What is necessary is to prevent government from destroying
the monetary system by inflating. therefore the quantity of money
shouldn’t be manipulated by the government, according to the wishes of
those people who want to enjoy a few minutes, a few hours, a few days, or
a few weeks of good life from increased government spending, for a very
long disastrous state of affairs.
We must say that what creates the inflation is the famous “remedy”
for the government’s problems, the “remedy” which people believed was
discovered some few years ago, but which was really discovered by the
Roman emperors—deficit spending. Deficit spending made it possible
for the government to spend more money than it had and that it collected
from the people. As everybody knows, deficit spending, that is spending
more than one’s income, is very bad for the individual. The great error is
that people believe that what is bad for the individual is not necessarily
also bad for all the individuals together. This is the great mistake. And if
this mistake is not eliminated very soon, all our technological and scientific
improvements will not prevent us from a tremendous financial catastrophe
that will destroy practically all that civilization has created in the last several
hundred years. Mises
It is a Political Economy only. Technicals and fundamental plays I feel are basically finished unless you have current Senate graft buy report.
The TBTFs couldn't care less that a huge, unregulated CDS market will destabilize the economy and lead to crises in the future.
Why should they? As Nobel prize-winning economist George Akerlof predicted in 1993, the financial giants would use CDS until the system crashed,
knowing that the taxpayers would bail them out when the crash happened.
They know the same thing will happen tomorrow . . .
A bill that would require speedier disclosure of stock trades by lawmakers has languished for years on Capitol Hill, suggesting Congress has little appetite for new rules on how its members manage their money. The legislation, by Democratic Reps. Brian Baird of Washington and Louise Slaughter of New York, would prohibit lawmakers from trading in financial markets based on nonpublic information they learn on the job. It would also require them to make their financial transactions public within 90 days of a purchase or sale. Currently, those disclosures are filed once a year, and insider-trading laws generally do not apply
When the government wants to pay out more money than before, if it
wants to buy more commodities for some purpose or to raise the salaries
of government employees, no other way is open to it under normal conditions
than to collect more taxes and use this increased income to pay,
for instance, for the higher wages of its employees. The fact that people
have to pay higher taxes so that the government may pay higher wages to
its employees means that individual taxpayers are forced to restrict their
expenditures. This restriction of purchases on the part of the taxpayers
counteracts the expansion of purchases
by those receiving the money collected
by the government. Thus, this simple contraction of spending on
the part of some, the taxpayers from whom money is taken to give to others,
does not bring about a general change in prices.
"The point I am trying to make is what Mises and Rothbard warned of in context to amplification of
effect as in a waves to settlement of contracts since credit is not the issue when debt marked is the
obstacle overwelming the flow of credit to clear malinvestment which Government cannot solve given
there attributes to nuetralize effective consumer market preferences
This observance has been forwarded also as we understand in the early to mid eighty's that the Senate was reduced to
servatude by the Globalismhttp://www.americaneconomicalert.org/vi ... od_ID=1086
which the link above supplied to to actual conveyances to previous monetary policy's of trade
and lines of credit to global stabilization lost in the context of Austrians view and the Liberal Keynesians education
systems over the decades which we monitor also as Generational Dyanamic's today.
At least Hadrian had the brains to manage a Empire.
Back in forums for clarification: Interferes in actual production in a most dangerous manner since it is impossible to mark and
measure moral hazard malinvestments from a premise of credit collapse with out marked to market seeking stabilization.
Basil Moore 1983, “Unpacking the post Keynesian black box: bank lending and the money supply”,
Journal of Post Keynesian Economics 1983, Vol. 4 pp. 537-556; here Moore was quoting a Federal Reserve
economist from a 1969 conference in which the endogeneity of the money supply was being debated.
We know what will happen as it did before “Unpacking the post Keynesian black box: bank lending and the money supply”,
We know how already, and as we see the truth unfold in context of today's
so called issues we are reminded it is three steps. First it is attacked by whatever
means that system in general needs to protect its interests. Second, it is ignored
as groups linger in doubt and lasty it is acepted as truth evident to those who learn
what has been done to control at your expense. http://finance.yahoo.com/news/EU-nation ... et=&ccode=
"Van Rompuy gave no details of new sanctions because officials from the EU's 27 governments, the European Central Bank
and the European Commission are only starting work on changes to widely flouted EU budget rules.
EU leaders are due to decide on long-term reforms at an October summit." endogeneity of the money supply
There is no unpopular government in the long run as we are reminded. We are still
between step one and two since they act as they are given the bent of mind they choose.
Irony: Frustrated local and state officials were also waiting for the Army Corps of Engineers to issue permits so they can build sand berms in front of islands and wetlands to act as buffers between the advancing oil and the wetlands. I watched Black Blizzard on PBS on the struggle to survive in that region then as they do now in that current reality from practises. All politic's are local people so act as such. With those with a eye to see you can check to see what seal has been broken.