Quantum Easing 3 (QE3)


I'm coming back to this thread after QE3 has now been announced and the plan is open ended quantitative easing so we can more appropriately also call it QE infinity.

The plan is to purchase $40 Billion in Mortgage backed Securities every month until the federal reserve sees fit to stop.

Ordinarily a central bank controls deflation/inflation by raising/lowering interest rates, buying/selling short term bonds altering the money supply affecting the yield of said bonds, since QE1 and QE2 did not improve the economy as Ben Bernanke attempted the last nail in the coffin is to buy our own debt when less and less foreign nations will.

QEinfinity has no maximum and no time limit, it's the opinion of this writer the consequences will lead to inflation, lowered credit rating, and will not improve unemployment.

I put this in the "Plan to enslave a nation" thread because it is the opinion of this writer this is an intentional land grab by the fed, and benefits no one except for the banks who can now unload unproductive assets at full value.
Increasing the money supply tends to lower the value of the money doesn't it, thus making imports moreexpensive in erms of local currency, but also making exports more competitive?

It is a classic tactic when a currency is considered over vallud - the alternative being to wait until speculators get enough traction to crash the currency while reaping massive profits.

As such it is usually considered to favour the domestic exporting economy, and is a means for a country to improve its ability to generate value, and a good thing (tm) when it is appropriate.

Given the US trade deficit I see it as entirely unavoidable - you guys are not paying your way in the world - ie you are spending a lot more than you are earning - and THAT is a much surer way to "enslavement" than a economic policy that may help fix the situation.
I've moved this from the Kennedy Quote thread, as it seems no more related to it than any other oligarchical conspiracy theory.
...this is an intentional land grab by the fed, and benefits no one except for the banks who can now unload unproductive assets at full value.

Did you know this grift has been occurring for hundreds of years?

History indicates it will continue for hundreds more years.

Know history. Watch this lecture by Dr. Stephen Davies, Department of Economic History at Manchester Metropolitan University in Manchester, England.

He gives a really good summary of the decline of classical liberal ideas from the mid-19th century through the mid-20th century. He describes how liberalism grew stale and fell prey to competing ideologies of socialism and fascism which we live under today.

Part 2: http://www.youtube.com/watch?v=puusxNAkoe4
If the video above is too heavy, try this one. It's funny because some version of this scam is actually what will probably happen. Wash. Rinse. Repeat.

Good vid Charlie Neo-Classical Liberalism is definitely on the rise in America, Minimize Govt, and Maximize Freedom who could argue with that, but I dont really see where it fits into QEInfinity and the Fed's blueprint for National Serfdom.