The Economics Thread

[divine_torture]

It's cool though, helicopter Ben has already thought of the solution.

I lol'd.

 

[The Ozzman]

I love how week after week we are having new six-digit jobless claims, but they make a big deal about how it "went down 20-30k". Well no shit it's going down some, there are less jobs left to axe now compared to 3-4 months ago.

'Fewer' jobs

anyway, why did you call him Helicopter Ben?

 

[divine_torture]

http://en.wikipedia.org/wiki/Helicopter_drop

 

[The Ozzman]

HAHAHAHA

 

[Dak]

Or more directly:

http://en.wikipedia.org/wiki/Ben_Bernanke

In 2002, when the word "deflation" began appearing in the business news, Bernanke gave a speech about deflation.[23] In that speech, he mentioned that the government in a fiat money system owns the physical means of creating money. Control of the means of production for money implies that the government can always avoid deflation by simply issuing more money. (He referred to a statement made by Milton Friedman about using a "helicopter drop" of money into the economy to fight deflation.) Bernanke's critics have since referred to him as "Helicopter Ben" or to his "helicopter printing press." In a footnote to his speech, Bernanke noted that "people know that inflation erodes the real value of the government's debt and, therefore, that it is in the interest of the government to create some inflation

 

[divine_torture]

Read both pages.

 

[Dak]

I would find Keynesian economics laughably amusing, if it weren't happening here......

 

[divine_torture]

You're definitely in for some fun. I, however, laugh at them. As our economy falls apart...We should all move to Canada. They seem alright. Lulz.

 

[Dak]

if I went to Canada it would be to pull some "Into the Wild" shit.

 

[divine_torture]

I'd go to bang Neve Campbell.

 

[The Ozzman]

if I went to Canada it would be to pull some "Into the Wild" shit.

Die in a dilapidated bus covered in a sleeping bag?

 

[Dak]

No, I would do it right.

 

[Dak]

I can't wait to read the John Galt blog after todays trading. The market failed again to close over 8800. Going to be all sorts of sarcasm and funny bubble banana charts.

 

[The Ozzman]

Doesn't he have a magic close point for the Dow?

 

[Dak]

I remember several times he has mentioned an inability of the market to stay over 8800, that is what I have been watching. I don't know about a "magic number". The market was over 8800 most of the day and then there was a sharp descent at the end of the day. I imagine there was light trading up and heavy trading down.

 

[The Ozzman]

Probably because treasuries rallied today. That and the USD index is below 80

 

[Dak]

I read the Fed put in some sort of bonus % or something to improve the appeal of certain bonds. That is going to be a short lived rally.

 

[Dak]

"The paper system being founded on public confidence and having of itself NO intrinsic value, it is liable to great and sudden fluctuations, thereby rendering property insecure and the wages of labor unsteady and uncertain. The corporations which create the paper money can not be relied upon to keep the circulating medium uniform in amount. In times of prosperity, when confidence is high, they are tempted by the prospect of gain or by the influence of those who hope to profit by it to extend their issues of paper beyond the bounds of discretion and the reasonable demands of business; and when these issues have been pushed on from day to day, until public confidence is at length shaken, then a reaction takes place, and they immediately withdraw the credits they have given, suddenly curtail their issues, and produce an unexpected and ruinous contraction of the circulating medium, which is felt by the whole community. The banks by this means save themselves, and the mischievous consequences of their imprudence or cupidity are visited upon the public." ~ Andrew Jackson

If only our other presidents since then had been this wise.

 

[Cythraul]

Great news: http://www.house.gov/apps/list/press/tx14_paul/audit.shtml

 

[Dak]

I have grown cynical to the point of thinking that even though it's going to make the floor, it's just a distraction at this point.