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Ben Bernanke Just Told A Massive Lie About Milton Friedman

Tyler Durden's picture




 

Submitted by Mike Krieger of Libertyblitzkrieg

Ben Bernanke Just Told A Massive Lie About Milton Friedman And I Can Prove It

Ben Bernanke is so desperate to find support regarding his steal from the poor and give to the 0.01% policies he is now telling blatant lies about famous, dead economists that can’t refute what he says.  In this case Milton Friedman.  In his Q&A today, The Bernank claimed:

*BERNANKE: MILTON FRIEDMAN WOULD HAVE SUPPORTED WHAT FED DOING

Well I suppose it’s easy to make things up about people that can’t claim otherwise, but he made a big mistake this time.  Why?  Because Anna Schwartz, who co-wrote the famous work “A Monetary History of the United States” with Milton Friedman in 1963, actually came on the record on several occasions calling out The Bernank and saying there’s no way Friedman would agree.  The sad part about this is it seems Bernanke waited until Schwartz died to really start spewing the lies.  This guy is not only dangerous he is despicable and increasingly desperate…

Don’t take it from me though, back in October 2008 Anna Schwartz had this to say in the Wall Street Journal:

Ms. Schwartz thinks that our central bankers and our Treasury Department are getting it wrong again.

This is not due to a lack of money available to lend, Ms. Schwartz says, but to a lack of faith in the ability of borrowers to repay their debts. “The Fed,” she argues, “has gone about as if the problem is a shortage of liquidity. That is not the basic problem. The basic problem for the markets is that [uncertainty] that the balance sheets of financial firms are credible.”

Rather, “firms that made wrong decisions should fail,” she says bluntly. “You shouldn’t rescue them. And once that’s established as a principle, I think the market recognizes that it makes sense. Everything works much better when wrong decisions are punished and good decisions make you rich.” The trouble is, “that’s not the way the world has been going in recent years.”

In 2002, Mr. Bernanke, then a Federal Reserve Board governor, said in a speech in honor of Mr. Friedman’s 90th birthday, “I would like to say to Milton and Anna: Regarding the Great Depression. You’re right, we did it. We’re very sorry. But thanks to you, we won’t do it again.”

“This was [his] claim to be worthy of running the Fed,” she says. He was “familiar with history. He knew what had been done.” But perhaps this is actually Mr. Bernanke’s biggest problem. Today’s crisis isn’t a replay of the problem in the 1930s, but our central bankers have responded by using the tools they should have used then. They are fighting the last war. The result, she argues, has been failure. “I don’t see that they’ve achieved what they should have been trying to achieve. So my verdict on this present Fed leadership is that they have not really done their job.”

Full WSJ article here.

Not enough proof for you?  Well in tribute to Anna Schwartz after she passed in June of this year, Forbes wrote:

Greenspan’s successor, Ben Bernanke, has followed the same path in confronting the current economic crisis, Schwartz charges. Instead of the steady course that the monetarists recommend, the Fed and the Treasury “try to break news on a daily basis and they look for immediate gratification,” she says. “Bernanke is looking for sensations, with new developments every day.”

Yet isn’t Bernanke a disciple of Friedman and Schwartz? He publicly refers to them as mentors, and, thanks to their scientific breakthrough, he has famously declared that “the Great Depression will not happen again.” Bernanke is right about the past, Schwartz says, “but he is fighting the wrong war today; the present crisis has nothing to do with a lack of liquidity.”

Full Forbes article here.

Ben Bernanke, I didn’t think it was possible, but you have hit a new low.  History will not be kind to you.

 

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Mon, 10/01/2012 - 14:12 | 2845876 Undecided
Undecided's picture

http://www.washingtonpost.com/blogs/ezra-klein/wp/2012/10/01/want-to-increase-your-productivity-study-says-look-at-this-adorable-kitten/?hpid=z4

 

they should all just bail out everyone with Kitten's to boost productivity lol...................

Mon, 10/01/2012 - 14:15 | 2845901 Lohn Jocke
Lohn Jocke's picture

Fuck you Bernanke!

Mon, 10/01/2012 - 14:19 | 2845925 WALLST8MY8BALL
WALLST8MY8BALL's picture

MANBERNKRUG

Mon, 10/01/2012 - 14:24 | 2845960 AnonymousAnarchist
Mon, 10/01/2012 - 14:31 | 2845990 nope-1004
nope-1004's picture

I knew Benocide was a pathological asshat when he stated in 2011:

"Current concerns and fears of inflation are largely overstated.  Increases in food prices in developing nations can be largely attributed to the citizens of those nations seeking more sophisticated diets."

Benocide, the shill.

Idiot.

Liar.

White collar crook.

 

Mon, 10/01/2012 - 14:35 | 2846010 mktsrmanipulated
mktsrmanipulated's picture

hes the same guy that said "subprime is contained"

Mon, 10/01/2012 - 14:47 | 2846053 nope-1004
nope-1004's picture

Yes, I would expect most Fed cronies to say something like that to keep the masses numb and avoid rocking the markets.   But, to claim that he knows the diets of those in other nations struggling with rising food prices, is proof of a deep psychopathy.

He's a nut, and as this goes on, his lies are getting more and more child-like.

IMO, he fits each of the items from # 1-10 in this psychopathy test.

 

Mon, 10/01/2012 - 14:55 | 2846103 Nothing To See Here
Nothing To See Here's picture

Glad that ZH has called the Bernank's lies here, but it should not be lost that the Great Depression was misdiagnosed by Friedman. Milton Friedman's suggestion that the Fed should have pumped more back then has given all the tools the money lunatics needed to pretend that their state intervention theories were backed by any intellectual credibility.

Friedman was a great freedom thinker, but a poor money economist.

Mon, 10/01/2012 - 15:05 | 2846129 Surly Bear
Surly Bear's picture

*BERNANKE: KARL MARX WOULD HAVE SUPPORTED WHAT FED DOING

FIX'D IT FOR YA, BERNANK

~SB

Mon, 10/01/2012 - 15:34 | 2846216 Manthong
Mon, 10/01/2012 - 16:57 | 2846496 AldousHuxley
AldousHuxley's picture

The classic bring up the dead guy defense

 

How can you form a rebuttal against the dead guy?

Mon, 10/01/2012 - 20:49 | 2847011 Mentaliusanything
Mentaliusanything's picture

So the World's largest printer person says I can eat concrete and shingles and pay my medicals with kitchen tiles.

Judassssss priest the mans got absoulutely NO IDEA

His lips keep moving but there is no connection to the 2 brain cells he commands ( one of which has been hypothicated).

Fuck it your done for

Mon, 10/01/2012 - 15:44 | 2846263 economics9698
economics9698's picture

I think Freidman wrote his “Monetary History” to get where he wanted to get.  If he had a do over he might change, but we can see his contemporary, Rothbard, languish for decades in obscurity while Freidman went on to win the Nobel Prize in 1976.

That Nobel Prize propelled Freidman to where he wanted to be, in the spotlight.  When he was in the spotlight he did a lot of free market promotion on Donahue, Free to Choose, and other media outlets.  In the statist 70’s and 80’s the ONLY vice of freedom and liberty was Freidman’s.  He woke me up as a young man to the concept government does not know what is best.

It takes the edge off his monumental blunder in “Monetary History” but it is still a blunder, and Bernanke’s playbook.

What Bernanke is doing is evil, killing the economy, printing, buying assets cheap, concentrating wealth into the hands of the 0.01%, and preparing the USA for dictatorship.  If Freidman were alive he would fight this bull shit with every fiber of his being.  Freidman, most likely, would condemn in the severest terms what Bernanke is doing.

Mon, 10/01/2012 - 16:31 | 2846420 solgundy
solgundy's picture

the Noble Prize is worthless POS....Barack Hussain Obama received one

Mon, 10/01/2012 - 16:59 | 2846504 AldousHuxley
AldousHuxley's picture

I wouldn't say noble is worthless in fields of science....

 

but to say nobel prize winners are authority in all manners outside their realm of expertise is wrong.

 

I wouldn't trust a nobel winner to fix my car versus experienced mechanic.

Mon, 10/01/2012 - 15:10 | 2846151 MillionDollarBogus_
MillionDollarBogus_'s picture

Bernanke is ensuring that history won't blame him for a tight liquidity market.

Just as Greenspan doesn't accept blame for the housing bubble, neither will Bernanke accept blame for the hyperinflation that's to come.  

His ego wouldn't allow for that.

 

Mon, 10/01/2012 - 16:28 | 2846412 NewWorldOrange
NewWorldOrange's picture

"His ego wouldn't allow for that."

A fragile ego at that. David Stockman issued a verbal full frontal assault on The Bernank a few days ago in his presentation to the Mises Institute in which he said this Financial WMD slinger will destroy the world. Stockman has often said that even Friedman would condemn Bernanke's actions. So it struck me that Bernanke's comment today with regard to Friedman was a sort of jab at Stockman...that is, his ego was bruised and he was feeling vindictive. It's as if Bernanke was thinking, "Oh, okay, you want to call me a dangerous monster by speaking truth...well, I can hit back with Big Lies." That's about all he's good at after all.

Mon, 10/01/2012 - 18:15 | 2846684 eatthebanksters
eatthebanksters's picture

Bernanke looks at his choices and projects their outcomes.  He is less concerned by the 'adjustments' that will be required by the middle and lower classes as inflation reduces their living standards than he is by the by the adjustments to our entire society that would result from hitting the 'reset' button.  The former will eat away at society like a slow cancer...we have already seen its affects in a two tiered legal system and in our wealth distribution (I have no problem with rich people but I do have a problem with corrupt people, even rich ones).  The latter would most likely result in rioting, lots of undesireable death and destruction, and massive wipeout of wealth (including the super wealthy) and in the end a new society emerging from the ashes (hopefully wiser). The question is; what would emerge?  A smarter and better system, or a system like Russia?  Would the playing field be level and would everyone start from the same place, or would there be advantages to some that would be exploited?  To be sure, human nature will never allow a level playing field or one starting point for all.  People who support Bernanke support the doom of the days of opportunity for all, especially for the little guy.  People who are against him support destruction and anarchy most likely followed by dictatorial oppression.  You can bitch at me for telling the truth, but in either event the midde and lower classes are fucked.  Kyle Bass put it best when he said that if we manage our restructuring it will be painful, if we allow an involuntary restructuring it will be VERY painful.  Think carefully about your choices, they may become reality.

Mon, 10/01/2012 - 18:39 | 2846723 MiltonFriedmans...
MiltonFriedmansNightmare's picture

News Flash; Hyperinflation will lead to a reset.

Mon, 10/01/2012 - 19:58 | 2846883 Papasmurf
Papasmurf's picture

That's how he rolls.

Mon, 10/01/2012 - 14:44 | 2846060 Pladizow
Pladizow's picture

"The last duty of a central banker is to tell the public the truth" - Alan Binder Federal Reserve Board Vice Chairman, Nightly Business Report 1994

Mon, 10/01/2012 - 16:18 | 2846368 lunaticfringe
lunaticfringe's picture

Luke, the bullshit is strong with this one.

Mon, 10/01/2012 - 15:14 | 2846158 LMAOLORI
LMAOLORI's picture

 

 

Here's another good one how he can say this with a straight face or without the room bursting out in laughter is beyond me...

Bernanke: Stimulus helps savers, too

http://money.cnn.com/2012/10/01/news/economy/bernanke-savings/index.html?iid=HP_LN

Mon, 10/01/2012 - 15:33 | 2846210 Blankenstein
Blankenstein's picture

 

 

Bernanke:

 

Pretty unlikely that house prices will decline on a nation wide basis .....

Confident that bank regulators will make sure underwriting is done right ...

Not going to affect the national economy ..........

 

Has he gotten anything right??

 

http://www.youtube.com/watch?v=INmqvibv4UU

Mon, 10/01/2012 - 14:43 | 2846055 IrritableBowels
IrritableBowels's picture

replace sophisticated with synthetic.

Mon, 10/01/2012 - 15:36 | 2846225 Grinder74
Grinder74's picture

Sounds like you're trying to slander a prophet.  I shall now burn down your embassy.

Mon, 10/01/2012 - 14:43 | 2846054 km4
km4's picture

Microsoft today is valued at half what it was 10 years ago.

 

MSFT needs a bailout like TBTF banks....call the Ben Bernank

Mon, 10/01/2012 - 15:59 | 2846299 Randall Cabot
Mon, 10/01/2012 - 14:16 | 2845904 centerline
centerline's picture

And, on the plus side, we can actually eat kittens.  Not sure if you serve white wine or red with kittens though.  Hmmm...

Mon, 10/01/2012 - 14:20 | 2845931 knukles
knukles's picture

sparkling rose (as per the new whitehoose food pyramid chart)

Mon, 10/01/2012 - 14:29 | 2845985 Hippocratic Oaf
Hippocratic Oaf's picture

In the bubble that is the bernank, there are no lies as long as he's the one spewing them.

I couldn't watch after 5 min, the ass-kissing was just too much.

Mon, 10/01/2012 - 14:42 | 2846049 MiltonFriedmans...
MiltonFriedmansNightmare's picture

I believe I'm on record for advocating abolishment of the Fed back in the 80's.

Oh, and one more thing; fuck your Ben.

Mon, 10/01/2012 - 15:36 | 2846224 mktsrmanipulated
mktsrmanipulated's picture

BERNANKE COMMENTS from 2005-2009--- EITHER HE IS LYING OR INCREDIBLY INCOMPETENT

1. Bernanke has been repeatedly wrong on the economy.

February of 2006: Ben Bernanke, as President Bush's chairman of the Council of Economic Advisers, was responsible for drafting the Economic Report of the President which claimed the following: "The economy has shifted from recovery to sustained expansion … The U.S. economy continues to be well positioned for long-term growth." In this report, Bernanke projected the unemployment rate to be 5 percent from 2008 through 2011.

July 20, 2006: Bernanke referred to the economy as "robust" and "strong".

February 15, 2007: Bernanke said: "Overall economic prospects for households remain good. The labor market is expected to stay healthy. And real incomes should continue to rise. The business sector remains in excellent financial condition."

July 18, 2007: Bernanke said: "Employment should continue to expand … The global economy continues to be strong … financial markets have remained supportive of economic growth."

February 27, 2008: Bernanke said: "The nonfinancial business sector remains in good financial condition with strong profits, liquid balance sheets, and corporate leverage near historic lows … Projections for the unemployment rate in the fourth quarter of 2008 have a central tendency of 5.2 percent to 5.3 percent, up from the level of about 4.75 percent projected last July for the same period. By 2010, our most recent projections show output growth picking up to rates close to or a little above its longer-term trend, and the unemployment rate edging lower. The improvement reflects … an anticipated moderation of the contraction in housing and the strains in financial and credit markets."

June 9, 2008: Bernanke said: “The risk that the economy has entered a substantial downturn appears to have diminished over the past month or so.”

May 5, 2009: In front of the Joint Economic Committee, Chairman Bernanke said: "Currently, we don’t think [the unemployment rate] will get to 10 percent." In November the unemployment rate hit 10.2 percent.

2. Bernanke has been repeatedly wrong on the housing market.

July 1, 2005: Bernanke, then President Bush's Chairman of the Council of Economic Advisers had the following exchange with

CNBC: CNBC INTERVIEWER: "Ben, there's been a lot of talk about a housing bubble, particularly, you know from all sorts of places. Can you give us your view as to whether or not there is a housing bubble out there?"

BERNANKE: "Well, unquestionably, housing prices are up quite a bit; I think it's important to note that fundamentals are also very strong. We've got a growing economy, jobs, incomes. We've got very low mortgage rates. We've got demographics supporting housing growth. We've got restricted supply in some places. So it's certainly understandable that prices would go up some. I don't know whether prices are exactly where they should be, but I think it's fair to say that much of what's happened is supported by the strength of the economy.

CNBC: Tell me, what is the worst-case scenario? We have so many economists coming on our air saying ‘Oh, this is a bubble, and it’s going to burst, and this is going to be a real issue for the economy.’ Some say it could even cause a recession at some point. What is the worst-case scenario if in fact we were to see prices come down substantially across the country?

BERNANKE: Well, I guess I don’t buy your premise. It’s a pretty unlikely possibility. We’ve never had a decline in house prices on a nationwide basis. So, what I think what is more likely is that house prices will slow, maybe stabilize, might slow consumption spending a bit. I don’t think it’s gonna drive the economy too far from its full employment path, though.

February 15, 2006: Bernanke said: "The housing market has been very strong for the past few years … It seems to be the case, there are some straws in the wind, that housing markets are cooling a bit. Our expectation is that the decline in activity or the slowing in activity will be moderate, that house prices will probably continue to rise, but not at the pace that they had been rising. So we expect the housing market to cool, but not to change very sharply … The weakness in housing market activity and the slower appreciation of house prices do not seem to have spilled over to any significant extent to other sectors of the economy."

March 28, 2007: Bernanke said: “The impact on the broader economy and financial markets of the problems in the subprime markets seems likely to be contained.”

May 17, 2007: Bernanke said: “We do not expect significant spillovers from the subprime market to the rest of the economy or to the financial system.”

February 27, 2008: Bernanke said: "By later this year, housing will stop being such a big drag directly on GDP … I am satisfied with the general approach that we’re currently taking."

3. Bernanke failed to warn us about the financial crisis until it was too late.

February 15, 2007: Bernanke said: "The Federal Reserve takes financial crisis management extremely seriously, and we have made a number of efforts to improve our monitoring of the financial markets to study and assess vulnerabilities, and to strengthen our own crisis management procedures and our business continuity plans."

February 28, 2008: Bernanke said: “Among the largest banks, the capital ratios remain good and I don’t expect any serious problems … among the large, internationally active banks that make up a very substantial part of our banking system.”

July 16, 2008: Bernanke said that Fannie Mae and Freddie Mac are “adequately capitalized” and “in no danger of failing.” Since then, Fannie Mae and Freddie Mac have received a $200 billion bailout and have been taken over by the federal government.

4. Bernanke supported the deregulation of derivatives.

November of 2005: Bernanke was questioned by then-Senate Banking Committee Chairman Paul Sarbanes (D-Md.):

SARBANES: “Warren Buffett has warned us that derivatives are time bombs, both for the parties that deal in them and the economic system. The Financial Times has said so far, there has been no explosion, but the risks of this fast growing market remain real. How do you respond to these concerns?”

BERNANKE: I am more sanguine about derivatives than the position you have just suggested. I think, generally speaking, they are very valuable. They provide methods by which risks can be shared, sliced, and diced, and given to those most willing to bear them. They add, I believe, to the flexibility of the financial system in many different ways. With respect to their safety, derivatives, for the most part, are traded among very sophisticated financial institutions and individuals who have considerable incentive to understand them and to use them properly. The Federal Reserve’s responsibility is to make sure that the institutions it regulates have good systems and good procedures for ensuring that their derivatives portfolios are well managed and do not create excessive risk in their institutions.

February 27, 2008: Bernanke said: "If you have two investment banks doing an over-the-counter derivatives transaction, presumably they both are well-informed and they can inform that transaction without necessarily any government intervention."

July 10, 2008: Bernanke said: "Since September 2005, the Federal Reserve Bank of New York has been leading a major joint initiative by both the public and private sectors to improve arrangements for clearing and settling credit default swaps and other OTC derivatives … I don’t think the system is broken, but it does need some improvement in execution.

Mon, 10/01/2012 - 18:26 | 2846702 eatthebanksters
eatthebanksters's picture

What is clear is that as the financial world has imploded TPTB have lied about it all along the way. Anyone who beieved the government, the Fed or the NAR 4 years ago when they said a recovery in home sales was starting has lost their ass with NO opportunity to recover anything.  Relying on govenrment facts and figures has cost people trillions.  Why did TPTB lie?  Two reasons, the government says they wanted to keep the ecoomy from imploding further  and theTBTF banks used the goverment's fear to their own financial advantage and profited immensely while Main Street took it in the ass.  My takeaway?  Don't rely on any govenrmental agency for accurate info and do your homework before choosing your invesments.  So why do we need regulations and regulators when all they do is lie to us and cost us trillions of dollars?? BWAAAHHHAAHHHHAAAA!  

Mon, 10/01/2012 - 14:14 | 2845890 Mr Lennon Hendrix
Mr Lennon Hendrix's picture

Mike Krieger hearts Friedman lol....

Makes sense.

Mon, 10/01/2012 - 15:15 | 2846105 kito
kito's picture

milton only approved of his chicago boys model.....the model where you install a dictator, claim free market (for multinationals) and then proceed with the raping and pillaging of vital commodities and assets, leaving the 99 percent of the populace too scared to speak, lest they disappear in the middle of the night........

Mon, 10/01/2012 - 14:14 | 2845891 centerline
centerline's picture

ZH mentioned on Yahoo Finance.  World must be coming to an end soon.  lol.

Mon, 10/01/2012 - 14:23 | 2845958 Zap Powerz
Zap Powerz's picture

Also mentioned at RealClearMarkets.

Mon, 10/01/2012 - 14:58 | 2846117 Straw Dog
Straw Dog's picture

Also mentioned on Hussman funds weekly newsletter today.

Mon, 10/01/2012 - 15:38 | 2846239 Grinder74
Grinder74's picture

Also mentioned on

#AttackWatch

#JanNapBlog

#SlanderersRUs

Mon, 10/01/2012 - 14:14 | 2845894 Abraxas
Abraxas's picture

Milton Friedman would support anything that takes money from the working class and give it to the super rich. He's another Nobel prize winner, you know. One for peace goes to the warlord and one for the economy goes to the neo-con

Mon, 10/01/2012 - 14:32 | 2846002 Abraxas
Abraxas's picture

It can be clearly seen that when it comes to brainwashing, Stalin and Goebels combined have not even come close to the West.

Mon, 10/01/2012 - 14:37 | 2846016 LULZBank
LULZBank's picture

OHhhh... so Milton Friedman, the Chicago Boy's fame, was a good guy now.

Hmmmm... okay.

http://vimeo.com/26718047

Mon, 10/01/2012 - 15:00 | 2846106 Abraxas
Abraxas's picture

Not on your life. I can’t get over the fact that the majority of the people here can see through the current BS and manipulation, but can’t seem to be able to shake off what was served in the fifties. Miltonianism and anti-working class dogma was mixed with the milk for these babies…

Mon, 10/01/2012 - 15:31 | 2846202 Totentänzerlied
Totentänzerlied's picture

Meanwhile in reality, Milton, while by no means a capitalist, was in fact more pro-working class than anyone you can name. He was no great champion of liberty in absolute terms, but relative to the 20th century's offering of intellectuals, well, there's a wide gap between him and modern Neo-Keynesians/Marxists/Neo-Liberals (no point distinguishing between such homogenized forms of statist apologetics). Of course Rothbard deconstructed Friedman and between them too there is an expansive gap.

Now then, perhaps you can "get over the fact" of your own foolish class dogma and (Young) Hegelian orthodoxy; it was conceived in error by a man who had this to say of the relation between state and individual, "All worth which the human being possesses -- all spiritual reality, he possesses only through the State" (G.W.F Hegel, The Philosophy of History); " 'The Universal is to be found in the State', Hegel writes. 'The State is the Divine Idea as it exists on earth... We must therefore worship the State as the manifestation of the Divine on earth, and consider that, if it is difficult to comprehend Nature, it is infinitely harder to grasp the Essence of the State... The State is the march of God through the world... The state must be comprehended as an organism... To the complete State belongs, essentially, consciousness, and thought. The State knows what it wills... The State is real; and .. true reality is necessary. What is real is eternally necessary... The State .. exists for is own sake... The State is the actually existing, realized moral life.'" (Karl Popper, The Open Society and Its Enemies: Hegel and Marx).

