This has been facilitated by the reaction to the previous Financial Crisis which was fostered by the housing BUBBLE and watched ever carefully by the FED and every govt org that could have intervened.....was it just GREED that kept them from stopping the madness before it went too far? Was it ignorance?
Bernanke is no dummy, he is a scholar, especially of the Great depression.
"Federal Reserve chairman Ben Bernanke, an expert on the Great Depression, made several observations in a 2004 speech at Washington & Lee University in Lexington, Va., in explaining the catastrophic event:
“Rather than being the cause of the Depression, as popular legend has it…the stock market crash [of 1929] only worsened the economic situation, hurting consumer and business confidence and contributing to a still deeper downturn in 1930,” he said. As people hoarded their cash, “about half of U.S. banks either closed or merged with other banks.” And importantly, “the Great Depression was a worldwide phenomenon, not confined to the United States.”
**(may I add please that the greatest stock market RALLY in history has not even brought some measures of COnsumer COnfidence back to the WORST LEVELS after 911 !!) (NOT ONE SINGLE PERSON HAS BEEN PROSECUTED FOR ANY CRIME COMMITTED DURING THE WORST FINANCIAL CRISIS SINCE GREAT DEPRESSION.>>As MANY KNOWINGLY SOLD FAULTY MORTGAGES AS GOOD SOUND INVESTMENTS AND PROFITTED, THEN HAD TO GET BAILED OUT>>>>)
But the takeaway lesson from the crisis, he said, was that “In the end, Fed officials decided not to intervene in the banking crisis.”
Current FED policy is directed to get you to do exactly the opposite, turning your cash and savings into KRAP andFORCING you out of the SAFE rabbit hole, and into RISK ASSETS.
Any comments on how they want "strong US currency" is rediculous as our $ falls to the lowest levels in its history!
Higher gas prices have gotten only ONE response fromour elected LEADER...."F!!! those oil companies, Im going after their tax breaks......" DEAR SIR: I would like to bring to your attention the FACTthat our toilet paper fiat near worthless currency is being debased and pissed on by FED policy and unending govt deficits. Please stop LYING to the people, for the people, by the people who you are in charge of and are helping to screw....BECAUSE of the GRAND EXPERIMENT of inflation and US $ debasement, we are not seeing the fruits of our labors we are seeing the stains in our looms...and the American people are tired of grabbing our ankles.
We are not as stupid as we used to be...we did enough looking around at each other to know something if off key, and we want to know why we aren't feeling the love like it is advertised we are?
WHY is the 4 week average of unemployment claims at 409,000 this far into recovery while it is being reported that COMPANY PROFITS are soaring? WHY did over ONE MILLION unemployed people rush to fill only 60,000 jobs at McDOnalds? IS working at MCD's the anerican dream?
The sun is out but the skies are still gray.
"This is not going to be a V-shaped recovery but a more gradual improvement," says Penrod. "Slow growth is better for stability. We need a slow burn to maintain movement rather than a quick flash in the pan that isn't sustainable." Well we don't havce V-shaped recovery but do in stocks and GOLD and OIL....is what is going on today "sustainable" and why does FED keep saying the inflation is "TRANSITORY"....a big word they think we won't look it up?
Home /Business
By Jeannine Aversa
AP Economics Writer / April 29, 2011
WASHINGTON—Federal Reserve Chairman Ben Bernanke on Friday called for more lending to people and small businesses in lower-income neighborhoods, saying they've been disproportionately hurt by the recession.
Many of the nation's poorest communities were struggling before the downturn, Bernanke said at Fed conference on community development in Arlington, Va.
The recession officially ended two years ago. Bernanke said the national economy is growing at a moderate pace and that job creation is gradually improving, repeating comments he made earlier this week at a news conference after the Fed's policy meeting.
But the unemployment rate remains high. For many poor and working-class Americans, it doesn't feel like a recovery.
"Our economy is far from where we would like it to be, and many people and neighborhoods are in danger of being left behind," Bernanke said.
Indeed, housing is the place most Americans wealth resides, and it has not improved, only 54% of Americans own any stocks, but that is where the FLOW has gone and has done the most "good".
The MORE money diverted to speculation, the LESS is available to lend to worthy businesses and used for investment in job creating endevours.
THEY got a plan, it just doesn't include anything good for you and me...the avg people. FUNNY how this greatest ever stock rally, highest prices for things ever....this TRANSITORY INFLATION......is making the majority angry and feel desperate while the few think its the greatest thing since sliced bread....."don't fight the FED"....because you can't.
http://www.crunchgear.com/wp-content/uploads/2009/05/alice-in-front-of-rabbit-hole9.jpg
Duratek
No comments:
Post a Comment