Friday, March 4, 2011

Emperor Nakedly Monetizing, Desperately Seeking Stability

Brilliant post from Jesse......

The Fed is monetizing debt, colloquially known as 'printing money.'


At this point you either understand this or you do not, and if not it is probably because you will not.

But it is the reality, and presents fairly volatile conditions for the world financial system. And the limits to the monetization are the value of the US bonds, and the American dollar which are notes of zero duration.......read in full

https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEg149A-RMExcinqN0DKxUxDobKOVBTRz6VQIgNUC8iVBgJNGjNfNQKS4dtDcfFZwhtoazAZDe2B-rNSmyNNrqTRVV1Op4wNg7pjap2bN54hWaxRwWFbNLUgpq3hbFVXtxo1ODcK1Hq8v4A/s1600/golddaily7.PNG

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