FORWARD, SOVIET!

PS: For those who wish to know more, and can muster a few brain cells for reading comprehension: http://www.friesian.com/hegel.htm

Mon, 10/01/2012 - 16:16 | 2846331 Abraxas
Abraxas's picture

"Milton ... was pro-working class..."

Wow! What had they put in with your milk when you were little?

Mon, 10/01/2012 - 16:19 | 2846370 kito
kito's picture

friedman was pinochets main financial advisor, plugging all of his protege into pinochets circle of brutality......pinochets great minds from chicago were utimately responsible for massive corruption, massive unemployment (22%), a decline in real wages by 40%, doubling of poverty, massive debt-- which forced him into a bailout of chiles large financial institutions (where have we heard that recently?....anyone....anyone?????--too ironic)? what fucking miracle of chile does the hero friedman speak of???? friedman was a fucking shill for the same globalists in this country who are NOW : responsible for massive corruption, massive unemployment, decline in real wages, doubling of poverty, massive debt, and AND THE BAILOUT OF PRIVATE BANKS......

Mon, 10/01/2012 - 22:49 | 2847274 kennard
kennard's picture

Thanks to Pinochet, Chile now has the highest GDP per capita of any Latin American nation.

His military killed 338 people, a drop in the bucket compared to international Socialism.

Mon, 10/01/2012 - 19:55 | 2846875 Heyoka Bianco
Heyoka Bianco's picture

Who besides philosophy students who never graduate gives a rat fuck what Hegel has to say about anything? The only philosophy the venal dregs in power now have is expediency and preservation of their own positions. They  sure as fuck aren't quoting Hegel, in any context.

Besides, Kierkegaard already gave Hegel the big boot to the bollocksa century and a half ago.

Mon, 10/01/2012 - 14:16 | 2845907 DavidC
DavidC's picture

I actually feel sorry for people like him and Krugman - they really cannot see what's in front of them.

DavidC

Mon, 10/01/2012 - 14:18 | 2845915 Mr Lennon Hendrix
Mr Lennon Hendrix's picture

Or they are knowing operatists of the Illuminatti.

Mon, 10/01/2012 - 14:22 | 2845945 centerline
centerline's picture

I find it impossible to believe that someone so smart can simply ignore the role of banking in the creation of money and exclude it from financial models.  That says enough for me to believe he is just towing the line here for TPTB.

Mon, 10/01/2012 - 14:31 | 2845993 ParkAveFlasher
ParkAveFlasher's picture

Absolutely correct.  He is appointed, endorsed, and supported.  Or else, he would have been simply assassinated some time ago. 

You know, it wasn't that long ago that assassinations were a regular event in this country.  When has the last assassination taken place?

Mon, 10/01/2012 - 14:45 | 2846068 MiltonFriedmans...
MiltonFriedmansNightmare's picture

JFK, the last elected president.

Mon, 10/01/2012 - 14:43 | 2846058 MiltonFriedmans...
MiltonFriedmansNightmare's picture

Fuck them, they're evil, not stupid.
Fuck this IPad too.

Mon, 10/01/2012 - 14:16 | 2845908 TrustWho
TrustWho's picture

Oh no, Daddy Bernenke told a lie. What am I to do?

Mon, 10/01/2012 - 14:17 | 2845913 LongSoupLine
LongSoupLine's picture

Ron Paul can't be elected fast enough at this point,,,

Mon, 10/01/2012 - 14:19 | 2845922 Mr Lennon Hendrix
Mr Lennon Hendrix's picture

Who???

Mon, 10/01/2012 - 14:21 | 2845942 knukles
knukles's picture

Oh yeah, him.  I almost forgot.

Mon, 10/01/2012 - 14:25 | 2845966 LongSoupLine
LongSoupLine's picture

Who???

 

The "write-in" guy...

Mon, 10/01/2012 - 14:39 | 2846025 Mr Lennon Hendrix
Mr Lennon Hendrix's picture

No one man will save the Shitanic from sinking.

I will vote for nobody.

Mon, 10/01/2012 - 14:21 | 2845940 slaughterer
slaughterer's picture

I am writing in Ron Paul.  Encourage everybody you know to do so as well.  

Mon, 10/01/2012 - 14:30 | 2845992 fuu
fuu's picture

But who for vice?

Mon, 10/01/2012 - 14:41 | 2846042 slaughterer
slaughterer's picture

I am writing in Peter Schiff for VP.  

Mon, 10/01/2012 - 14:49 | 2846084 Dapper Dan
Dapper Dan's picture

 How about Paul Craig Roberts,  who is NOT a member of the CFR or the Trilateral commission and is not a Bilderberger!

Paul Craig Roberts

Born: 1939

Gender: Male
Race or Ethnicity: White
Occupation: Economist, Government, Columnist

Nationality: United States
Executive summary: The Supply-Side Revolution

Advocate for the immediate impeachment of President George W. Bush and Vice President Dick Cheney.

University: BS Industrial Management, Georgia Tech
University: University of California at Berkeley
University: PhD Economics, University of Virginia
University: Merton College, Oxford University

Cato Institute Distinguished Fellow (1993-96)
Center for Strategic & International Studies Senior Fellow, Political Economy (1982-93)
US Treasury Department Assistant Secretary for Economic Policy:(1981-82)
Center for Strategic & International Studies Senior Fellow, Political Economy (1978-81)
Congressional Staff (1975-78)
Congressional Staff Economic Counsel to Rep. Jack Kemp
Congressional Staff Economic Counsel to Sen. Orrin Hatch
Congressional Staff Staff Associate, Defense Appropriations Subcommittee
Congressional Staff Chief Economist, Minority Staff, Budget Committee
E. W. Scripps Columnist, Scripps-Howard News Service
BusinessWeek Columnist
The Wall Street Journal Editor, Columnist
Creators Syndicate Columnist
Hoover Institution Senior Research Fellow
Institute for Political Economy Fellow
The Independent Institute Research Fellow
French Legion of Honor (1987)

Author of books:
The Tyranny of Good Intentions: How Prosecutors and Bureaucrats Are Trampling the Constitution in the Name of Justice (2000, with Lawrence Stratton)
Chile: Two Visions -- The Allende-Pinochet Era (2000, with Karen Araujo)
The Capitalist Revolution in Latin America (1997, with Karen LaFollette Araujo)
The New Colorline: How Quotas and Privilege Destroy Democracy (1995, with Lawrence Stratton)
Meltdown: Inside the Soviet Economy (1990, with Karen LaFollette)
The Supply-Side Revolution: An Insider's Account of Policymaking in Washington (1984)
Alienation and the Soviet Economy (1971)
Marx's Theory of Exchange, Alienation and Crisis (1973)

http://www.nndb.com/people/303/000159823/

Tue, 10/02/2012 - 06:19 | 2846533 Urban Redneck
Urban Redneck's picture

I think Gene Fama is still around and would actually be a better choice for influencing the minds that matter.

Although it might be completely counter-intuitive, the Chicago guy with the gravitas (but perhaps not the desire), who could best carry the Chicago banner and KO the Bernanke is probably George Schultz. (Prayers & good luck to anyone trying that sales job...)

Mon, 10/01/2012 - 20:48 | 2847007 inca
inca's picture

[emphasis mine]

How The Government’s Lies Become Truth

by Paul Craig Roberts

In my last column, “A Culture of Delusion,” I wrote that “Americans live in a matrix of lies. Lies dominate every policy discussion, every political decision.” This column will use two top news stories, Iranian nukes and Julian Assange, to illustrate how lies become “truth.”

The western Presstitute media uses every lie to demonize the Iranian government. On September 28 in a fit of unmitigated ignorance, the UK rag, Mail Online, called the president of Iran a “dictator.” The Iranian presidency is an office filled by popular election, and the authority of the office is subordinate to the ayatollahs. Assange is demonized alternatively as a rapist and a spy.

