This is audio of couple of fools at Bloomberg unbelievably bantering about how transparency at the Fed really may not be such a good thing.
The reasoning: If buyer and seller both know stimulus is coming their way, then everyone knows that everyone else has the same bag of money. Prices will therefore go up. Duh. But here’s their astounding conclusion: We can’t handle the truth, and maybe…just maybe…we shouldn’t be told when the Fed is doing its “stimulus.”
This is an amazing statement on the core philosophy of many people who have drunk the progressive Kool-Aid. I have an idea…let’s all willingly stay in the dark so the Fed can manipulate us more easily to buy, sell, invest, or save in the “proper” amounts at any given time. After all, we all know how well the government does its job.
Also of interest is Ben Bernanke on 60 Minutes defending his stimulus efforts. You can hear the worry in his voice:
And for some rather apocalyptic commentary from an economist I actually trust, check out what John Williams of ShadowStats.com has to say about the potential that Quantitative Easing will lead to hyperinflation.
Then check out this hypothetical scenario of what the U.S. dollar crash could look like. It’s called The Day the Dollar Died: