Bernanke Lies Again….and We Believe Him

[Arraya]

http://theautomaticearth.blogspot.com/
Bernanke says the recession will be over in a few months. MarketWatch has a deadline that says “Evidence mounts that recession’s worst is past”. The Dow is up 3.5% when I write this. Now I’m sure Bernanke would look just fine with a party hat on his skull, but by now words like his this morning have become irresponsible. You can’t keep on lying to people and expect them to always come back for more. The high and mighty in the markets are understandably giddy at the prospect of hundreds of billions of additional taxpayer dollars being moved into their failed institutions.

This is the cover of the February 15, 1999, issue of TIME Magazine. Robert Rubin, Alan Greenspan and Larry Summers as the three wizards who will save the world. Ten years later, Rubin is the man behind the scenes of Obama’s finance team, Greenspan is busy doing mea culpa’s that leave him without blame, and Summers has his eyes on Greenspan’s old throne. These guys have orchestrated the downfall of the American economy ten years ago, through the Glass-Steagall repeal, insanely low interest rates and lack of regulation for ‘innovative’ financial instruments. They are today still firmly in the seats of power. I can’t think of anything more worrisome than that.

snip

In 1999, mere months before the Glass-Steagall repeal was voted through, Robert Rubin handed the Treasury Secretary seat to Larry Summers, in order to move on to Citi and put to “good use” all the new financial powers he himself was responsible for writing.

In 2009, Rubin left Citi throuigh the revolving door that connects Wall Street to Washington, to team up again with Larry Summers and Tim Geithner, and make sure hundreds of billions are being poured into the bank he helped implode. None of Obama’s initiatives will do anything to save the banking system, or restore economic growth, or benefit the taxpayer. We’re witnessing the liquidation of the US as a going concern.

[underdose]

[quote=Casca]Bernanke isn’t stupid. He’s obviously trying to land this turkey in the river, instead of the middle of Wall St. A good man in a bad cause.
[/quote]

Really? Have you read his 2002 speech? He is either grossly misguided (ie, stupid, incompetent) or downright malevolent (ie, evil). A good man would either not have taken the job knowing full well the turkey can’t be landed in the river, or would have more honest candor about what truly needs to be done. Since neither are the case, he’s either an imbecile with delusions of grandeur, or he’s on the take and feeding some greedy agenda.

Today he said that inflation will not be a concern because when the economy picks up and inflation pressures return, he’ll be able to just raise interest rates and soak up all the extra money that’s currently being printed. This statement is so glaringly self contradictory he is either too dumb to recognize how illogical it is, or he’s trying to do a snow job. If the economy recovers before inflation takes off (that is, if we don’t find ourselves in the more likely stagflation situation), raising the interest rates will promptly derail any recovery, pummel ARM-holding home owners, and devastate the federal treasury, which you may have noticed, is borrowing by the trillions. If inflation takes off while the government is still trying to stimulate the economy, especially if Ben is making good on his 2002 promise to buy treasuries with newly printed dollars, he’ll be caught between trying to print enough to soak up all the treasuries being dumped by our foreign creditors and trying to soak up what he’s printed. Simply, it’s impossible. When inflation hits, we’ll be too far down the road for him to be able to stop it. He’s not a good man if he is trying to pass off something other than that truth.

[underdose]

[quote=Casca]Bernanke isn’t stupid. He’s obviously trying to land this turkey in the river, instead of the middle of Wall St. A good man in a bad cause.
[/quote]

Really? Have you read his 2002 speech? He is either grossly misguided (ie, stupid, incompetent) or downright malevolent (ie, evil). A good man would either not have taken the job knowing full well the turkey can’t be landed in the river, or would have more honest candor about what truly needs to be done. Since neither are the case, he’s either an imbecile with delusions of grandeur, or he’s on the take and feeding some greedy agenda.

Today he said that inflation will not be a concern because when the economy picks up and inflation pressures return, he’ll be able to just raise interest rates and soak up all the extra money that’s currently being printed. This statement is so glaringly self contradictory he is either too dumb to recognize how illogical it is, or he’s trying to do a snow job. If the economy recovers before inflation takes off (that is, if we don’t find ourselves in the more likely stagflation situation), raising the interest rates will promptly derail any recovery, pummel ARM-holding home owners, and devastate the federal treasury, which you may have noticed, is borrowing by the trillions. If inflation takes off while the government is still trying to stimulate the economy, especially if Ben is making good on his 2002 promise to buy treasuries with newly printed dollars, he’ll be caught between trying to print enough to soak up all the treasuries being dumped by our foreign creditors and trying to soak up what he’s printed. Simply, it’s impossible. When inflation hits, we’ll be too far down the road for him to be able to stop it. He’s not a good man if he is trying to pass off something other than that truth.

