Originally Posted by
ryan1234
It is amazing to me that the government will throw someone in jail for counterfeiting because it undermines the value of the dollar, yet they counterfeit and call it "monetary policy". It is also amazing how many Americans will bash and blame the administration for the economy, yet not question the actions of the FRB.
Americans embrace the ideals of John Maynard Keyes even though history has proven time and again those ideals do not work.
If the government can't be trusted with our money, why should we trust it with our healthcare?
I think it is important to understand that the FRB is acting in a responsible way by pointing out the situation they have been forced to deal with and outlining the consequences of complete lack of control with regard to spending.
Monetary policy and fiscal policy are two entirely different animals, both must be handled well to prevent sudden surprise at the discovery of a very large empty bag.
This situation has been the subject of many warnings, but when the Fed starts to talk about it in terms of it's effect on monetary policy, action may be looming in the near future.
This makes the "credit crunch" look miniscule.