Trumpdogan complains about Fed rate hike.

[Rod1]

Never said that and you keep moving the goalposts. You have backtracked or conceded obvious points thus far... and yet you continue. You are an odd man.

Not really my point was.

Right, we should go back to use cacao beans and tea bricks as currency

You never answered that question.

What replaces the US dollar?

STOP!

Spin it to the moon, but:

Every dollar printed goes on our books as one dollar of debt!

Im not the one spinning crap.

You are trying to imply that the Fed created debt when its not, the US government created debt, the Fed buys debt with "credit" and then issues legal tenders .

The Fed can only "create" money by monetizing the debt, that doesnt increases the debt of the US government by itself, it merely increases the money supply which is an entirely different thing.

 

[abiG]

What replaces the US dollar?

It is not a fucking US dollar! That is the problem. It is debt!

You meant to say (if you had the IQ to be able to differentiate) federal reserve note. And your answer was in your idiotic question.

 

[JohnnySagebrush]

STOP!

Spin it to the moon, but:

Every dollar printed goes on our books as one dollar of debt!

Huh?
The Fed doesn’t print money, nor do they spend it. Flesh this out a bit.

 

[abiG]

Huh?
The Fed doesn’t print money, nor do they spend it. Flesh this out a bit.

The fed has an outright, open, known, accepted monopoly on our cash and credit.

Our schools suck sooooooooo bad.

 

[Rod1]

It is not a fucking US dollar! That is the problem. It is debt!

You meant to say (if you had the IQ to be able to differentiate) federal reserve note. And your answer was in your idiotic question.

It is debt created by the US government not the Fed, you would realize his if you werent a dishonest piece of shit.

No, the answer isnt in my question you doofus.

 

[abiG]

It is debt created by the US government not the Fed, you would realize his if you werent a dishonest piece of shit.

No, the answer isnt in my question you doofus.

Sorry for coming off so harsh, but I have been clear and you have missed or conceded several key points and continue to obfuscate the real issue here.

I let most idiocy here just roll along, but this one issue is THE ISSUE.

You don't get it and that's fine.

Please read our entire exchange before responding.

 

[JohnnySagebrush]

The fed has an outright, open, known, accepted monopoly on our cash and credit.

Our schools suck sooooooooo bad.

How do they have a monopoly on cash, when Congress sets both budget and tax rates and regulations?

 

[abiG]

How do they have a monopoly on cash, when Congress sets both budget and tax rates and regulations?

How do they have a monopoly on cash, when Congress sets both budget and tax rates and regulations?

Because what happens when we ‘need’ money?

They fire up the presses and print it. But, as we have seen, they are not even printing money; they are printing debt.

And who pulls that magic interest rate out of their ass? Yup.

Conflating what congress does here is irrelevant in real world terms and let's not forget article one of our Constitution.

 

[Rod1]

Sorry for coming off so harsh, but I have been clear and you have missed or conceded several key points and continue to obfuscate the real issue here.

I let most idiocy here just roll along, but this one issue is THE ISSUE.

You don't get it and that's fine.

Please read our entire exchange before responding.

Sorry for escalating but there is a half-truth in what you say

The Federal Reserve note is indeed backed up by debt, you are correct in this. The Fed only holds around 2.8 trillions of the federal government $21 trillion debt.

Even if you were correct and the Fed "created debt" it would only account to a small fraction of the US total debt.

 

[Rod1]

Because what happens when we ‘need’ money?

They fire up the presses and print it. But, as we have seen, they are not even printing money; they are printing debt.

If by "we" you mean the US government, then no, its not what happens.

What happens is that the US government auctions US Treasury bonds then said bonds are bought off in an open market whose proceedings go to the US Treasury.

So no, there is no money printing there unless the Fed buys said debt out of thin air with QE.

 

[Rod1]

To put things into perspective there are only $1.62 trillions in federal reserve notes in circulation. The US debt is $21 trillions.

As i said, even if you count these notes as "debt printing" then that only accounts for 13% of the debt.

 

[JohnnySagebrush]

Because what happens when we ‘need’ money?

They fire up the presses and print it. But, as we have seen, they are not even printing money; they are printing debt.

And who pulls that magic interest rate out of their ass? Yup.

Conflating what congress does here is irrelevant in real world terms and let's not forget article one of our Constitution.

What have I “conflated?”

Yes, the Fed offers securitized debt. That policy that creates that debt is created by Congress and the President. How is that a “monopoly”?

You think interest rates are arbitrary?

 

[abiG]

We can always look to those who certainly know this topic more deeply than any of us here.

"Banking was conceived in iniquity and was born in sin.
The Bankers own the earth. Take it away from them,
but leave them the power to create deposits,
and with the flick of the pen they will
create enough deposits to buy it back again.
However, take it away from them, and
all the great fortunes like mine
will disappear and they ought to disappear, for
this would be a happier and better world to live in.
But, if you wish to remain the slaves of Bankers
and pay the cost of your own slavery,
let them continue to create deposits."

--Sir Josiah Stamp (1880-1941) President of the Bank of England

 

[cincymma79]

Trump isnt king, he should take the Fed mandate into consideration for whatever he plans to do.

Yes he must accept it and never ever differ because the he would be racist sexist kkk and hitler

 

[IDL]

It’s a private entity run by a board. Literally no one on earth can tell them what to do, they tell everyone else

I wouldn't say they tell everyone else, like it is up to them. The international central banking network is a sort of hub and spoke configuration from what I can tell. The center is the Bank for International Settlements based out of Switzerland (central bank for central banks) so I assume what the US Federal reserve does is work with the larger central banking network for the interests of the larger private group.

 

[ScottE]

Yes he must accept it and never ever differ because the he would be racist sexist kkk and hitler

No just akin to a dictator that wants to use monetary policy to try and hide bad actual policy for the short term so he can dodge bad publicity.

He's racist and sexist for other reasons, not his clearly bought economics degree.

 

[cincymma79]

No just akin to a dictator that wants to use monetary policy to try and hide bad actual policy for the short term so he can dodge bad publicity.

He's racist and sexist for other reasons, not his clearly bought economics degree.

Rate low for obama
Zomg much Econ wow
Rate goes up for trump
zomg why no he like wow

 

[ScottE]

Rate low for obama
Zomg much Econ wow
Rate goes up for trump
zomg why no he like wow

It's almost like someone with an economics degree would understand why rates are lowered during a recession and recovery and the neccecities of raising them during an economic boom to curb already rising inflation. Inflation that is already exceeding wage growth. If only they taught such things at Wharton.

 

[m52nickerson]

So, semantics is your response?

It is not semantics at all. It's you showing that you don't understand the purpose of war...or how economics work.