The western media and the US Congress comprise the two largest whore houses in human history. One of their favorite lies is that the Iranian president, Ahmadinejad, wants to kill all the Jews. Watch this 6 minute, 42 second video of Ahmadinejad’s meeting with Jewish religious leaders. Don’t be put off by the title. Washington Blog is making a joke. http://www.globalresearch.ca/horrifying-graphic-video-of-iranian-leader-...

Last week the news was dominated by the non-existent but virtually real Iranian nuclear weapons program. The Israeli prime minister, Netanyahu, blatantly intervened in the US presidential election, demanding that Obama specify the “red line” for attacking Iran.

Netanyahu believes his maximum leverage over Obama, the president of the “world’s only superpower,” is just prior to the election. Israel cannot attack Iran on its own without the risk of Israel’s destruction. But Netanyahu reasons that if he attacks Iran the week before the US election, Obama will have to join in or lose the Jewish vote for not supporting Israel in states such as Florida, which has a large Jewish population and many electoral votes. If the election is close, Netanyahu, a person consumed by arrogance and hubris, might exercise his threat and attack Iran, despite the opposition of former chiefs of Israeli intelligence and military, the opposition party, and a majority of the Israeli people.

That the outcome of the US presidential election could depend upon the agenda of the prime minister of a tiny country that exists only because of US financial, military, and diplomatic support, especially the UN veto, should disturb those Americans who think that they are the “indispensable people.”

The US media makes certain that this question never enters american minds. Americans have been told that if Iran doesn’t have nukes, it has a nuke weapons program. Why do Americans believe Iran has nukes or is making nukes when the CIA says they are not?

more here:  http://www.degaray.com/?p=2583

Mon, 10/01/2012 - 21:05 | 2847051 logicalman
logicalman's picture

Always thought Mr. Roberts had his head screwed on real tight.

 

Tue, 10/02/2012 - 06:27 | 2847658 Urban Redneck
Urban Redneck's picture

Preaching to choir doesn't move the ball down the field.

It's not the people who already dislike (distrust, despise, loathe, etc)  Bernanke & the Fed who need to be convinced.

 

Mon, 10/01/2012 - 14:18 | 2845916 Atlantis Consigliore
Atlantis Consigliore's picture

"YOU LIE Bernanke! http://youtu.be/ov4FKKlkqjM    Weimar FED.

Mon, 10/01/2012 - 14:18 | 2845917 Confundido
Confundido's picture

At the end of the day, even Friedman was in favour of central banking. Fuck them both! Friedman was a fucking disgrace. Mises despised the guy and called him for what he was: An interventionist!

Mon, 10/01/2012 - 14:18 | 2845918 knukles
knukles's picture

Horseshit
Uncle Miltie is spinning in his grave at the blatant abuse of monetary policy... becoming largesse for the uber wealthy.
That is Not What Uncle Miltie Had in Mind

In fact, very far from it.

Well after all one does have to "excuse" Bennie.... He is a neo-Keynesian from Princeton whose never ever in all of his studies of the Great Depression addresses the monetary policy component thereof, anyway.

So like I say about my self, I'll say about Ben

"What the fuck does/do he/I know, anyway?"

Mon, 10/01/2012 - 14:19 | 2845926 Shameful
Shameful's picture

Milton might have.  He supported constant inflation and was the genius behind the income tax being taken out by employers on paychecks.  Inflation and difficult to avoid taxes, thanks Milton.

Mon, 10/01/2012 - 14:39 | 2846030 LULZBank
LULZBank's picture

Benny the psychopath lying about another psychopath.

Atleast they know how to stir controversy... now if Ben is evil than that makes Friedman an Angel... no?

And some morons are falling for it.

http://vimeo.com/26718047

Mon, 10/01/2012 - 14:41 | 2846039 FreeMktFisherMN
FreeMktFisherMN's picture

Friedman was always regarded as the free-marketeer stalwart in times where even the 'conservatives' like Nixon said it was a new Keynesian paradigm, but he clearly did not accept the Austrian school, namely the ABCT. He was just fine with the Fed priming the pump, and while it's not fair to assume he would have supported this uber-dovishness, the moral hazards of dependence of low rates were ultimately going to happen as a result, and his being the free market-man in academia yet still being okay with central banking implicitly probably led to more consensus that there was a role for central banks, as the Austrian school people became more marginalized for their views on sound money.

 

I think Friedman had a libertarian streak, but did not realize or whatever that interest rates are so crucial and that legitimate valuations and assessments of risk are critical to building an economy based on savings and capital investment. 

It's like a 'libertarian' willing to go along with a bailout of a failing company for political expedience or whatever, and attempting to 'assure' people  that it is a just one time, stop-gap measure. Well, the moral hazard permeates and then it becomes accepted that there are TBTF institutions, and then it is a huge problem. 

Mon, 10/01/2012 - 17:33 | 2846166 FreeMktFisherMN
FreeMktFisherMN's picture

Basically, he was a part of abandoning classical liberalism, and with sound money and legitimately- assessed interest rates being so integral to economic prosperity (that is actually merited instead of borrowed from the future), it doesn't matter that he favored markets so much elsewhere. Letting market mechanisms function purges the rottenness out of things via liquidation and bankruptcy, and he obviously thought that the central banks could smooth things over. I don't know what he said about the Depression, but I wouldn't be surprised if he favored the inteventionism and didn't even acknowledge the cause which was govt interference in the markets to blow up the bubble.He is a neo-Keynesian in my book, and being an economics major at a Chicagoland university, it is a shame that kids don't even learn about the Austrian school, or even know of it at least even faintly. Instead it is all Keynesianism and maybe a mention or two of Friedman with the velocity and GDP equation, and students probably think that 'ha, we're smart now with the Keynesian/Krugman thinking, as our professor says that in hindsight we can see that Friedman had flaws in his theory that the Keynesians like Okun and others have fixed.' Thus Friedman becomes the 'poster boy' of free markets in this false dichotomy, when people who actually investigate this know that he was not via things like his favoring of central banks. (And I myself think 'GDP' is a joke, by the way, in line  with the Austrian view that there is no way to 'aggregate' all economic activity [as though all 'output' is the same in value with just one metric], much to the chagrin of BLS et al. bureaucrats whose jobs depend on these calculations-and spinning them for politics-and especially if it is used along with other one-size-fits-all stats to make policy). My point is that, while he is not an Austrian, at least he favored markets and competition, but even he gets marginalized as a 'kooky uncle' by the mainstream economics profs and media. Except maybe with his being okay with the central bank and interventions, because then he becomes an ally to the mainstream as they will say, 'see, even the free market guy favors this.' Basically it is the same as the two party-system in politics, as economics classes don't even give the truly free market-side of things and are averse to the Austrians. Instead it's always interventionism with nonsense like 'social goods' and how to centrally plan things to get an optimal outcome with loads of nonsense like indifference curves and econometrics that is totally against the Austrian school a priori recognizance that each person is an individual and that people make ordinal rankings and not cardinal ones. Individual liberty is valued by capitalists.

Mon, 10/01/2012 - 14:19 | 2845928 Inthemix96
Inthemix96's picture

The bernaknstien lies??

Fuck off, I dont fucking believe it for one minute.

Ben telling fucking porkies?  Who the fuck on here thunk that then?  Tyler, I am truely flabberghasted.

Mon, 10/01/2012 - 14:44 | 2846008 oddjob
oddjob's picture

Certain religions or groups condone lying to non-believers or non-participants, and is treated as acceptable practice when trying to further their own agenda.

Mon, 10/01/2012 - 16:14 | 2846355 Grinder74
Grinder74's picture

Slander!!!!eleventy!!!1!!!!!!

Mon, 10/01/2012 - 14:20 | 2845936 holdbuysell
holdbuysell's picture

Looking forward to seeing the transcript from Bernanke's Q&A:

From Bloomberg TV Headline, Bernanke said something to the effect of, "It would be a bad idea if Congress audits the Fed."

