Read it again. It was regurgitated again by the fed in open market operations. Hint: what OMO activity increases the monetary base?
"But it looks like the printing was not technically debt free. Spending into existence was accompanied by the issuance of a bond which was immediately bought by the Central bank in open market operations. The effect was the same. Sort of like having QE at a time when GDP growth was 4%+."
What part of it was debt free to justify your use of 'technically'???
You seem to be totally mixed up..
A reference to support your train of thought would be better than expecting me to play games with you.
A reference to support your train of thought would be better than expecting me to play games with you.
Well stop playing games then. I was agreeing with you that there was a sterilising bond involved, so your statement that the government did not issue money without debt is (technically) correct.
However, another arm of the government (the central bank) then turned around and printed money to buy that debt back, creating a situation identical to one where the government just spent money into existence. Kennedy had tried to remove the central bank from the process 3 weeks before he died, though.
I gave you one link. But I suggest if you want to understand what went on, you should actually buy one of the books on the subject and read it, because most of the stuff on the web is from nutters.
Or don't. I don't really care.
The truth will set you free. But first, it will piss you off. --Gloria Steinem AREPS™
Well stop playing games then. I was agreeing with you that there was a sterilising bond involved, so your statement that the government did not issue money without debt is (technically) correct.
However, another arm of the government (the central bank) then turned around and printed money to buy that debt back, creating a situation identical to one where the government just spent money into existence. Kennedy had tried to remove the central bank from the process 3 weeks before he died, though.
I gave you one link. But I suggest if you want to understand what went on, you should actually buy one of the books on the subject and read it, because most of the stuff on the web is from nutters.
Or don't. I don't really care.
I asked you for a reference to support your comment and, then I asked for one that supports your line of thought.
If you believe what you believe then you should be able to provide the basis for it via a reference.
At the moment the last two comments you have made on this subject are incomprehensible to me.
1.printing was not technically debt free. Spending into existence was accompanied by the issuance of a bond which was immediately bought by the Central bank in open market operations. The effect was the same. Sort of like having QE at a time when GDP growth was 4%+.
2. there was a sterilising bond involved, so your statement that the government did not issue money without debt is (technically) correct.
However, another arm of the government (the central bank) then turned around and printed money to buy that debt back, creating a situation identical to one where the government just spent money into existence.
Do you think they would? My heart and mind says no - but my money is positioned just in case they do decide to send us to hell. May as well make money out of it if it happens I guess.
Well I guess tapering is off the agenda for the forseeable.
Whenever you have an argument with someone, there comes a moment where you must ask yourself, whatever your political persuasion, 'am I the Nazi?'
I asked you for a reference to support your comment and, then I asked for one that supports your line of thought.
If you believe what you believe then you should be able to provide the basis for it via a reference.
I could, but quite frankly I couldn't be bothered. It's not my job to educate you. I've suggested where you might go for illumination.
Quote:
At the moment the last two comments you have made on this subject are incomprehensible to me.
1.printing was not technically debt free. Spending into existence was accompanied by the issuance of a bond which was immediately bought by the Central bank in open market operations. The effect was the same. Sort of like having QE at a time when GDP growth was 4%+.
2. there was a sterilising bond involved, so your statement that the government did not issue money without debt is (technically) correct.
However, another arm of the government (the central bank) then turned around and printed money to buy that debt back, creating a situation identical to one where the government just spent money into existence.
Then you have some study to do, don't you?
The truth will set you free. But first, it will piss you off. --Gloria Steinem AREPS™
I could, but quite frankly I couldn't be bothered. It's not my job to educate you. I've suggested where you might go for illumination.
Then you have some study to do, don't you?
I only made the comment in the hope you might get an education since you often make strange comments about central banking.
However, it appears that the US treasury was until recently issuing a limited amount of dollars but perhaps only to replace existing ones issued in the previous century. According the the Fed, none have been placed in to circulation since January 21, 1971.
These ones were supposedly produced during the Kennedy presidency.
I only made the comment in the hope you might get an education since you often make strange comments about central banking.
However, it appears that the US treasury was until recently issuing a limited amount of dollars but perhaps only to replace existing ones issued in the previous century. According the the Fed, none have been placed in to circulation since January 21, 1971.
These ones were supposedly produced during the Kennedy presidency.
As far as I know the Kennedy $5 notes were all withdrawn and were never circulated, but there are a bunch of myths and conspiracy theories about them.
Notes and coins are only a portion of the monetary base.
The truth will set you free. But first, it will piss you off. --Gloria Steinem AREPS™
You add absolutely nothing to the debate here; you just roll up and mouth off all this highfalutin nonsense on monetary theory like you're some big shot.
However even a rudimentary inspection of your ideas reveals a complete lack of understanding of the way the real world works.
Like some insufferable IT nerd.
"It were not best that we should all think alike; it is difference of opinion that makes horse races." - Mark Twain on why he avoids discussing house prices over at MacroBusiness. "Buy land, they're not making any more of it." - Georgist Land Tax proponent Mark Twain laughing in his grave at humourless idiots like skamy that continually use this quip to justify housing bubbles.
You add absolutely nothing to the debate here; you just roll up and mouth off all this highfalutin nonsense on monetary theory like you're some big shot.
However even a rudimentary inspection of your ideas reveals a complete lack of understanding of the way the real world works.
Like some insufferable IT nerd.
Yet somehow you manage to contribute even less than you say I do.
Well done! It is quite an achievement.
The truth will set you free. But first, it will piss you off. --Gloria Steinem AREPS™
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