Whenever they lower interest rates, more banks borrow, and they print out more money for the banks.
I wonder, isn't this just like a massive subsidization of the banking industry? I mean, they literally get free money.
Just cursious I keep hearing about several rounds of the feds pumping money into the economy to bail out the junk loan banks.
Where is this money coming from ?
Taxes, debt bonds, just printing more ?
Bush doubled the debt from 5 trillion to 10 trillion.
Proving tax cuts work!
Bush asked for and signed for the TARP money.
The Republican senate leader backed Bush on this.
Whenever they lower interest rates, more banks borrow, and they print out more money for the banks.
I wonder, isn't this just like a massive subsidization of the banking industry? I mean, they literally get free money.
But, you know, it's sort of like "priming the pump". The money goes to the business, banking, and stock sector to help it grow, but it also inflates the economy. It's basically like taking money out of our hands and give it to people who play the stock market.
Its created out of thin air, then loaned out at interest. Its the ultimate business.
So it is just printing more money ?
I have read all your replys and am still confused. If I had only gotten that GED....
Bush doubled the debt from 5 trillion to 10 trillion.
Proving tax cuts work!
Bush asked for and signed for the TARP money.
The Republican senate leader backed Bush on this.
I don't think they even bother to print it. I think it is just digital magic. They loan you money based on digits in a computer, not off of actually printed cash. They've streamlined the process.
Excellence is an art won by training and habituation. We do not act rightly because we have virtue or excellence, but rather we have those because we have acted rightly. We are what we repeatedly do. Excellence, then, is not an act but a habit.
- -- Aristotle
Believe nothing on the faith of traditions, even though they have been held in honor for many generations and in diverse places. Do not believe a thing because many people speak of it. Do not believe on the faith of the sages of the past. Do not believe what you yourself have imagined, persuading yourself that a God inspires you. Believe nothing on the sole authority of your masters and priests. After examination, believe what you yourself have tested and found to be reasonable, and conform your conduct thereto.
- -- The Buddha
It is the mark of an educated mind to be able to entertain a thought without accepting it.
- -- Aristotle
Whenever I first heard of the federal reserve, I was like, why the hell would you do that? It's good if the economy inflates at a steady rate but there's no reason to lend it out to banks. You could simply print out enough money to make inflation grow at a steady 3%, and put that money into the gov. budget (as another form of taxation).
So in effect we are devalueing our own dollar by printing more of them ?
We are sure a bright country, too many MBA's at the top or something.
Bush doubled the debt from 5 trillion to 10 trillion.
Proving tax cuts work!
Bush asked for and signed for the TARP money.
The Republican senate leader backed Bush on this.
Excellence is an art won by training and habituation. We do not act rightly because we have virtue or excellence, but rather we have those because we have acted rightly. We are what we repeatedly do. Excellence, then, is not an act but a habit.
- -- Aristotle
Believe nothing on the faith of traditions, even though they have been held in honor for many generations and in diverse places. Do not believe a thing because many people speak of it. Do not believe on the faith of the sages of the past. Do not believe what you yourself have imagined, persuading yourself that a God inspires you. Believe nothing on the sole authority of your masters and priests. After examination, believe what you yourself have tested and found to be reasonable, and conform your conduct thereto.
- -- The Buddha
It is the mark of an educated mind to be able to entertain a thought without accepting it.
- -- Aristotle
we are doing it for the customer or for the loan business industry/investor ?
Bush doubled the debt from 5 trillion to 10 trillion.
Proving tax cuts work!
Bush asked for and signed for the TARP money.
The Republican senate leader backed Bush on this.
It's a wall street bank bail out pure and simple, being fleeced up America under the disguise of helping stall foreclosure.
Excellence is an art won by training and habituation. We do not act rightly because we have virtue or excellence, but rather we have those because we have acted rightly. We are what we repeatedly do. Excellence, then, is not an act but a habit.
- -- Aristotle
Believe nothing on the faith of traditions, even though they have been held in honor for many generations and in diverse places. Do not believe a thing because many people speak of it. Do not believe on the faith of the sages of the past. Do not believe what you yourself have imagined, persuading yourself that a God inspires you. Believe nothing on the sole authority of your masters and priests. After examination, believe what you yourself have tested and found to be reasonable, and conform your conduct thereto.
- -- The Buddha
It is the mark of an educated mind to be able to entertain a thought without accepting it.
- -- Aristotle
an evasive answer at best.
Bush doubled the debt from 5 trillion to 10 trillion.
Proving tax cuts work!
Bush asked for and signed for the TARP money.
The Republican senate leader backed Bush on this.
Or is this a selling out to make us "more competitive in the world market" ?
At the expense of the working class in the USA.
Bush doubled the debt from 5 trillion to 10 trillion.
Proving tax cuts work!
Bush asked for and signed for the TARP money.
The Republican senate leader backed Bush on this.
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