The other day, in my post “The Lull Before the Storm”, I mentioned that for fiscal year 2011, the Federal Reserve would be purchasing over 60% of the Federal government deficit.
To begin—
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| Literally. |
In other words, the Fed would be dancing the Monetization Waltz, just like Latin American countries used to back in the 1970’s: Proof positive that America is indeed a banana republic—only with nukes.
A lot of people didn’t believe me—or wanted me to check my figures. Or wanted to know if I was having an acid flashback from those aformentioned 1970’s. A lot of people couldn’t believe it.
Mark Twain said it best: There are lies, damned lies, and statistics. If you want to deceive your audience, you source your numbers from some shifty salesman with an ideological ax to grind, gussy it up with percentage signs and charts and graphs, and thereby “prove” any damned foolishness you like.
But deceit in this context serves no purpose: It’s in all of our best interests to know exactly what is going on, in fiscal year 2011.
Mark Twain said it best: There are lies, damned lies, and statistics. If you want to deceive your audience, you source your numbers from some shifty salesman with an ideological ax to grind, gussy it up with percentage signs and charts and graphs, and thereby “prove” any damned foolishness you like.
But deceit in this context serves no purpose: It’s in all of our best interests to know exactly what is going on, in fiscal year 2011.
So in this brief post (yes I know—shocker), I’m gonna check the figures for my observation—but I’m gonna get ‘em right from the horse’s mouth: From the White House, and from the Federal Reserve.
To begin—
don't banana republics also have often repressive regimes..
ReplyDeletewe have passed china as the biggest holder of US debt so..
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ReplyDeleteNo WE haven't, a private bank who also happens to be temporarily allowed to print their own currency via an agreement with congress has. That private bank is the worlds largest holder of US debt.
ReplyDeleteLegal tender laws force us to settle debts in this privately controlled currency. Laws can be repealed, which would then bring us back into line with what the constitution says...
ReplyDelete