The Federal Reserve has pursued the unprecedented monetary policy of lowering rates to zero and increasing their portfolio from 500 billion to over 4 trillion. But as the Fed reminds us, there is a cost.
The best-case scenario for Sanders' plan (just proclaim that health care is a right proudly enough and new doctors, hospitals, drugs, and medical equipment would fall from the sky) is one that is worse than what would exist without a single government intervention in health care.
"The ECB and BOJ are buying $150 billion a month of their own bonds and much of that money then flows from 10 basis points JGB's and 45 basis point Bunds into 2.45% U.S. Treasuries.... I would venture a guess that without QE from the ECB and BOJ that 10-year U.S. Treasuries would rather quickly rise to 3.5% and the U.S. economy would sink into recession."
One day his Supreme Court justices will retire. Obamacare may be repealed. History will forget about his charisma and charm. Edward Snowden may eventually return home. The 500,000+ pages of regulations his administration issued will be replaced. And even the families of all the innocent victims who were accidentally killed in his drone strikes may move on with their lives.But the debt will still be there.
The history of previous civilizations rising and eventually collapsing is well documented. Our current economy seems to be following a similar pattern... Our fundamental problem is the fact that neither high nor low energy prices are now able to keep the world economy operating as we would like it to operate.
In an curious exchange in traditional roles, Senate Minority Leader Chuck Schumer slammed Republicans on Tuesday for advancing a fiscal year 2017 budget resolution which, while designed to repeal the Affordable Care Act, also contemplates more than a $9 trillion increase in the public debt over a decade