[underdose]

[quote=Casca]Bernanke isn’t stupid. He’s obviously trying to land this turkey in the river, instead of the middle of Wall St. A good man in a bad cause.
[/quote]

Really? Have you read his 2002 speech? He is either grossly misguided (ie, stupid, incompetent) or downright malevolent (ie, evil). A good man would either not have taken the job knowing full well the turkey can’t be landed in the river, or would have more honest candor about what truly needs to be done. Since neither are the case, he’s either an imbecile with delusions of grandeur, or he’s on the take and feeding some greedy agenda.

Today he said that inflation will not be a concern because when the economy picks up and inflation pressures return, he’ll be able to just raise interest rates and soak up all the extra money that’s currently being printed. This statement is so glaringly self contradictory he is either too dumb to recognize how illogical it is, or he’s trying to do a snow job. If the economy recovers before inflation takes off (that is, if we don’t find ourselves in the more likely stagflation situation), raising the interest rates will promptly derail any recovery, pummel ARM-holding home owners, and devastate the federal treasury, which you may have noticed, is borrowing by the trillions. If inflation takes off while the government is still trying to stimulate the economy, especially if Ben is making good on his 2002 promise to buy treasuries with newly printed dollars, he’ll be caught between trying to print enough to soak up all the treasuries being dumped by our foreign creditors and trying to soak up what he’s printed. Simply, it’s impossible. When inflation hits, we’ll be too far down the road for him to be able to stop it. He’s not a good man if he is trying to pass off something other than that truth.

[underdose]

[quote=Casca]Bernanke isn’t stupid. He’s obviously trying to land this turkey in the river, instead of the middle of Wall St. A good man in a bad cause.
[/quote]

Really? Have you read his 2002 speech? He is either grossly misguided (ie, stupid, incompetent) or downright malevolent (ie, evil). A good man would either not have taken the job knowing full well the turkey can’t be landed in the river, or would have more honest candor about what truly needs to be done. Since neither are the case, he’s either an imbecile with delusions of grandeur, or he’s on the take and feeding some greedy agenda.

Today he said that inflation will not be a concern because when the economy picks up and inflation pressures return, he’ll be able to just raise interest rates and soak up all the extra money that’s currently being printed. This statement is so glaringly self contradictory he is either too dumb to recognize how illogical it is, or he’s trying to do a snow job. If the economy recovers before inflation takes off (that is, if we don’t find ourselves in the more likely stagflation situation), raising the interest rates will promptly derail any recovery, pummel ARM-holding home owners, and devastate the federal treasury, which you may have noticed, is borrowing by the trillions. If inflation takes off while the government is still trying to stimulate the economy, especially if Ben is making good on his 2002 promise to buy treasuries with newly printed dollars, he’ll be caught between trying to print enough to soak up all the treasuries being dumped by our foreign creditors and trying to soak up what he’s printed. Simply, it’s impossible. When inflation hits, we’ll be too far down the road for him to be able to stop it. He’s not a good man if he is trying to pass off something other than that truth.

[underdose]

[quote=Casca]Bernanke isn’t stupid. He’s obviously trying to land this turkey in the river, instead of the middle of Wall St. A good man in a bad cause.
[/quote]

Really? Have you read his 2002 speech? He is either grossly misguided (ie, stupid, incompetent) or downright malevolent (ie, evil). A good man would either not have taken the job knowing full well the turkey can’t be landed in the river, or would have more honest candor about what truly needs to be done. Since neither are the case, he’s either an imbecile with delusions of grandeur, or he’s on the take and feeding some greedy agenda.

Today he said that inflation will not be a concern because when the economy picks up and inflation pressures return, he’ll be able to just raise interest rates and soak up all the extra money that’s currently being printed. This statement is so glaringly self contradictory he is either too dumb to recognize how illogical it is, or he’s trying to do a snow job. If the economy recovers before inflation takes off (that is, if we don’t find ourselves in the more likely stagflation situation), raising the interest rates will promptly derail any recovery, pummel ARM-holding home owners, and devastate the federal treasury, which you may have noticed, is borrowing by the trillions. If inflation takes off while the government is still trying to stimulate the economy, especially if Ben is making good on his 2002 promise to buy treasuries with newly printed dollars, he’ll be caught between trying to print enough to soak up all the treasuries being dumped by our foreign creditors and trying to soak up what he’s printed. Simply, it’s impossible. When inflation hits, we’ll be too far down the road for him to be able to stop it. He’s not a good man if he is trying to pass off something other than that truth.

