Quantitative Easing = keep prices up

Indexing (0.00 / 0)

the price of food to the price of gold gives a nice graph, but it's not based in reality....as in....though food prices have gone up over the last decade, it's nowhere NEAR the 100% increase portrayed by indexing it to gold.  This disparity is simple because we are not on the gold standard, so tying the purchasing power of a dollar to the price of gold isn't accurate.

I've tracked EVERY food product I've bought since 2004 and NONE of them have gone up anywhere near "doubling"....me having a 50% loss of buying power with my dollar.  Highest price increase is in the meat category, mainly beef.....mainly steak tips and ribeye steaks.  Most come somewhere between 12-50%, with 12% being coffee and 50% being meat.

Them calling it "quantitative easing" just sounds better than "nationalizing debt"...but that's exactly what it is.  It's the same war of the words that brings us the nice and easy sounding "dilation and excision" procedure.  "Hey, I'm having a dilation and excision today?? Yay!!"

YES....nationalizing debt weakens the dollar.

"I acknowledge having racist and classist and sexist feelings of white male superiority." -John Howard

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by: ElectricStrawberry @ Thu Jul 26, 2012 at 15:34:25 PM UTC

I think central bankers would honestly argue (0.00 / 0)

I think central bankers would honestly argue that they are just trying to keep prices up so that more homeowners aren't caught underwater on their mortgages.

I didn't put the food/gold graph up there, but I don't disagree with it. There's a reason we were never on a food standard, but we were on a gold standard. I would guess that even farmers saw a decline in their real income because of weaker demand and more price pressure from BJs, Costco etc.

The point is that central bankers will say they are fighting "deflation", when what they are fighting is an overall shrinkage in the reported size of our economy. Prices fall when the economy shrinks. Q.E. is an effort to just cross out one number and write in another and hope that makes a difference. I'm not sure it's the wrong thing to do given the fiscal situation etc, and I agree that it's brought on by overpromising and overspending by the government and underproducing in general.

I just don't think it's worth saying "monetary stimulus" any more. They should just call it "raising prices".

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by: seascraper @ Thu Jul 26, 2012 at 20:56:43 PM UTC

[ Parent ]

It's not just about fighting deflation. (0.00 / 0)

Monetary expansion seems to be aimed at boosting housing and stock prices specifically... and, in turn, to stimulate consumer spending.  Distorting markets is what got us into trouble -- it won't be what gets us out.  Right now the Fed is only buying us uncertainty and lots of government spending.

If we're lucky, John Taylor is the man Romney will choose to replace Bernanke.

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by: Couves @ Thu Jul 26, 2012 at 21:40:20 PM UTC

[ Parent ]

Look what happens when QE announced (0.00 / 0)

I think you're right, I heard the announcements from the ECB head this morning and follow-on expressions from the Fed, and look what happens: equities up, gold up, dollar weakens and commodity prices up, Treasuries down.

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by: seascraper @ Fri Jul 27, 2012 at 01:30:20 AM UTC

[ Parent ]

I am converting more of my yard to vegetable gardens... (0.00 / 0)

This year I had tomatoes, zucchini, beans, yellow squash, cantalope, peppers, and a huge crop of wild blackberries.  I have decided to expand next year and grow a lot more of my own food going forward.  

Screw the farmers with their subsidies.  Screw the supermarkets.  Screw the high prices.  Take matters into your own hands and grow your own food.

If you don't, next year you will be paying $10 per pound for basic vegetables.....

We are headed for a 'Fiscal Cliff' and the country just elected a dope whose motto is 'Forward'.  

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by: Vote3rdpartynow @ Thu Jul 26, 2012 at 18:36:39 PM UTC

With ya... (0.00 / 0)

my garden gets bigger every year....and I'm well-versed in canning my own.

"I acknowledge having racist and classist and sexist feelings of white male superiority." -John Howard

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by: ElectricStrawberry @ Thu Jul 26, 2012 at 19:16:34 PM UTC

[ Parent ]

Check your town for free rain barrels. (0.00 / 0)

In Danvers (Dept. of Public Works) they give away free rain barrels to encourage water conservation etc.  You could also get away with using a good strong trash barrel or a few 5 gallon buckets (they are about $1.50 each at Home Depot).  

Molon Labe

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by: Republican Ram Rod Radio @ Fri Jul 27, 2012 at 14:41:06 PM UTC

[ Parent ]

Great for (0.00 / 0)

breeding skeeters.

