Money On The Sidelines... 1930 Versus 2009
There is a saying, that everything new is just well-forgotten old. The same apparently is especially applicable to propaganda that seeks to part fools with their money. Today's brownie point question is: was the statement below just uttered by Larry Kudlow, or did it appear first more than 79 years ago?
There's a large amount of money on sidelines waiting for
investment opportunities; this should be felt in market when “cheerful
sentiment is more firmly intrenched.” Economists point out that banks
and insurance companies “never before had so much money lying idle.”
If you answered "the latter" you were correct. It first appeared on August 28, 1930 to be precise (and who knows how many times prior, usually showing up just as America was set for yet another major recession).
The same question, although less brownie points if you get it right for this one:
Fed. Reserve seen continuing easy credit policy pursued since
start of year. Some concern that increased reserve credit “will flow
into speculative channels,” but this doesn't seem to have happened much
Correct - 1930.
Alas, CNBC's propaganda is merely a rehash of the script that every major economy follows just as it falls into unprecedented 10 year depression.