you think they will pick. I totally get that right now the bulk of the money being "created by the gov. is being held by the banks to shore up their balance sheets(nobody Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-8706418327765086990.post-61142869447163411772009-12-23T21:47:12.152-05:002009-12-23T21:47:12.152-05:00Dude, you are dangerous. Because you think you'...Dude, you are dangerous. Because you think you're so right.<br /><br />Look, we can have a debt collapse(deflation)and still have assets like gold rise(inflation).<br /><br />One flation is not going to cover the gamut of ALL asset classes.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-8706418327765086990.post-45483934119063294802009-12-23T21:09:26.087-05:002009-12-23T21:09:26.087-05:00Let me get this straight. We have tens of trillion...Let me get this straight. We have tens of trillions of unfunded liabilities, plus a deficit that we can't service but all this adds up to "there is such a huge demand for dollars that Gold will decrease in value. The fact that China has announced that it will be increasing its Gold reserves tenfold in the next decade will have no effect. What school of economics did you attend. Get your Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-8706418327765086990.post-47483732050844975732009-12-23T15:45:42.847-05:002009-12-23T15:45:42.847-05:00Please refer to my post to correct the highly comm...Please refer to my post to correct the highly common misconception in the inflationist' belief that the government is "printing money".<br /><br />What in fact they are doing is increasing cash reserves, and thus only increasing existing dollars in credit form were lenders willing to lend and borrowers willing to borrow.<br /><br />If you look at the majority of lending activity Derek Blainhttp://www.investophoria.comnoreply@blogger.comtag:blogger.com,1999:blog-8706418327765086990.post-64155984800693046842009-12-23T12:56:18.012-05:002009-12-23T12:56:18.012-05:00Oops. Sorry I screwed-up when writing this nonsens...Oops. Sorry I screwed-up when writing this nonsensical blog. I just found out that unlimited printing of fiat dollars is actually INFLATIONARY and we are going to experience a HYPERINFLATIONARY DEPRESSION. My Bad! Let me apologize for being so stupid. What I meant to say is CASH is TRASH and anyone holding ALL CASH is an idiot. My friend Warren Buffet bought a railroad so he didn't have to Derek Boobyheadhttp://www.investophoria.comnoreply@blogger.com