Mon, 10/01/2012 - 14:22 | 2845953 knukles
knukles's picture

Yeah.. for the politicans and their financial enablers.

Mon, 10/01/2012 - 14:21 | 2845939 polo007
polo007's picture

http://michael-hudson.com/2012/08/fireside-on-the-great-theft/

Prof. Hudson: Central banks began to be created in 1694 with the Bank of England, and down to the Federal Reserve in the United States in 1913 their function was to finance government budget deficits by printing money. All governments over time run deficits – at least, most of the time – because that is how they supply the economy with the purchasing power and the money it needs to grow. The role of a central bank is to create money to finance the deficit.

If it does not do this, then the commercial banks end up performing this function. However, the commercial banks creating credit on their own computer keyboards have a different role from that of the central bank. When the central bank finances government spending, this is supposed to promote growth, full employment and industrialization. But that is not the object of a commercial bank. Banks, in the first instance, make loans against property already in place – mainly real estate and also the buyout of entire corporations. So they provide credit that bids up the price of housing, making it more expensive for workers. They also loan to buyers of commercial buildings, making it more expensive to do business, Takeover loans enable corporate raiders to bid up the price of stocks and bonds, making them yield less, so it costs more to buy a retirement income. And now, commercial banks are moving from finance capitalism to casino capitalism to make big gambles. They are essentially financing gambling. That’s what derivatives and “hedge fund” trading are.

None of this funds industrial investment. From the United States to Germany, almost all industrial capital formation is now funded by the retained earnings of corporations, not by bank borrowing. Even the stock market does not fund new direct investments. It has become a vehicle for corporate raiders to go to the banks to borrow the money, to buy a corporation on credit with junk bonds, retire the stock, and use the corporate profits to repay the banks – and then try to steal for themselves the pension funds, or sell off the assets, or just work the labor force more intensively; longer hours, outsource labor and move to the un-unionized labor. So the banks are no longer part of the industrialization process; they are part of the de-industrialization process. This is applauded as the post-industrial economy.

....

Prof. Hudson: So the flip side of asset price inflation is debt deflation. More and more money has to be spent to carry the debt overhead. The problem is not central banks financing domestic government budget deficits. Every hyperinflation in history has come as a result of the collapse of the balance of payments. The Germans are most familiar with 1921, but they tend to forget that the Weimar inflation was a result of Germany trying to pay reparations abroad. They were ordered by the Allied powers to print Deutsche Marks not for domestic spending, not to run a domestic deficit, not to rebuild Germany, not to employ labor, but to throw reichsmarks onto the foreign exchange market to obtain the foreign currency to pay the Allies, so that the Allies could turn around and pay the arms debts for what they bought from the United States before entry into World War One. It was the collapse of the foreign exchange that caused the hyperinflation, not domestic spending. And Germany’s hyperinflation was not cured by the central bank creating less money. It was cured by setting up a triangular flow of international payments. American bondholders would lend money to German municipalities that would issue bonds. The municipalities would receive dollars, and turn them over to the Reichsbank. It then would issue German currency against this for local spending – using the dollars to pay the Allies. The Allies would pay America, and that would keep the circular flow going. But to do this, interest rates had to be held down in the United States, to make German and other European borrowing more profitable for international lenders.

Mon, 10/01/2012 - 14:21 | 2845941 Cognitive Dissonance
Cognitive Dissonance's picture

4 out of 5 dead dentists also support what the Fed is doing.

Mon, 10/01/2012 - 15:26 | 2846188 leftcoastfool
leftcoastfool's picture

Yeah, but 9 out of 10 dead proctologists would have said Bernanke is full of shit...

Mon, 10/01/2012 - 16:53 | 2846486 ebworthen
ebworthen's picture

And the other one said he had some nasty looking polyps.

Mon, 10/01/2012 - 14:21 | 2845944 Dr. Engali
Dr. Engali's picture

The Bernank lying? Say it isn't so.

Mon, 10/01/2012 - 14:22 | 2845946 slaughterer
slaughterer's picture

BB speech: not enough to save AAPL from the sharks today.  

Mon, 10/01/2012 - 14:22 | 2845954 polo007
polo007's picture

According to former Morgan Stanley chief economist Stephen S. Roach:

http://www.project-syndicate.org/commentary/federal-reserve-quantitative-easing-ecb-emerging-economies-by-stephen-s--roach

The disease is a protracted balance-sheet recession that has turned a generation of America’s consumers into zombies – the economic walking dead. Think Japan, and its corporate zombies of the 1990’s. Just as they wrote the script for the first of Japan’s lost decades, their counterparts are now doing the same for the US economy.

Two bubbles – property and credit – enabled a decade of excessive consumption. Since their collapse in 2007, US households have understandably become fixated on repairing the damage. That means paying down debt and rebuilding savings, leaving consumer demand mired in protracted weakness.

Yet the treatment prescribed for this malady has compounded the problem. Steeped in denial, the Federal Reserve is treating the disease as a cyclical problem – deploying the full force of monetary accommodation to compensate for what it believes to be a temporary shortfall in aggregate demand.

Mon, 10/01/2012 - 14:23 | 2845955 Quinvarius
Quinvarius's picture

I wish that was the only lie he told today.  He made my head explode.

Mon, 10/01/2012 - 14:24 | 2845959 polo007
polo007's picture

http://www.fxstreet.com/news/forex-news/article.aspx?storyid=91eee959-6885-4464-a019-e3df706dbe69

The three ways in which QE3 can succeed:

“The first being the direct effect via the impact on the prices and liquidity of the assets purchased – in this case, mortgage-backed securities (MBS).But US mortgage rates are already very low and the housing market is recovering of its own accord.”

“The second route is the diffusion of the additional money through the economy.” However they add that simply swapping relatively liquid securities for cash doesn’t necessarily result in stronger growth in the broad money and credit aggregates which really matter. They highlight the plight of Japan and more recently the UK as examples of this. They also note that the USD has also already fallen substantially since its 2009 peak and is more likely to rebound as and when the crisis in the EZ escalates again.“

Finally there is the potential boost to confidence from the Fed’s open-ended commitment to buy more assets until the labour market improves.” However, they feel that it is debatable whether this is a 'gamechanger’. They note that “Most people would surely already have expected the Fed to loosen policy further if unemployment remained high.”

Instead, Capital Economics expect the focus to return to the deterioration in “underlying economic and financial onditions that made the additional stimulus necessary in the first place.” Something which they feel could already be happening.

Mon, 10/01/2012 - 14:25 | 2845964 topspinslicer
topspinslicer's picture

Hey call me crazy but I just assume every freaking thing out of benny at the fed's mouth is a lie to cover-up the government-central banker bull sheet. My batting average on that assumption has not made an ass out of you or me -- it's crazy!!!!

Mon, 10/01/2012 - 14:41 | 2846046 Quinvarius
Quinvarius's picture

Hey, we just met.  And, this is crazy.  The inflation is killing me.  Will you buy my baby?

Mon, 10/01/2012 - 14:26 | 2845968 calgal
calgal's picture

Dr. Jekyll Island and Mr. Bernanke

Mon, 10/01/2012 - 14:30 | 2845987 ebworthen
ebworthen's picture

Friedman would not have argued for bailouts or buying MBS's in perpetuity, no way.

Mon, 10/01/2012 - 14:32 | 2845997 bugs_
bugs_'s picture

what other dead big shots would support the Fed?

How about Stalin?

Mon, 10/01/2012 - 14:32 | 2845998 vote_libertaria...
vote_libertarian_party's picture

BB also mentioned 'people' were willing to buy the 30 yr with rates under 3%.

 

Uhhhhhh NO!  BB, YOU are buying 80-90% of those because nobody else will.

Mon, 10/01/2012 - 14:34 | 2846006 bugs_
bugs_'s picture

so we call the Bernank "Benocchio" now?

Mon, 10/01/2012 - 14:39 | 2846026 kalum
kalum's picture

Bernanke. May he RIH

Mon, 10/01/2012 - 14:37 | 2846018 alien-IQ
alien-IQ's picture

Bernanke lying is News? Seriously?

