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The Failure Of The Fed's 'Wealth Creation' Mandate (In 1 Simple Chart)
Having previously shown just who did (and did not) benefit from the resurgence of household net worth, we thought it time to provide the context for why The Fed's stunningly obvious policy of juicing asset inflation in the hopes of engorging animal spirits among the general population and a renaissance in public spending is a total and utter wealth-inequality-driving farce. As Evergreen Gavekal indicates so obviously, the consumer isn't fooled by Fed policy; despite a major uptick in household net worth, spending remains anemic.
Simply put - 3rd time was not the charm... and as is evident the 'transmission' to spending is getting less and less effective with each new Fed-driven, cheap/free-money inspired boom (and bust)
Source: Evergreen Gavekal
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Fuck these cocksucers
"the consumer isn't fooled by Fed policy; despite a major uptick in household net worth, spending remains anemic."
I don't think that is a very accurate statement. The average consumer, in fact, does't have a choice because she simply doesn't have the money to spend.....This could only have been written by a member of the 1% in a totally out of touch "Why aren't they eating cake?" sort of way.
my friend's step-sister makes $67 every hour on the computer . She has been fired from work for 7 months but last month her pay check was $14130 just working on the computer for a few hours. blog here... www.Yelptrade.com
She must be on one of those online sex cam sites. I didn't know it was so profitable. She must be a real cunt, just like you.....
Considering how much competition is out there, she must doing something really special to be on that kind of money...
Ping pong balls, opening beer bottles? But I could, should I be so inclined, get that in Bagkok for a few bucks. And I guarantee they are one hell of a lot better looking than your step sister in-law in Trenton.....
bad spelling ....Cocksuckers
It should be pretty obvious by now that the cocksuckers are nothing more than the tribe's reserve.
"and as is evident the 'transmission' to spending is getting less and less effective with each new Fed-driven, cheap/free-money inspired boom (and bust)"
Liquidity Trap
Or, Trap Liquidity.
Gee, who could have guessed that interjecting the eCONomy with a few trillion worth of DEBT would not create WEALTH?
Debt is money. You didn't know that?
Well if money is time, and debt is money, then by all means debt is time.
Debt IS money, but money IS NOT time. Debt has a time component, thus the various measures of money supply do have a time component.
99% of this household wealth increase is concentrated in the top 1% of the population. Only so many yachts you can ski behind. This group does not plow a large percentage of their income into economy supporting activity. Houshold wealth for the vast majority of the population has decrease over the past five years.
The Fed was hoping they would borrow to spend.
The Fed doesn't understand how the economy works if this was their hope. All they understand is what it's like to rake in huge salaries. Doesn't everyone? Over 100 of those Fed administrative suckers making over $250,000 a year. More than Yellen. Failed policy. Just like every other Fed intervention in the past two or more decades.
Just to follow up a little bit. First, the 111 Fed administrative know nothings mentioned above are near the most complete waste of $30,000,000 one can imagine. Second, the actions of the Fed have nothing to do with improving the economy and everything to do with a six year continuous bailout of the country's TBTF banks at the expense of the middle class. Period, end of story. It would be near impossible to dream up a policy that would do more damage to the majority of the US population.
Lastly, just for definition as some may claim the overpaid administrative know nothings mentioned above must actually be extremely skilled to be able to perform a six year continuous bail out the TBTF banks. I'm here to tell you that it's not that difficult to find the Ctl-P button on the office PC.
they just buy up the commodities you require. Blackstone is the biggest homeowner in the country. Goldman makes the majority of its money trading commoties. Beef, oil...etc
It would take a complete moron to think the monetary pumping was in any way intended to help the man on the street. jeez
EBOLA – CIA Project Codename MKNAOMI & Hi-Tech Assassinations
In 1948, Henry Kissinger, a 23-year-old American intelligence officer, recruited Nazi expatriates to serve in top positions in American military, aerospace, and biological science and medicine. Twenty years later, he left Harvard’s esteemed faculty and resigned a lucrative position as Nelson Rockefeller’s foreign policy attache’ to become President Nixon’s closest advisor and director of the National Security Council. Seeking alternatives to tactical nuclear weapons to bolster America’s “diplomacy” abroad, the paranoid and egomaniacal Kissinger quickly ordered the Army’s Chief of Staff to requisition $10 million from Congress for the development and testing of EBOLA & AIDS-like viruses. Within ten years, the AIDS and Ebola epidemics erupted coincidentally in the regions of Africa ravaged by CIA military covert operations also ordered by Kissinger.
In 1984, Dr. Robert Gallo, of the National Cancer Institute, claimed credit for discovering the AIDS virus. He announced it most likely originated from a monkey virus which spontaneously mutated and naturally jumped species. Dr. Gallo was a biological weapons contractor for the CIA’s top secret “Project: MKNAOMI,” and was paid to produce and test EBOLA, AIDS-like viruses as early as 1970.
EBOLA – CIA Project Codename MKNAOMI & Hi-Tech Assassinations
Pump till you dump.
25 OCTOBER 2014
Yellen's Trickle Down Dilemma
Why is the economy so sluggish?
Even if real wages are stagnant, and consumers are tapped, the Banks have been saved and stand ready to loan from an abundance of freshly created money (that they can obtain for almost nothing).
Why won't consumers make a leap of faith and borrow more, betting their last assets on an indifferent Congress and an elusive recovery?
It's heads we win and tails you lose for the bailout Banks.
And from a Banker's perspective it probably makes sense." jca
end quote.
http://jessescrossroadscafe.blogspot.com/
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Talking Heads - Once In A Lifetime (Full Length Version) (1980/ 2013) (HD)
http://www.youtube.com/watch?v=98AJUj-qxHI
I know a lot of bankers and they all HATE the ZIRP because their net-interest margins are at record lows - NONE of them wants to make long-term loans at such absurdly low interest rates.
The reason why none of them are protesting in public is that the FED is their regulator and would squeeze their financial balls if they spoke out.
In Maslow's "Hierarchy of Need", spending is unequally divided among each category, but certainly the base levels must be satisfied before subsequent levels will be concentrated on (in most cases). Unlike most of the rest of the world, the developed have largely satisfied what money can buy in the first 3 levels and spending is concentrated on esteem (and above), which is not necessarily a virtue and requires a deep seated insecurity sometimes bordering on a psychosis to pursue monetarily. Thankfully, on the continuum esteem, so long as this psychosis does not approach "hoarding" or beyond, developed society has long encouraged and still implores the ill to "shop until they drop" or some other such abuse like gluttony, alcoholism or drug abuse (- so long as these activities are/were performed in a socially responsible manner). But recent social shifts (on a 100 year timeline) by policy makers under the guise of social costs has begun the drum beat to "call out" obesity, smoking or even freedom of movement. It's ok to own 500 cars so long as they are not rusting in your front lawn. To own 500 pairs of shoes so long as you donate them for the people of Africa to wear second hand thanks to a benevolent charity that sells them in bulk by the pound to pay for the Executive Director's $100,000+ salary. I'd like to go on with this unintelligible pseudo-rant, but I'm out of time. Thanks for playing along, please feel free to develop this into a full thesis while I drift off into the weeds of needs.
Reminds me of 1913 .
Everybody sees the disaster coming , but they hastily clap the blinkers back on .
Future harm does not affect present behaviour .
The definition of an animal .