Home › Forums › Housing › Fed empties the Armory, expends all ammo, housing has bottomed. SD RE will cost more in August of 09 than it does now.
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December 16, 2008 at 6:01 PM #316909December 16, 2008 at 6:13 PM #316426XBoxBoyParticipant
[quote=OC Scam]But seriously what makes you think the Treasury will not default on those bonds at some point soon? Maybe you think the AMERO will save us?[/quote]
I’m not sure how someone who owns the printing press defaults on bonds denominated in dollars. The fed, can always add more dollars to their ledger and then spend them buying treasuries, which gives the treasury dept money to spend. I fail to see why or how they would default as long as they continued to do that. That’s the beauty of a fiat currency. Those who control the printing presses can make as much of it as they want.
If by default, you mean to imply that at some point in time the fed will not be able to get anyone to take the dollars they drop out of the helicopter, then I suppose you could call that a default. But I don’t see that happening anytime soon. China and lots of other foreigners are still buying up dollars to manipulate their currencies, and I don’t think that game ends anytime soon.
Or maybe you mean by default that at some point deflation will cease to be a concern, and inflation will come back, and then the fed will have to face the music. I could easily see that happening, but just not any time soon.
If by default, you mean the traditional definition, ie. the treasury simply refuses to pay back the bonds they have issued, I don’t see why they would do that. Care to explain what they would gain by doing that?
XBoxBoy
December 16, 2008 at 6:13 PM #316777XBoxBoyParticipant[quote=OC Scam]But seriously what makes you think the Treasury will not default on those bonds at some point soon? Maybe you think the AMERO will save us?[/quote]
I’m not sure how someone who owns the printing press defaults on bonds denominated in dollars. The fed, can always add more dollars to their ledger and then spend them buying treasuries, which gives the treasury dept money to spend. I fail to see why or how they would default as long as they continued to do that. That’s the beauty of a fiat currency. Those who control the printing presses can make as much of it as they want.
If by default, you mean to imply that at some point in time the fed will not be able to get anyone to take the dollars they drop out of the helicopter, then I suppose you could call that a default. But I don’t see that happening anytime soon. China and lots of other foreigners are still buying up dollars to manipulate their currencies, and I don’t think that game ends anytime soon.
Or maybe you mean by default that at some point deflation will cease to be a concern, and inflation will come back, and then the fed will have to face the music. I could easily see that happening, but just not any time soon.
If by default, you mean the traditional definition, ie. the treasury simply refuses to pay back the bonds they have issued, I don’t see why they would do that. Care to explain what they would gain by doing that?
XBoxBoy
December 16, 2008 at 6:13 PM #316818XBoxBoyParticipant[quote=OC Scam]But seriously what makes you think the Treasury will not default on those bonds at some point soon? Maybe you think the AMERO will save us?[/quote]
I’m not sure how someone who owns the printing press defaults on bonds denominated in dollars. The fed, can always add more dollars to their ledger and then spend them buying treasuries, which gives the treasury dept money to spend. I fail to see why or how they would default as long as they continued to do that. That’s the beauty of a fiat currency. Those who control the printing presses can make as much of it as they want.
If by default, you mean to imply that at some point in time the fed will not be able to get anyone to take the dollars they drop out of the helicopter, then I suppose you could call that a default. But I don’t see that happening anytime soon. China and lots of other foreigners are still buying up dollars to manipulate their currencies, and I don’t think that game ends anytime soon.
Or maybe you mean by default that at some point deflation will cease to be a concern, and inflation will come back, and then the fed will have to face the music. I could easily see that happening, but just not any time soon.
If by default, you mean the traditional definition, ie. the treasury simply refuses to pay back the bonds they have issued, I don’t see why they would do that. Care to explain what they would gain by doing that?
XBoxBoy
December 16, 2008 at 6:13 PM #316838XBoxBoyParticipant[quote=OC Scam]But seriously what makes you think the Treasury will not default on those bonds at some point soon? Maybe you think the AMERO will save us?[/quote]
I’m not sure how someone who owns the printing press defaults on bonds denominated in dollars. The fed, can always add more dollars to their ledger and then spend them buying treasuries, which gives the treasury dept money to spend. I fail to see why or how they would default as long as they continued to do that. That’s the beauty of a fiat currency. Those who control the printing presses can make as much of it as they want.
If by default, you mean to imply that at some point in time the fed will not be able to get anyone to take the dollars they drop out of the helicopter, then I suppose you could call that a default. But I don’t see that happening anytime soon. China and lots of other foreigners are still buying up dollars to manipulate their currencies, and I don’t think that game ends anytime soon.
Or maybe you mean by default that at some point deflation will cease to be a concern, and inflation will come back, and then the fed will have to face the music. I could easily see that happening, but just not any time soon.
If by default, you mean the traditional definition, ie. the treasury simply refuses to pay back the bonds they have issued, I don’t see why they would do that. Care to explain what they would gain by doing that?
