Monday, July 26, 2010

Money for Nothing

Well I have read it all now, apparently that giant debt clock in New York is a figment of everyone's imagination and all everyone in the U.S of A has to do is take out a large order from Viking Direct and order a few truck loads of photocopying paper and head off down to the nearest mint. According to Ellen Brown this is an actual solution (well with my hyperbole Irish slanted take on the article removed).

Market jitters may be a hazard, but if the U.S. finds itself with government bonds and no buyers, it will no doubt resort to quantitative easing again, just as it has in the past -- not necessarily overtly, but by buying bonds through offshore entities, swapping government debt for agency debt, and other sleights of hand. The mechanics may vary, but so long as "Helicopter Ben" is at the helm, dollars are liable to appear as needed.
Now I've read the post (see here) three or four times and I still can't make head no tail of it. Is it possible to wrack up that much debt and then use monopoly money to pay the person who holds risk off with it? Surely there is something amiss.


That being said some of the commentators are capable of making sense (popular politics take note!). Anyways it will all probably be traced back to Breton Woods and something to do with the whole supply and demand thing. But  as in all things Dire Straits know best......Money for Nothing.







And just cause I like the song....