PrintMay 4, 2011
Incompetence is the Charitable Explanation of The Federal Reserve Board's Behavior
All who have a growing concern about a breakout of inflation may be happy to know that the Vice Chairwoman of the Federal Reserve, Janet Yellen, has some comforting words for you. Speaking at the Economic Club of New York, among other things she said U.S. monetary policy "continues to be appropriate." This means the Fed is going to continue purchasing the $600 billion of U.S. Treasury securities issue by the Treasury Department of the Obama Executive Branch of our government.The academic name of this is quantitative easing. For working people, it is called printing money. This activity in lesser nations always results in inflation. If you need a definition of inflation, it is the most destructive tax that ever existed. It destroys the value of your labor and the value of everything you own that is denominated in dollars. And as income shrinks relative to selling prices, you get poorer and poorer. Then economic activity...(Read Full Article)
