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View Diary: A guide to the conservative movement in one handy chart (219 comments)

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  •  You can't have incoming what the Treasury (2+ / 0-)
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    hmi, tle

    is not outputting.
    The way congress has arranged it by putting the Fed nominally in charge, is that the Fed is supposed to distribute dollars to the banks and then the banks lend them out to the producers of goods and services. Instead, what the banks have been doing is depositing the dollars with the Treasury to collect a premium. Why the Treasury pays out a premium for keeping dollars that people aren't using safe is a puzzlement, unless you consider it a sweetener to the bankster class so they'll be supportive of their sugar daddies in Congress.
    The Fed has been making noises about paying no dividends on bonds and test the hypothesis that especially other nations just appreciate having a safe currency as a fall-back.

    I'd suggest that the quantity of money is less signficant than the rate at which it travels can be demonstrated by the fact that the crash supposedly caused $40 trillion to evaporate. If that much value can disappear in a few months, then it wasn't real to begin with.
    Hoarding money is a problem, just as it would be a problem if people were hoarding nails or stop signs. We can make more, but it's a gross inconvenience.

    And we should not extend plaudits to people who hoard dollars.

    We organize governments to deliver services and prevent abuse.

    by hannah on Thu Mar 07, 2013 at 11:51:24 AM PST

    [ Parent ]

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