Archive for October, 2010

Monetizing the Debt

October 16, 2010

[Okay, okay, I have been gone way too long.  In my defense I have been preparing five new books for publication (more on that in another Blog) and numerous other chores.  But now the state of our country is unraveling before us and I cannot remain silent.]

Yesterday, October 15, Federal Reserve Chairman Ben Bernanke announced that the Feds will buy its own Treasury bonds in order to keep long term interest rates low.  Now, that may sound good to the pleasantly uninformed, but the question quickly arises: With a Fed that has no money, what exactly are you going to buy them with? (more…)