Mon, 10/01/2012 - 14:38 | 2846019 Seasmoke
Seasmoke's picture

the sooner he ends up with Milton Friedman, the sooner they can discuss this

Mon, 10/01/2012 - 14:41 | 2846043 kalum
kalum's picture

Your post gets a "like"

Mon, 10/01/2012 - 15:29 | 2846191 ZeroAvatar
ZeroAvatar's picture

Hopefully they'll BOTH be spinning in their graves soon.  Friedman, a rapid, smooth spin.  Very little vibration.

 

BERSKANKE, on the other hand, will have a slow, uneven tumble, as if on a spit that gets caught occasionally on the coffin lid, only to break free and repeat the process, ad infinitum.

Mon, 10/01/2012 - 14:39 | 2846023 Big Ben
Big Ben's picture

So the FOMC is now using spirit boards and seances to determine monetary policy. But how does Bernanke know that it was Friedman he was connected to and not Arthur Burns?

Mon, 10/01/2012 - 14:41 | 2846044 Shameful
Shameful's picture

I think contacting a medium might actually result in better monetary policy...can only hope Rothbard muscles his way to the front of the line to possess Zimbabwe Ben.

Mon, 10/01/2012 - 14:51 | 2846091 Cognitive Dissonance
Cognitive Dissonance's picture

You mean re-possess Zimbabwe Ben because he's already possessed.

Mon, 10/01/2012 - 14:40 | 2846037 Turin Turambar
Turin Turambar's picture

Anybody else tired of the deification of Friedman?  Yeah, he had some good stuff to say, but for heaven's sake, it's not like the guy was Mises or Rothbard.  He was one of many dumbass supporters of fiat currency.

Mon, 10/01/2012 - 14:41 | 2846045 A_MacLaren
A_MacLaren's picture

So what exactly did the Bernank say?  I missed it.

Mon, 10/01/2012 - 14:42 | 2846051 PUD
PUD's picture

Yes, he's a fucking liar and fraud...but will he still by ma sell pone?

Mon, 10/01/2012 - 14:43 | 2846057 Shizzmoney
Shizzmoney's picture

Fuck Bernanke and Friedman.

Mon, 10/01/2012 - 14:44 | 2846061 PTDBDucks
PTDBDucks's picture

Hypothetically, if

...now be sure to understand that I'm saying IF

....you know, speculating

...IF someone on a non-government body, say like, maybe, just maybe,

....like you know, The Federal Reserve or a head of state had just a tiny, weenie

....you know, like  small, miniscule, (ahem) drug problem

.....or psychological imbalance that would inspire others to describe him as "insane", "crazy", "serial printer", "terrorist", maniacal, etc.

....is there now a legal mechanism in place that would help that person & stop the destruction?

 

You know, if it were a person in great power  that controls the future of the world. I mean, like considering, what hapened before.

(PS Disclaimer....it ain't me, babe)

Mon, 10/01/2012 - 14:47 | 2846075 Perdogg
Perdogg's picture

The question is, How is the Fed going to keep rates at 0% when the mighty stagflation hits hard next quarter?

Mon, 10/01/2012 - 15:07 | 2846140 MiltonFriedmans...
MiltonFriedmansNightmare's picture

Has anyone noticed that The cost of electricity is expected to skyrocket because of Barry O's shuttering of more than 200 coal-fired electric plants, plants that had produced electricity at a cost of $4.00/megawatthr, replacing them (maybe someday) with green sources at a cost of $25.00 or more?

Mon, 10/01/2012 - 15:49 | 2846274 JR
JR's picture

The problem the Fed has is to outlast fears of the coming/ongoing recession with its myth of recovery, from the recession of which we technically are not in, in order to get Obama and favorite incumbents reelected. Ironically, it is the Fed that defines the parameters that determine the legal definition of “recession,” of which we technically are not in.

Bernanke is trying hard to help fiscal policymakers in the Congress and the Administration not to “throw the economy back into” recession, of which we technically are not in, when it “will soon have to address the so-called fiscal cliff, a combination of sharply higher taxes and reduced spending that is set to happen at the beginning of the year.”

“They must find ways to put the federal budget on a sustainable path, but not so abruptly as to endanger the economic recovery in the near term,”  from the recession of which we technically are not in.

Mon, 10/01/2012 - 15:00 | 2846122 Joebloinvestor
Joebloinvestor's picture

I hope Ben lives long enough to read and see the damage he has done.

Furthermore, I hope history ravages his name and reputation for the fool he is.

Mon, 10/01/2012 - 15:08 | 2846143 MiltonFriedmans...
MiltonFriedmansNightmare's picture

It will be the job of the monks to transcribe the atrocities.

Mon, 10/01/2012 - 15:32 | 2846205 Joebloinvestor
Joebloinvestor's picture

We may just end up with a Babylon 5 type ending. 

Mon, 10/01/2012 - 16:00 | 2846307 knukles
knukles's picture

elegant, beautiful....

the immoralization of dystopia

Mon, 10/01/2012 - 15:07 | 2846141 Gnome Deguerre
Gnome Deguerre's picture

Milton Friedman... This pervasive notion that a guy who championed fiat money, central banking, price controls on interest, Keynesian stimulus as the recession anti-dote, and constant inflation is somehow a champion of "free markets" is comical.  Of course, Wall Street types like to delude themselves with that phony free market meme so they nuzzle up to the Fed's teat without any cognitive dissonance.

 

Mon, 10/01/2012 - 15:08 | 2846145 ThisIsBob
ThisIsBob's picture

To paraphrase George  Carlin:

Bernanke is serving his constituency, and you ain't in it.

Mon, 10/01/2012 - 15:09 | 2846149 Clowns on Acid
Clowns on Acid's picture

Bernanke has been " all in" with his money printing fiasco for 6 months now.

Jim Rogers predcited this 1 year (or more) ago. Bernanke cannot turn back without a total collapse of bond and equity markets, and complete global economic systemic lock up.

Bernanke, ECB, and BOJ have no where to go but to the money presses. Timing is difficult but the markets will figure it out in the next 3 months. The vaporous bottom will then fall out and mayhem ensues.

The only question is if the vaporous bottom falls out before or after the US Pres election.

Mon, 10/01/2012 - 15:16 | 2846163 MiltonFriedmans...
MiltonFriedmansNightmare's picture

Kyle Bass also said it; there is no leaving the Zerobound

Mon, 10/01/2012 - 15:11 | 2846153 q99x2
q99x2's picture

Arrest him. Someone call the police.

Mon, 10/01/2012 - 15:34 | 2846213 AnAnonymous
AnAnonymous's picture

'Americans' have a right to arrest.

Mon, 10/01/2012 - 15:45 | 2846229 akak
akak's picture

Chinese Citizenism citizens have a right to shit on the sides of the road.

But the dogmeat-defecating ass is the king ass, so ....

Mon, 10/01/2012 - 16:31 | 2846424 TheFourthStooge-ing
TheFourthStooge-ing's picture

Chinese citizenism citizens have a right to digest......their neighbors' pets.

Mon, 10/01/2012 - 15:18 | 2846168 PTDBDucks
PTDBDucks's picture

These are 7 non-elected Members of the Federal Reserve and they are spewing out experimental policies that control the future of the world. Shouldn't the Senate and Congress be making these decisions? The Fed may think that they are just rubbing academic sticks together but if they start the prairie grass wildfire of inflation they won't be able to control it.

I mean, what's the use of all this election machinery if their realm of action is limited by the decisions of 7 un-elected people?

It would be refreshing if somebody would have the balls to raise that question in the debates?

Mon, 10/01/2012 - 15:50 | 2846279 MiltonFriedmans...
MiltonFriedmansNightmare's picture

The CIA is not elected, and they too have a bit of influence on policy initiatives. The USA, a shining example of representative democracy, or the ultimate sham?

