Tag Archives: quantitative easing


When Howard Cosell asked Mohamed Ali where he aimed his punches, Ali said “I aim for the back of the head.”  Mohamed Ali fought like a champ.  Republicans, on the other hand are given to pulling their punches.  Not Rick Perry.

It would be treason, Perry says.

“If this guy prints more money between now and the election, I don’t know what y’all will do to him in Iowa, but we would treat him pretty ugly down in Texas,” Perry said to laughter from supporters in Iowa.

“Printing more money to play politics at this particular time in American history is almost treacherous, treasonous in my opinion,” he said.

Ears on the Right heard NO MORE STIMULUS!  Ears on the Left heard only a blasphemous threat.  Those in the middle are provoked to thought.  In my opinion, it was a gotcha that won’t get.  Any sane person knows the comment was a slander, not a real threat.  Slanders are the spice of choice in political campaigns.  Bernanke is a good guy and Perry knows it.  But even good guys make mistakes.

Now about the Fed.  When interest rates are six percent, lowering them to five will promote borrowing by consumers for refrigerators and cars and borrowing by businesses for expansion.  It can poke an economy and get it to move.  But lowering rates from near zero to nearer zero is like trying to move the economy by pushing on its string.  What the economy needs is not another Quantitative Easing.  What the economy needs is a president who isn’t a business killer.


The Random Thots Bird Dog points to current items of special interest. Occasionally, he flushes something out from the past that merits fresh attention as well. We recommend you use the links to read the full articles.

Fed Up with the Fed?  by Thomas Sowell
Dr. Sowell presents some examples of propagandic.

It was an act of war when we started bombing Libya. But the administration chose to call it “kinetic military action.” When the Federal Reserve System started creating hundreds of billions of dollars out of thin air, they called it “quantitative easing” of the money supply.

When that didn’t work, they created more money and called it “quantitative easing 2” or “QE2,” instead of saying: “We are going to print more dollars– and hope it works this time.”

Sowell has this to say about the government’s strategy of digging deeper to get out of the hole.

Those who are true believers in the old-time Keynesian economic religion will always say that the only reason creating more money hasn’t worked is because there has not yet been enough money created. To them, if QE2 hasn’t worked, then we need QE3. And if that doesn’t work, then we will need QE4, etc

Henry Morgenthau, Secretary of the Treasury under President Franklin D. Roosevelt, said confidentially to fellow Democrats in 1939: “We have tried spending money. We are spending more than we have ever spent before and it does not work.”

Paul Krugman, are you listening?

Some headlines worth a Google

No immediate boost for Obama in the polls

Bin Laden living in the same house for 6 years

The couriers‘s fatal phone call

Waterboarding gets the credit