Comments on: Obama and Bernanke Monetize the Debt

By: Monetized debt | Framers

Monetized debt | Framers — Wed, 04 Apr 2012 07:03:17 +0000

[...] Obama and Bernanke Monetize the Debt « Doctor Bulldog & RoninAug 11, 2010 … Might I point out that just six months ago, Bernanke flat out-and-out lied to Congress when he said, “We’re not going to monetize the debt.” … [...]

By: irene

irene — Sat, 23 Jul 2011 23:28:48 +0000

I stand corrected. While we still must do our part to prepare and protect, a few months ago I also could see the economic collapse coming. Thank God we have God.
Familiar with the Tytler Cycle? We’re somewhere between dependency and bondage, I think. God help us all and I know His is.
Blessings
Irene

By: Jan Czekajewski

Jan Czekajewski — Wed, 15 Sep 2010 04:33:48 +0000

Very Good!
I can not find any else to ad.
We need bright honest people in the Goverment to help, but they are in short supply. Yes we have NOMECLATURA (mediocre elite) but they do not fully understand what they did and therefore can not help. They will be washed out with many of us in the next financial ( or WW3) Armageddon

By: raweurope

raweurope — Mon, 13 Sep 2010 12:37:12 +0000

Can there be any doubt that this modern-day fractional reserves banking system (debt = money supply)with its self-created casino-style leveraging games, AKA the derivatives market (where the physical casino is the NYSE), is going to collapse. Just the sheer numbers involved (at first it was multi-billion dollar bailouts and deficits, now we hear about multi-trillion dollar evaporation of wealth – all virtual currency, mind you, none of it real) go to show that the situation is out of control! If this is a game of poker and world citizens are sitting at the table with financial institutions, multinational corporations and other cartels, we the people need to go “all in”, call these suckers and make them show us their bluff. But we’re always folding before we can get a look (too big to fail) and each time we get screwed!
If tomorrow everybody knew the truth about our banking system, the Federal Reserve and the fiat currency (US dollar, essentially monopoly money) backed up by absolutely nothing at all but people’s belief in this game – a con game in very fact! Wake up people! There is no real economy anymore. There is no real money or real investment worthy of that name, not when money can be printed out of thin air or, as is done nowadays simply keyed into a an account (more ecologically-friendly don;t you think?), and presto, the debt and deficit shortcomings are gone. Wow, just like that.
Well, no not really because we as Americans may believe in this little game but the Chinese and Japanese and Europeans are not amused by it and are not going to be conned by it much longer. Of course, when the US currency collapses many other of the world’s currencies will follow in a domino effect, simply because everyone is invested in the dollar and that it has been THE worldwide reserve currency for over a half-century. So, as the world’s first superpower goes, so goes the world. Moral of the story: don’t give up your virginity (sovereign currency) so easily when you haven’t vetted your new bedmate to see if they have VD (toxic debt) or not. The only nations that will come out of the upcoming financial doomsday – and it’s not a question of if anymore, but when – will be the poorest ones because they have nothing to lose that they haven’t already lost.

By: Nexus

Nexus — Sun, 12 Sep 2010 23:29:27 +0000

The US is going to collapse like other empires across history – the historical parallels with the decline of Habsburg Spain, the British Empire, Roman empire, etc, are illustrative.

Debt may not currently be a direct threat but it is surely a major indicator of a profound malaise. The patient is too far gone and fundamental crisis will emerge.

A slow motion collapse in the dollar is inevitable as there is a profound weakness, there are also moves to establish alternatives (alternate currency, trading directly without using the dollar etc) and countries like China and Japan are now selling dollar holdings but are careful not to precipitate a panic as they switch sales of their products from the US to newly emerging and their own internal markets – this will take time.

However, an unmanaged dollar collapse perhaps precipitated by an explicit Monetization strategy could create global economic dislocation as investors are inclined to turn to other safe havens such as gold, other currencies or other commodities. Demand for US Treasuries will then plummet which will then drive up interest rates. Import prices into the US will rise causing inflation and contribute to pressure to further increase interest rates.

U.S. exports will be cheaper but US manufacturing is probably too weakened to respond and is now non-existent across many sectors – electrical goods, retail products, apparel, vehicle manufacture, etc.

The impact of inflation and raised interest rates will further depress any opportunities to export and unemployment will deepen and the US will be in a profound depression.

By: adam

adam — Mon, 16 Aug 2010 10:29:40 +0000

The govt. is betting on the fact that they can monetize the debt, because the USD is the world’s currency and every major country has bought our debt. One estimate I’ve seen is that there is about 200 trillion USD worth of debt and monetary instruments held by the US and foreign nations. If the dollar collapses it will take down a lot of currencies with it.

By: Irene

Irene — Thu, 12 Aug 2010 03:28:29 +0000

@John,
Hi.
We are not too far gone. The grassroots won in CO yesterday. We are growing and getting stronger. We had more new people show up at our 912 meeting tonight. Do not give up. That solves nothing. Get involved, educated, and then educate others. That’s how we won and that’s how we’ll win in November. Nothing is won if you give up.
Prepare, yes! Absolutely!
And work for the best.
Blessings
Irene

By: John Sobieski

John Sobieski — Thu, 12 Aug 2010 01:21:41 +0000

You can almost smell it in the air – an imminent economic collaps, more govt intervention – just more deferment of reality. You can’t stop it – that ugly day – from happening. We are too far gone. Rough time ahead. Fasten your seatbelts.

By: senor doeboy

senor doeboy — Wed, 11 Aug 2010 20:50:41 +0000

Grain, heritage seeds and bullets are the only things of worth in the end economic enviroment of this type. You think your gold is worth something? Try eating it while you’re starving. I hope you were smart and started hording when King George Bush II came into power and the Demonrats took control of congress. Welcome to the dark ages, brought to you by the Power Elite that have dreamed of their “Golden Age”, the age of serfdom and fiefdoms. Don’t worry the Minions of Muhammedan will also make sure that the second dark age won’t be so dark. Look for the wonderfully bright nuclear glow over a couple of U.S. cities as they reassert the war they started in 600 A.D.

By: doctorbulldog

doctorbulldog — Wed, 11 Aug 2010 20:45:51 +0000

Thank you for your kind comments.

You might also be interested in checking out what happened to the Weimar Republic when they started printing money to pay for their monetized debt. Here’s a quick graph:

http://upload.wikimedia.org/wikipedia/en/8/8f/GermanyHyperChart.jpg

Cheers

P.S. – Glad to hear that the grassroots won at your primary. Keep up the good work!