Donald Hank
QE3, a little hair of the dog that bit you
By Donald Hank
Ben Bernanke said yesterday he is in the mood to print more money now. He claims 25 million unemployed is a "tragedy" and he can't sit idly by any more and watch the economic carnage. 24.5 million was acceptable, but this is just too much and Super Ben is suiting up in the phone booth again, this time for QE3. For an injection of inflated dollars into your money supply, like adding water to the soup to feed some unexpected guests. What else can we do?
You know what Uncle Ted used to say when he was hung over but couldn't stay away from booze next morning: "a little hair of the dog that bit you." It was an excuse to keep drinking, because Uncle Ted couldn't stop. So he pretended the morning booze was good for him instead of rotting his liver. And all Ted's family could do was just sit helplessly as Ted drove another nail into his — and their — coffin.
Like Uncle Ted, the Fed has a habit they just can't kick — printing money. They just can't stop. But they have an excuse: 25 million unemployed is a "tragedy." So we're going for a higher figure, maybe catch up to Spain.
And coincidentally, it's time for Obama's re-election.
But the Fed wouldn't play politics, would they?
Would they?
If so, it will work this time about as well as it worked last time, and the time before that.
Europe has its perennial bailouts of Greece and Spain. We have our perennial bailouts of the US. It's that time again. The intemperate West is binging on quantitative easing as a matter of routine now, and all we can do is sit and watch helplessly as Ben rots everybody's liver.
Don Hank
Further reading
http://pointsandfigures.com/2012/09/01/why-qe3-because-bernanke-says-25-million-unemployed-is-a-tragedy/
© Donald Hank
September 2, 2012
Ben Bernanke said yesterday he is in the mood to print more money now. He claims 25 million unemployed is a "tragedy" and he can't sit idly by any more and watch the economic carnage. 24.5 million was acceptable, but this is just too much and Super Ben is suiting up in the phone booth again, this time for QE3. For an injection of inflated dollars into your money supply, like adding water to the soup to feed some unexpected guests. What else can we do?
You know what Uncle Ted used to say when he was hung over but couldn't stay away from booze next morning: "a little hair of the dog that bit you." It was an excuse to keep drinking, because Uncle Ted couldn't stop. So he pretended the morning booze was good for him instead of rotting his liver. And all Ted's family could do was just sit helplessly as Ted drove another nail into his — and their — coffin.
Like Uncle Ted, the Fed has a habit they just can't kick — printing money. They just can't stop. But they have an excuse: 25 million unemployed is a "tragedy." So we're going for a higher figure, maybe catch up to Spain.
And coincidentally, it's time for Obama's re-election.
But the Fed wouldn't play politics, would they?
Would they?
If so, it will work this time about as well as it worked last time, and the time before that.
Europe has its perennial bailouts of Greece and Spain. We have our perennial bailouts of the US. It's that time again. The intemperate West is binging on quantitative easing as a matter of routine now, and all we can do is sit and watch helplessly as Ben rots everybody's liver.
Don Hank
Further reading
http://pointsandfigures.com/2012/09/01/why-qe3-because-bernanke-says-25-million-unemployed-is-a-tragedy/
© Donald Hank
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