Mon, 10/01/2012 - 15:32 | 2846199 orangedrinkandchips
orangedrinkandchips's picture

ok. So, in both instances, the 1930s and now, you HAD to have the bankers fail, but in an oerderly fashion.....a fumble is a fumble, but pick off the pack one at a time.

So your depositors are whole and then auction off the rest of the shit and the other fools get whats left.

 

Of course if you bail out once, it's a guaranteee so load up.

 

I liked how she said the daily PR blasts to give sugar to the markets....(Markets go up....beat off, repeat if necessary)

Of course the main problem EVERYWHERE IS A LACK OF CONFIDENCE which is growing and growing....THAT is scary.

 

He is fighting this war the way it should have been fought back then.....

 

Now these daily orgasms are getting less and less affective and then when one's dick doesnt get hard after a few blue pills.....oh boy..

Mon, 10/01/2012 - 15:31 | 2846200 Bastiat009
Bastiat009's picture

Every single human being working in DC and drawing a pay check from the government (or the banks) lies for a living. What else is new?

Mon, 10/01/2012 - 15:32 | 2846204 AnAnonymous
AnAnonymous's picture

Getting the dead to speak.

An 'american' speciality. Nobody ever went to the WH, full of actors around, reenacting the FF, supposedly answering to questions as FF would have.

Quite a funny lot actually, as they can be easily exposed in any of 'americanism''s shortcomings.
Police officers graviting are less a funny lot though...

Back to the point though: getting the dead to speak.

Ben Bernanke is toying with inflation on a global scale to protect the 'american' middle class grip on the world consumption.

Ben is starving people around the world to soften their determination etc

Classic job when you run an extorting of the weak, farming of the poor scheme.

So he claims support from a dead guy who is unable to assess current situation because of his terminal situation...

Bernanke is obsessed with making history and how he will be perceived in the future. He is giving his chap Friedman a case for salvation. By claiming he would support his inane policies, he offers an opportunity for that 'american' woman to paint Friedman in a warmer fashion, a way that could let you think that the 'american' friedman know of certain human feelings or virtues.

Well done, Ben. Helping a dead man to enter history as a just, generous, compassionate chap he never was. An 'american' hero...

It will only be fair that in the future after ben's death, another 'american' gives the same opportunity for the late Ben...

Mon, 10/01/2012 - 15:43 | 2846262 akak
akak's picture

 

Police officers graviting are less a funny lot though...

Indeedwise, the graviting of police officers is the very mattering thing, very much something, the crustiest bit of it.

Mon, 10/01/2012 - 15:52 | 2846285 MiltonFriedmans...
MiltonFriedmansNightmare's picture

And in other breaking news, Lee Harvey Oswald confesses, details at 10.

Mon, 10/01/2012 - 16:40 | 2846452 TheFourthStooge-ing
TheFourthStooge-ing's picture

AnEncephalous said:

Back to the point though: getting the dead to speak.

Why bother going to the effort? Much more sensible to use lightning powered Ben Franklin inventionated time travelling flying rickshaw of AnAnonymousitizenism. Travel to the past to observe events as they transpire, such as in 1492 when George Washington and Abraham Lincoln invaded and conquered Easter Island, claiming it for the US of A.

Bernanke is obsessed with making history and how he will be perceived in the future.

AnAnonymous is obsessed with rewriting history and how he can blame US 'american' citizenism citizens for all problems of the past, present, and future.

But hey, anencephalic is as AnAnonymous does, so...

Mon, 10/01/2012 - 15:35 | 2846219 Everybodys All ...
Everybodys All American's picture

Bernanke exit strategy for and of the Fed. Involves him in a heliport on his way out to some South American dictatorship. This man should be arrested before he does any further damage.

Mon, 10/01/2012 - 15:38 | 2846240 tuttisaluti
tuttisaluti's picture

BeBe is woers than a heap of shit.

Mon, 10/01/2012 - 15:45 | 2846265 orangegeek
orangegeek's picture

Milton Friedman was a big believer in stimulus at four year market highs.

 

http://bullandbearmash.com/chart/standard-poors-500-weekly-september-28-...

 

The Bernake is pathological.  Hopefully that tumor doesn't get too big in the process.

Mon, 10/01/2012 - 16:05 | 2846324 Tenshin Headache
Tenshin Headache's picture

Not the first time Bernanke has told a whopper, and I'm sure it will not be the last.

I hope that article is widely read.

Mon, 10/01/2012 - 16:13 | 2846352 Mr. Hudson
Mr. Hudson's picture

Maybe we could create a currency backed by "Craigslist". Americans are getting real good at buying and selling used stuff, and they seem to be doing very good over there.

Mon, 10/01/2012 - 16:51 | 2846484 Goatboy
Goatboy's picture

Sad is society in which officials struggle to imagine what some Milton might have said.

Mon, 10/01/2012 - 17:03 | 2846517 GreatUncle
GreatUncle's picture

Interesting read.

On Friedman his was only theory of trying to model events that had occured before. The thing is he would probably tell us not to do that but the bankers went and did it anyway.

In the end we end up where Friedman thought we would :-)

By taking the path we did we changed the economic model he used to forumulate his theories. So the economy is now nothing like Friedman observed then and now we try to apply his theories too it and it does not have the desired effect.

The global economy is a radically differerent beast to what it was when Friedman was putting together all his theories because "we went and bloody changed it".

Right theory wrong economic model or wrong theory right economic model?

Mon, 10/01/2012 - 17:06 | 2846522 Benjamin Glutton
Benjamin Glutton's picture

If the Bernank was referring to the economic attack on America, initiated in 2001 BY the FED and it's associates, then I agree. Wasn't destroying nations economies in South America Mr. Freidman's specialty?

Mon, 10/01/2012 - 17:42 | 2846604 Future Jim
Future Jim's picture

Who cares if Friedman would agree? Bernanke is wrong, and if Friedman would agree, then Friedman would be wrong.

Mon, 10/01/2012 - 17:48 | 2846617 plumber9
plumber9's picture

if i shit on the side of the road.. won't i be labeled a TERROIST ??

Mon, 10/01/2012 - 17:48 | 2846618 plumber9
plumber9's picture

if i shit on the side of the road.. won't i be labeled a TERROIST ??

Mon, 10/01/2012 - 17:49 | 2846622 dadichris
dadichris's picture

Awash in liquidity? Learn to swim bitchez

Mon, 10/01/2012 - 17:57 | 2846631 exartizo
exartizo's picture

Bernanke is simply doing the bidding of his masters.

His statement is simply a Smoke Screen. In the guise of "preventing another Great Depression".. which never was and never will be his primary interest.

Rather the deliberate destabilization of world economies by printing the World Reserve Currency into oblivion has tangible and predictable consequences as can be seen from growing world wide social unrest caused by continuous re-allocation of scarce resources.

It is no secret that the true nature of the uprisings in the Middle East and many other places has nothing to do with The Pie In The Sky Idea Of Political Change but rather everything to do with the simple idea of Putting Food On The Table.

The end goal does apparently seem to be to provoke destabilized world powers into the types of confrontations that are now becoming increasingly noticeable.

Apparently, someone thinks world war is a good way to SOLVE problems.

Mon, 10/01/2012 - 19:43 | 2846694 muppet_master
muppet_master's picture

it was the RAPIST QEorganizer..

trickle-down odummernomics that told his most faithful servant banksternankQE to tell a "MASSIVE LIE"...just "another lie"

did the muppets get to BUY HIGH spx @ 1460+?? close @ 1444..LOL !!! been riding SHORTS since 1475....and eur since 1.315 yawn !!

Mon, 10/01/2012 - 18:23 | 2846698 Seal
Seal's picture

 

AND let no stone be unturned at exposing the fallacious eCONomic follies of Bernank’s mentor SIR Alan Greenspan, the now octogenarian idiot who is the main cause of the mess we are in. 

 

Mon, 10/01/2012 - 21:06 | 2847055 WhiteNight123129
WhiteNight123129's picture

Friedman was a hack,he could not make the difference between monied capital and circulation and lumped the two together into   "velocity" as a plug for ignorance.

 

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