Friday, June 12, 2015

Quantitative Easing

If you think about it, Quantitative Easing is actually a negative interest rate.  How do you get interest rates below zero?  You give money away.

Our nation is heavily indebted at all levels.  Our children start adulthood heavily indebted for school, and continue the process all their lives, most of them.  Our State and local and National governments: all heavily in debt.

Short of something like my proposal, we really have no means of absorbing and recovering from a major economic shock.  The Fed can't do it.  The national government can't do it.

And in large measure, WE can't do it.  We owe too many people too much money.  It makes you clumsy, slow, unwieldy, inflexible.  When you have a large monthly nut you have to cover, then you can't invest, and you have no savings.  Most Americans have no savings.

It continues to baffle me how the criminality of our system is not the subject of widespread outrage, at least among those who, in theory, ought to be able to render intelligent opinions on the topic.  Why am I the only one (as far as I know, and of course this is a large world with many voices) proposing the obvious?

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