XBoxBoy
December 16, 2008 at 6:13 PM #316914XBoxBoyParticipant[quote=OC Scam]But seriously what makes you think the Treasury will not default on those bonds at some point soon? Maybe you think the AMERO will save us?[/quote]
I’m not sure how someone who owns the printing press defaults on bonds denominated in dollars. The fed, can always add more dollars to their ledger and then spend them buying treasuries, which gives the treasury dept money to spend. I fail to see why or how they would default as long as they continued to do that. That’s the beauty of a fiat currency. Those who control the printing presses can make as much of it as they want.
If by default, you mean to imply that at some point in time the fed will not be able to get anyone to take the dollars they drop out of the helicopter, then I suppose you could call that a default. But I don’t see that happening anytime soon. China and lots of other foreigners are still buying up dollars to manipulate their currencies, and I don’t think that game ends anytime soon.
Or maybe you mean by default that at some point deflation will cease to be a concern, and inflation will come back, and then the fed will have to face the music. I could easily see that happening, but just not any time soon.
If by default, you mean the traditional definition, ie. the treasury simply refuses to pay back the bonds they have issued, I don’t see why they would do that. Care to explain what they would gain by doing that?
XBoxBoy
December 16, 2008 at 6:45 PM #316431kewpParticipant[quote=jpinpb]Aren’t they out of breath yet trying to pump air in this balloon w/a hole in it.[/quote]
Good thing air is free, eh?
December 16, 2008 at 6:45 PM #316782kewpParticipant[quote=jpinpb]Aren’t they out of breath yet trying to pump air in this balloon w/a hole in it.[/quote]
Good thing air is free, eh?
December 16, 2008 at 6:45 PM #316823kewpParticipant[quote=jpinpb]Aren’t they out of breath yet trying to pump air in this balloon w/a hole in it.[/quote]
Good thing air is free, eh?
December 16, 2008 at 6:45 PM #316844kewpParticipant[quote=jpinpb]Aren’t they out of breath yet trying to pump air in this balloon w/a hole in it.[/quote]
Good thing air is free, eh?
December 16, 2008 at 6:45 PM #316918kewpParticipant[quote=jpinpb]Aren’t they out of breath yet trying to pump air in this balloon w/a hole in it.[/quote]
Good thing air is free, eh?
December 16, 2008 at 6:50 PM #316436ArrayaParticipantThe Fed has determined that home prices must stop falling to save the economy from collapse. Today they signaled that they will keep firing until prices stop falling period. From today forward when you blather away about the sky continuing to fall from here you are a fool. The Fed printing press that prints dollars. If necessary they will print and loan at 0% until house prices stabilize
Yes, fire hosing pixel money at this will solve everything. The Fed will be looking like snake oil salesmen this coming summer and the peasants will be sharpening pitchforks.
OT: Any one who is interested check out Matt Simmons and Robert Hersh discuss what’s going on in the oil world. Seems peak oil could be rearing its ugly head again sooner than most think. That $147 price per barrel could be just a warm up.
http://www.financialsense.com/Experts/roundtable/2008/1213.html
December 16, 2008 at 6:50 PM #316787ArrayaParticipantThe Fed has determined that home prices must stop falling to save the economy from collapse. Today they signaled that they will keep firing until prices stop falling period. From today forward when you blather away about the sky continuing to fall from here you are a fool. The Fed printing press that prints dollars. If necessary they will print and loan at 0% until house prices stabilize
Yes, fire hosing pixel money at this will solve everything. The Fed will be looking like snake oil salesmen this coming summer and the peasants will be sharpening pitchforks.
OT: Any one who is interested check out Matt Simmons and Robert Hersh discuss what’s going on in the oil world. Seems peak oil could be rearing its ugly head again sooner than most think. That $147 price per barrel could be just a warm up.
http://www.financialsense.com/Experts/roundtable/2008/1213.html
December 16, 2008 at 6:50 PM #316828ArrayaParticipantThe Fed has determined that home prices must stop falling to save the economy from collapse. Today they signaled that they will keep firing until prices stop falling period. From today forward when you blather away about the sky continuing to fall from here you are a fool. The Fed printing press that prints dollars. If necessary they will print and loan at 0% until house prices stabilize
Yes, fire hosing pixel money at this will solve everything. The Fed will be looking like snake oil salesmen this coming summer and the peasants will be sharpening pitchforks.
OT: Any one who is interested check out Matt Simmons and Robert Hersh discuss what’s going on in the oil world. Seems peak oil could be rearing its ugly head again sooner than most think. That $147 price per barrel could be just a warm up.
http://www.financialsense.com/Experts/roundtable/2008/1213.html
December 16, 2008 at 6:50 PM #316850ArrayaParticipantThe Fed has determined that home prices must stop falling to save the economy from collapse. Today they signaled that they will keep firing until prices stop falling period. From today forward when you blather away about the sky continuing to fall from here you are a fool. The Fed printing press that prints dollars. If necessary they will print and loan at 0% until house prices stabilize
Yes, fire hosing pixel money at this will solve everything. The Fed will be looking like snake oil salesmen this coming summer and the peasants will be sharpening pitchforks.
OT: Any one who is interested check out Matt Simmons and Robert Hersh discuss what’s going on in the oil world. Seems peak oil could be rearing its ugly head again sooner than most think. That $147 price per barrel could be just a warm up.
http://www.financialsense.com/Experts/roundtable/2008/1213.html
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