What to do about QE2? Buy food, water, and ammunition. You don’t believe me? Here is the Wikipedia definition:
The term quantitative easing (QE) describes a monetary policy used by central banks to increase the supply of money by increasing the excess reserves of the banking system. This policy is usually invoked when the normal methods to control the money supply have failed, i.e the bank interest rate, discount rate and/or interbank interest rate are either at, or close to, zero.
Please read that again and ponder it. Quantitative Easing is a measure that is used when just about all else has failed. The tools that the government has, or thinks it has at it’s disposal have failed.
OK so now we know when it is implemented but what the heck is this contraption? What is this last ditch effort that is supposed to catapult us from the depths of the Obama recession and right smack into prosperity. Well it gets worse, here again is Wikipidia ( I am quoting them so that libs cannot accuse me cherry picking quotes)
A central bank implements QE by first crediting its own account with money it creates ex nihilo (“out of nothing”).[1] It then purchases financial assets, including government bonds, agency debt, mortgage-backed securities and corporate bonds, from banks and other financial institutions in a process referred to as open market operations.
The government prints money and uses it to buy assets. Now lets think about this, the government uses paper that is worth little or nothing to buy “assets.” Would you sell your “assets” for that paper? Of course not, not if you can help it anyway. Sure you might sell weather you may have that you deem worthless and yes that is exactly what the banks will sell, their worthless assets in this case the banks are selling back to the Des- you and me- the worthless paper we sold them not long ago.
In reality, the paper is not worth quite nothing, it has some worth. That worth is your work. The money they print is backed by the ability of the government to tax your work. So let’s cut out the middle man here and call it what it is. You are about to be forced to buy worthless assets from the banks because Obama and Geithner say so.
Ask yourself a question, why in God’s name will this outcome possibly be good? If you can’t come up with an answer don’t worry you are correct.
efers You see this round of “Quantitative Easing ” is not the first round perpetrated by Obama and Geithner. The world refers to this as QE2 because this is the second such measure undertaken in as many years by the Obamunists. $600 Billion dollars they will print and spend. $600 billion dollars of your own money they will give to the banks – not just the US banks -though that’s would be bad enough – but banks worldwide and yes China in particular.
So if you couldn’t come up with a good answer as to why this would possibly work here is the follow up question: If this didn’t work the first time why the hell will it work now?
Obama tells us that the government cannot afford to cut our taxes – let us keep our own damn money- and how can we? Not when we piss away another $600 billion dollars. Who will benefit from this? Are you leveraged up to your eyeballs loaded up with stocks so that you can benefit from the market moving up in anticipation of this? Of course not, but the banks and bankers shure are. They are making a killing and will continue to do so while you and I go deep into debt…Good deal right!
The banks win, they will again pour millions into Obama’s coffers and get him reelected , and you…Well, you get to pay for it all and if you die before you can pay don’t worry this debt is fully transferable to your children – yes it is serfdom and you and I and our children are as of now serfs to the socialist Obama government and bankers. .