Comments on: Where DID that Trillion Dollars Go? http://cafehayek.com/2009/09/where-did-that-trillion-dollars-go.html where orders emerge Mon, 16 Jan 2012 02:06:33 +0000 hourly 1 http://wordpress.org/?v= By: Justin P http://cafehayek.com/2009/09/where-did-that-trillion-dollars-go.html/comment-page-1#comment-179986 Justin P Thu, 03 Sep 2009 20:40:00 +0000 http://cafehayek.com/?p=6193#comment-179986 70's style stagflation? That's what I'm thinking, the jobs report tomorrow isn't going to be pretty. 70′s style stagflation? That’s what I’m thinking, the jobs report tomorrow isn’t going to be pretty.

]]> By: Anonymous http://cafehayek.com/2009/09/where-did-that-trillion-dollars-go.html/comment-page-1#comment-179983 Anonymous Thu, 03 Sep 2009 20:32:00 +0000 http://cafehayek.com/?p=6193#comment-179983 "Well how can he soak them up if he doesn't know where it is in the first place?" And how can he soak it up if the bulk of it is in a form (like the Fed's purchase of toxic assets) that the Fed cannot liquidate? Even Volker was prepared to let inflation fly if President Carter hadn't given him permission to attack it. There is plenty of reason to believe Bernanke won't or can't control impending inflation. “Well how can he soak them up if he doesn’t know where it is in the first place?”

And how can he soak it up if the bulk of it is in a form (like the Fed’s purchase of toxic assets) that the Fed cannot liquidate?

Even Volker was prepared to let inflation fly if President Carter hadn’t given him permission to attack it. There is plenty of reason to believe Bernanke won’t or can’t control impending inflation.

]]> By: Anonymous http://cafehayek.com/2009/09/where-did-that-trillion-dollars-go.html/comment-page-1#comment-179981 Anonymous Thu, 03 Sep 2009 20:26:00 +0000 http://cafehayek.com/?p=6193#comment-179981 "Pump" is a nice word, isn't it. Gives a visual connotation that people think they understand. Keynesians picture shifting lines on their modified IS/LM plots. And all of it is completely divorced from reality. In reality, the closest pump analogy is one where you are spending your limited time trying to save your sinking boat by pumping water from the front of the boat to the back of the boat. “Pump” is a nice word, isn’t it. Gives a visual connotation that people think they understand. Keynesians picture shifting lines on their modified IS/LM plots. And all of it is completely divorced from reality.

In reality, the closest pump analogy is one where you are spending your limited time trying to save your sinking boat by pumping water from the front of the boat to the back of the boat.

]]> By: Anonymous http://cafehayek.com/2009/09/where-did-that-trillion-dollars-go.html/comment-page-1#comment-179975 Anonymous Thu, 03 Sep 2009 20:18:00 +0000 http://cafehayek.com/?p=6193#comment-179975 http://hotlynxnow.com/2-StoryOuthouse.jpg Here is graphic demonstration of where you fit in in the grand scheme of government. http://hotlynxnow.com/2-StoryOuthouse.jpg

Here is graphic demonstration of where you fit in in the grand scheme of government.

]]> By: Justin P http://cafehayek.com/2009/09/where-did-that-trillion-dollars-go.html/comment-page-1#comment-179971 Justin P Thu, 03 Sep 2009 20:07:00 +0000 http://cafehayek.com/?p=6193#comment-179971 One of the more nonsensical things Keynes said for sure. I'm sure if Keynes were around today he'd prefer the Helicopter approach. Here's something to think about; in order to stave off long term inflation, Heli-Ben said he will soak up all those excess reserves right? Well how can he soak them up if he doesn't know where it is in the first place? One of the more nonsensical things Keynes said for sure. I’m sure if Keynes were around today he’d prefer the Helicopter approach.

Here’s something to think about; in order to stave off long term inflation, Heli-Ben said he will soak up all those excess reserves right? Well how can he soak them up if he doesn’t know where it is in the first place?

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