Saturday, January 24, 2009

This is Helicopter Ben in Action

From this link you can see how the fed has expanded, blown up, given steroids,monster sized the money supply. There will be inflation when this money starts to make its way through the economy. Who will borrow it? Using what for collateral? Will anyone care, or just assume if the loan goes bad theFed will absorb it too? We are going in a wrong direction.

http://research.stlouisfed.org/publications/usfd/page3.pdf

The increase seem unbelievable. Gary North calls this sheer panic.

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