Who's up for $16.00 Hersey chocolate bars?

[VF500]

Turbo tax Tim Geithner and Ben Bernanke are doing their part to help Obama crash our economy and the American dollar. They're monitizing our national debt. Here's how that works. You issue bonds that no one buys then you buy it back yourself with "extra" money printed up by the Fed. It's like the paper itself has some value.

In a nutshell, Department of Treasury issued bonds to get the money needed to run the government and now the Fed is buying more of them from the public with new money created out of thin air, practically replacing debt with more money in circulation.

This is the same road Germany took after WW I. It leads to wild hyper-inflation. Every nation that has tried it has gone bankrupt, but the people doing it say you just have to recall the extra money put into circulation "in time". Yeah, that's all there is to it. So why has it never worked?

For those actually interested, here's the link: US is monetizing its debt, despite what Bernanke says - The China Post

 

[Patria Antiqua]

Every time I hear about something like this, I remind myself that the average person knows nothing and cares nothing about economic history. Then, the stupefying decisions people make suddenly become clear.