[patientrenter]

[quote=underdose][quote=Casca]Bernanke isn’t stupid. He’s obviously trying to land this turkey in the river, instead of the middle of Wall St. A good man in a bad cause.
[/quote]

Really? Have you read his 2002 speech? He is either grossly misguided (ie, stupid, incompetent) or downright malevolent (ie, evil). A good man would either not have taken the job knowing full well the turkey can’t be landed in the river, or would have more honest candor about what truly needs to be done…. [/quote]

BB is clever. I agree that he is not a particularly good man. He convinces himself that he shouldn’t cater too much to concerns over moral hazard. That’s just a fancy way to say that he believes it’s OK to support and encourage immoral behavior. And he has a lot of company. I would guess that at least 2/3 of the population is rooting for immoral behavior that will personally enrich themselves, by levitating their house prices some more.

[patientrenter]

[quote=underdose][quote=Casca]Bernanke isn’t stupid. He’s obviously trying to land this turkey in the river, instead of the middle of Wall St. A good man in a bad cause.
[/quote]

Really? Have you read his 2002 speech? He is either grossly misguided (ie, stupid, incompetent) or downright malevolent (ie, evil). A good man would either not have taken the job knowing full well the turkey can’t be landed in the river, or would have more honest candor about what truly needs to be done…. [/quote]

BB is clever. I agree that he is not a particularly good man. He convinces himself that he shouldn’t cater too much to concerns over moral hazard. That’s just a fancy way to say that he believes it’s OK to support and encourage immoral behavior. And he has a lot of company. I would guess that at least 2/3 of the population is rooting for immoral behavior that will personally enrich themselves, by levitating their house prices some more.

[patientrenter]

[quote=underdose][quote=Casca]Bernanke isn’t stupid. He’s obviously trying to land this turkey in the river, instead of the middle of Wall St. A good man in a bad cause.
[/quote]

Really? Have you read his 2002 speech? He is either grossly misguided (ie, stupid, incompetent) or downright malevolent (ie, evil). A good man would either not have taken the job knowing full well the turkey can’t be landed in the river, or would have more honest candor about what truly needs to be done…. [/quote]

BB is clever. I agree that he is not a particularly good man. He convinces himself that he shouldn’t cater too much to concerns over moral hazard. That’s just a fancy way to say that he believes it’s OK to support and encourage immoral behavior. And he has a lot of company. I would guess that at least 2/3 of the population is rooting for immoral behavior that will personally enrich themselves, by levitating their house prices some more.

[patientrenter]

[quote=underdose][quote=Casca]Bernanke isn’t stupid. He’s obviously trying to land this turkey in the river, instead of the middle of Wall St. A good man in a bad cause.
[/quote]

Really? Have you read his 2002 speech? He is either grossly misguided (ie, stupid, incompetent) or downright malevolent (ie, evil). A good man would either not have taken the job knowing full well the turkey can’t be landed in the river, or would have more honest candor about what truly needs to be done…. [/quote]

BB is clever. I agree that he is not a particularly good man. He convinces himself that he shouldn’t cater too much to concerns over moral hazard. That’s just a fancy way to say that he believes it’s OK to support and encourage immoral behavior. And he has a lot of company. I would guess that at least 2/3 of the population is rooting for immoral behavior that will personally enrich themselves, by levitating their house prices some more.

[patientrenter]

[quote=underdose][quote=Casca]Bernanke isn’t stupid. He’s obviously trying to land this turkey in the river, instead of the middle of Wall St. A good man in a bad cause.
[/quote]

Really? Have you read his 2002 speech? He is either grossly misguided (ie, stupid, incompetent) or downright malevolent (ie, evil). A good man would either not have taken the job knowing full well the turkey can’t be landed in the river, or would have more honest candor about what truly needs to be done…. [/quote]

BB is clever. I agree that he is not a particularly good man. He convinces himself that he shouldn’t cater too much to concerns over moral hazard. That’s just a fancy way to say that he believes it’s OK to support and encourage immoral behavior. And he has a lot of company. I would guess that at least 2/3 of the population is rooting for immoral behavior that will personally enrich themselves, by levitating their house prices some more.