"I acknowledge having racist and classist and sexist feelings of white male superiority." -John Howard

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by: ElectricStrawberry @ Sat Jul 28, 2012 at 01:50:21 AM UTC

[ Parent ]

LOL - there's always a guy in the audience . . . (0.00 / 0)

You're right Strawberry no doubt the standing water is asking for trouble.  And I can't think of anything worse that skeeters, black flies, and no-see-ums.  : )  
 

Molon Labe

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by: Republican Ram Rod Radio @ Mon Jul 30, 2012 at 16:05:44 PM UTC

[ Parent ]

Woodchucks (0.00 / 0)

ate my lettuce, brocolli, cucumber and cantelope and green bean plants. Apparently they do not care for grape tomatoes, pumpkins, summer squash or zucchini. Bastards.

G.O.P. Growth. Opportunity. Prosperity. For all Americans.

Karl (TLC)Weld

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by: TLCWeld @ Thu Jul 26, 2012 at 20:18:09 PM UTC

[ Parent ]

One word (0.00 / 0)

....crossbow.  My neighborhood has an infestation of them damned things....and the coyotes are well fed.

"I acknowledge having racist and classist and sexist feelings of white male superiority." -John Howard

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by: ElectricStrawberry @ Thu Jul 26, 2012 at 22:55:34 PM UTC

[ Parent ]

"Woodchucks ate my lettuce, brocolli . . . " TLCWeld (0.00 / 0)

Sounds like someone needs RRRR and his side kick roommate to shoot up the forest with our Crosman 1077 Semiautomatic Precision Pellet Guns!  We put a smile on our landlords face!  

Sit tight TLCWeld we're coming!  


Molon Labe

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by: Republican Ram Rod Radio @ Fri Jul 27, 2012 at 14:31:19 PM UTC

[ Parent ]

Another booze-fueled rodent raid? (0.00 / 0)

How did the last one work out?  We never got an update...

We are headed for a 'Fiscal Cliff' and the country just elected a dope whose motto is 'Forward'.  

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by: Vote3rdpartynow @ Fri Jul 27, 2012 at 18:15:37 PM UTC

[ Parent ]

It was awesome! We shot 2 squirrels, and trapped 1 chipmunk with a rat trap (we put out 8 traps and called it a "Mine Field"). (0.00 / 0)

Then my roommates girl friend crashed the party.  

My roommate's girl-friend totally hates the idea and she lectures the 3 of us constantly.  On the first weekend she was giving us shit so my roommate said something like this ... 'pffff - you women are all the same, you have absolutely no idea what it's like to go out and destroy something.' I knew at that moment my roommate wanted to put on a show . . .  

Once that comment was out, I could see my landlords jaw drop but I was giving him hand signals like 'it's cool he just said that to set her off ... watch how pissed she gets.'  And she did!  She started giving us the predictable 'Ohhh ohhhhhh really? Well you MEN have no idea what it's like creating something and carrying it to term, "love and nurture" and blah blah blah.'  So I was like 'well technically Jen you've never had kids so you don't know either ... maybe giving birth is boring and not much to write home about ... ever think of that??'  It went back and fourth for a while but she gave up ... she always gives up in the end.  

Since then we've gone on the hunt 2 more times, not counting the Friday and Saturday night shoot-outs where we blow up balloons and shoot them while they blow around the yard.  It's huge fun and it get's our landlord out of the house and hanging out like he should be doing.  There is no way in hell, we are going to let this guy sit in and watch "Dancing with the Stars" when he should be eating grilled burgers and dogs, drinking Sam Adams (his favorite beer) and shooting BB guns!    

Molon Labe

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by: Republican Ram Rod Radio @ Mon Jul 30, 2012 at 18:04:16 PM UTC

[ Parent ]

Gardening is the best hedge against inflation. (0.00 / 0)

But animal products are harder to produce, particularly if you want to stay within the law.  If you listen to some boards of health, you'd think chickens crap plutonium or something.

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by: Couves @ Thu Jul 26, 2012 at 21:18:40 PM UTC

[ Parent ]

I might try a few chickens next year as well.... (0.00 / 0)

They lay eggs almost everyday and their manure is the best for vegetable gardens.  Plus, as a bonus, they roam the yard eating ants and ticks.  For that reason alone I might do it....

We are headed for a 'Fiscal Cliff' and the country just elected a dope whose motto is 'Forward'.  

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by: Vote3rdpartynow @ Fri Jul 27, 2012 at 13:21:33 PM UTC

[ Parent ]

AND (0.00 / 0)

They taste wicked pissah with garlic, rosemary, thyme, and Sage with a little lemon... mmm... chicken...

Full Disclosure


http://www.redmassgroup.com/pr...

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by: Rob "EaBo Clipper" Eno @ Fri Jul 27, 2012 at 13:41:42 PM UTC

[ Parent ]

I don't have any... (0.00 / 0)

but from what I've seen, laying hens are easier than owning a dog.  They'll eat ticks for you.  They'll eat your kitchen scraps.

Rabbits are better for meat production... Just tell 'em it's chicken.

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by: Couves @ Fri Jul 27, 2012 at 17:20:01 PM UTC

[ Parent ]