Bitcoin Forum
June 17, 2019, 10:12:45 AM *
News: Latest Bitcoin Core release: 0.18.0 [Torrent] (New!)
 
   Home   Help Search Login Register More  
Pages: [1]
  Print  
Author Topic: Fed Balance Sheet Tops $3 Trillion  (Read 1051 times)
CurbsideProphet
Hero Member
*****
Offline Offline

Activity: 672
Merit: 500


View Profile
February 11, 2013, 08:00:04 PM
 #1

Speaking of bubbles....


1ProphetnvP8ju2SxxRvVvyzCtTXDgLPJV
1560766365
Hero Member
*
Offline Offline

Posts: 1560766365

View Profile Personal Message (Offline)

Ignore
1560766365
Reply with quote  #2

1560766365
Report to moderator
Try The Brand New Ethereum Game
50 Last Players Also Win The Bank
Works On Any iOS/Android Device With Standard Browser
Join Us On Telegram To Get Notified When You Can Win
COLOR PIXELS
AND WIN
Advertised sites are not endorsed by the Bitcoin Forum. They may be unsafe, untrustworthy, or illegal in your jurisdiction. Advertise here.
1560766365
Hero Member
*
Offline Offline

Posts: 1560766365

View Profile Personal Message (Offline)

Ignore
1560766365
Reply with quote  #2

1560766365
Report to moderator
1560766365
Hero Member
*
Offline Offline

Posts: 1560766365

View Profile Personal Message (Offline)

Ignore
1560766365
Reply with quote  #2

1560766365
Report to moderator
1560766365
Hero Member
*
Offline Offline

Posts: 1560766365

View Profile Personal Message (Offline)

Ignore
1560766365
Reply with quote  #2

1560766365
Report to moderator
johnyj
Legendary
*
Offline Offline

Activity: 1848
Merit: 1000


Beyond Imagination


View Profile
February 12, 2013, 12:07:42 AM
 #2

And these money will flow into BTC market without creating new jobs  Roll Eyes




twolifeinexile
Full Member
***
Offline Offline

Activity: 154
Merit: 100



View Profile
February 12, 2013, 01:39:12 AM
 #3

Speaking of bubbles....



Why this is problem?Huh? ( I know most people think this as "printing money", but what is the difference of holding cash vs. holding US Government bond, they are all US government created monetary instrument) And the only thing Fed has done is exchange private held US Government bond with private held Federal Reserve Note. The action itself almost has no impact except banks now has no interest coupon from US Government.

Fed do this because people think it is printing money, so people will act the way Fed want them to. The action itself is almost a gimmick, pretend to do sth without doing anything.
solex
Legendary
*
Offline Offline

Activity: 1078
Merit: 1000


100 satoshis -> ISO code


View Profile
February 12, 2013, 02:22:08 AM
 #4

This massive balance sheet is not itself a problem so much as a billboard showing what a disastrous state the financial system is in.
Most of that money has been spent buying financial toxic waste i.e. debts owed to banks (and pretend banks - Golden Sacks) by borrowers which should be defaulting, to cleanse the system. It is only debt defaults that eliminate credit-based money and reduces the risk of systemic failure or eventual hyperinflation.

twolifeinexile
Full Member
***
Offline Offline

Activity: 154
Merit: 100



View Profile
February 12, 2013, 02:24:36 AM
 #5

This massive balance sheet is not itself a problem so much as a billboard showing what a disastrous state the financial system is in.
Most of that money has been spent buying financial toxic waste i.e. debts owned to banks (and pretend banks - Golden Sacks) by borrowers which should be defaulted on to cleanse the system.
The balancesheet do show Fed is desperation to move the economy (without too much success)
johnyj
Legendary
*
Offline Offline

Activity: 1848
Merit: 1000


Beyond Imagination


View Profile
February 12, 2013, 06:31:51 AM
 #6

As I read, about 1/3 is MBS and rest is mostly government bonds

Anyway, both banks and government are holding lots of cash now, but they have a heavy debt corresponding to those cash. Actually the central bank can just write off those debt and many problem will disappear. But they never do this, they will keep those debt and give pressure on government and banks

This is the most strange part of the current debt driven financial system: The only way for government and commercial bank to payback the debt is to borrow more and consume more

And if the government tried to reduce cost, their reduction in cost will lower the total consumption of the whole society and in turn generate less tax income, if they raise tax, it will further reduce the consumption and raise jobless rate, this is a dead end. So they finally come up with an idea to only raise the tax for rich people, but that exactly prove that in a debt driven economy, the only way to reduce the debt is eliminate savings from rich people, so finally everyone do not have any saving and always borrow to spend

KSV
Sr. Member
****
Offline Offline

Activity: 398
Merit: 250


SVERIGES VIRTUELLA VALUTAVÄXLING


View Profile WWW
June 05, 2013, 04:32:53 PM
 #7

And these money will flow into BTC market without creating new jobs  Roll Eyes





and thats when we take over!

Trade Bitcoins @ FYB-SE ---> https://www.fybse.se
Pages: [1]
  Print  
 
Jump to:  

Sponsored by , a Bitcoin-accepting VPN.
Powered by MySQL Powered by PHP Powered by SMF 1.1.19 | SMF © 2006-2009, Simple Machines Valid XHTML 1.0! Valid CSS!