[Arraya]

BB is full of it. There is no way in hell they can inflate home prices. Zero chance. That is either some sort of scam or they are completely insane. The confluence of macro forces makes any attempts to do so look absolutely ridiculous. Either way he should be removed and the Federal Reserve, whose job it is to protect from asset bubbles, should be audited.

As well as this nonsense about returning confidence to the markets. That is where they are in a catch 22. They refuse to show there ever mounting dirty little secrets to anybody which is causing the destruction of confidence. It’s a no win situation. They show then you have bank runs, they don’t, no confidence returns. They avoid anybody that wants to try and value the assets like the plague. Hows that make you feel mister investor? Confident?

The feds game plan has not changed since Obama has come in. Which is hide the salami and keep pumping money into the banks to inflate the housing market and re-start people buying shit they can’t afford. Maybe a better question to ask is how can you run an economy that is dependent on people over spending? How long is that going to last? We gave citi and boa like 5x there worth and the can not stand. As unemployment mounts the assets continue to devalue and losses continue to mount.

Another question is how does the nationalization thing play out with a bunch of banks that have trillions in negative value, and mounting? Not good I suspect.

[Arraya]

BB is full of it. There is no way in hell they can inflate home prices. Zero chance. That is either some sort of scam or they are completely insane. The confluence of macro forces makes any attempts to do so look absolutely ridiculous. Either way he should be removed and the Federal Reserve, whose job it is to protect from asset bubbles, should be audited.

As well as this nonsense about returning confidence to the markets. That is where they are in a catch 22. They refuse to show there ever mounting dirty little secrets to anybody which is causing the destruction of confidence. It’s a no win situation. They show then you have bank runs, they don’t, no confidence returns. They avoid anybody that wants to try and value the assets like the plague. Hows that make you feel mister investor? Confident?

The feds game plan has not changed since Obama has come in. Which is hide the salami and keep pumping money into the banks to inflate the housing market and re-start people buying shit they can’t afford. Maybe a better question to ask is how can you run an economy that is dependent on people over spending? How long is that going to last? We gave citi and boa like 5x there worth and the can not stand. As unemployment mounts the assets continue to devalue and losses continue to mount.

Another question is how does the nationalization thing play out with a bunch of banks that have trillions in negative value, and mounting? Not good I suspect.

[Arraya]

BB is full of it. There is no way in hell they can inflate home prices. Zero chance. That is either some sort of scam or they are completely insane. The confluence of macro forces makes any attempts to do so look absolutely ridiculous. Either way he should be removed and the Federal Reserve, whose job it is to protect from asset bubbles, should be audited.

As well as this nonsense about returning confidence to the markets. That is where they are in a catch 22. They refuse to show there ever mounting dirty little secrets to anybody which is causing the destruction of confidence. It’s a no win situation. They show then you have bank runs, they don’t, no confidence returns. They avoid anybody that wants to try and value the assets like the plague. Hows that make you feel mister investor? Confident?

The feds game plan has not changed since Obama has come in. Which is hide the salami and keep pumping money into the banks to inflate the housing market and re-start people buying shit they can’t afford. Maybe a better question to ask is how can you run an economy that is dependent on people over spending? How long is that going to last? We gave citi and boa like 5x there worth and the can not stand. As unemployment mounts the assets continue to devalue and losses continue to mount.

Another question is how does the nationalization thing play out with a bunch of banks that have trillions in negative value, and mounting? Not good I suspect.

[Arraya]

BB is full of it. There is no way in hell they can inflate home prices. Zero chance. That is either some sort of scam or they are completely insane. The confluence of macro forces makes any attempts to do so look absolutely ridiculous. Either way he should be removed and the Federal Reserve, whose job it is to protect from asset bubbles, should be audited.

As well as this nonsense about returning confidence to the markets. That is where they are in a catch 22. They refuse to show there ever mounting dirty little secrets to anybody which is causing the destruction of confidence. It’s a no win situation. They show then you have bank runs, they don’t, no confidence returns. They avoid anybody that wants to try and value the assets like the plague. Hows that make you feel mister investor? Confident?

The feds game plan has not changed since Obama has come in. Which is hide the salami and keep pumping money into the banks to inflate the housing market and re-start people buying shit they can’t afford. Maybe a better question to ask is how can you run an economy that is dependent on people over spending? How long is that going to last? We gave citi and boa like 5x there worth and the can not stand. As unemployment mounts the assets continue to devalue and losses continue to mount.

Another question is how does the nationalization thing play out with a bunch of banks that have trillions in negative value, and mounting? Not good I suspect.

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