The Golden Truth: Banana Ben Bernanke Is A Complete Idiot And/Or A Pathological Liar

Thursday, September 17, 2009

Banana Ben Bernanke Is A Complete Idiot And/Or A Pathological Liar

A couple days ago Fed Chairman Bernanke proudly proclaimed that the recession in this country is most likely over. This was a few weeks after he arrogantly took credit for saving the world from global financial disaster.

Let's look at a couple datapoints to see validity of Bernanke's boast:

1) Yesterday, the CEO of Chrysler and Fiat said that auto industry sales are off 19% so far in September after the cash for clunkers program ended: Auto sales

2) Fed Ex reported today that their revenues were down 20% in the most recent quarter vs. the same quarter a year ago. Fed Ex is considered a key indicator of economic activity. Or perhaps this is what Bernanke was looking at...

3) Credit card defaults usually track unemployment, rose to a 26-year high of 9.7 percent in August.

So the question remains, is Bernanke a complete idiot, an ivory tower geek who is blind to the facts or just completely corrupt? Clearly, if you watch the video footage of his past statements about the economy from an earlier post Link, it's hard believe ANYTHING that comes out of Banana Ben's mouth. It brings to mind an old rhetorical riddle about traders from my Wall Street days: "Question: how do you know when Bernanke is lying? Answer: when his lips are moving."

“The last duty of a central banker is to tell the public the truth.” Alan Blinder, Former Vice Chairman of the Federal Reserve

5 comments:

EdwardoThursday, 17 September, 2009
Yes, as I think the Alan Blinder quote suggests, one is inclined to weigh in on the side of official mendacity, not stupidity in this case. In my view, Mr. Bernanke is essentially a criminal (yet to be recognized) in that he aided and abetted one of the great swindles of any one's time, namely the banker bailouts. The failed (and still insolvent institutions) should have been folded up and their constituent parts sold off to smaller healthy institutions.

We know what Bernanke delivered instead. He should Resign or be fired so he can see his good reputation be debauched in retirement just like his ghastly predecessor. And most importantly The Fed itself needs to be audited and likely dismantled.

September 17, 2009 11:24 AM
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Dave in DenverThursday, 17 September, 2009
Agree with everything. I remember saying back in 2001: "I only hope Greenspan lives long enough to see his likeness burned in effigy"
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EconomicDisconnectThursday, 17 September, 2009
Dave,
The title of this post implies the two labels are mutually exclusive, but I think Boom Boom Benny can rightly claim title to both.
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Dave in DenverThursday, 17 September, 2009
gyc, thanks for pointing that out and I corrected the title
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EconomicDisconnectThursday, 17 September, 2009
Dave,
Thanks for the title change and stopping by the site. You may want to check back in as I really go off on a rant (metals are featured) that I think is important.
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Why Gold?

Gold is the world's oldest currency. You exchange your fiat currency (dollars, euros, yen, yuan) into gold as an insurance policy against catastrophic Central Bank and Government policies which serve to destroy the value of fiat currencies and destroy democracy.

Gold can ONLY be considered an investment to the extent that it remains significantly and historically undervalued in relation to the fiat currencies against which its value is measured. Otherwise it remains the world's oldest currency and is completely free from the counterparty risk associated with currency by Government fiat (i.e. fiat currencies rely on a Government's "full faith and credit.")

Quote Of The Month Courtesy of "Jesse"

Unfortunately for Larry Summers, Ben Bernanke, and their friends at the BIS, they have not yet figured out how to print physical gold, silver, and other essential commodities, and the world is reaching the point where it might simply start ignoring the New York based markets with respect to essential commodities such as basic materials, oil, foodstuffs, and the like, as they become increasingly irrelevant, fraudulent, and Orwellian. And then where will the financial engineers be, except with no more excuses and no place to hide?

Here is the link to his entire commentary, well worth a read:

http://jessescrossroadscafe.blogspot.com/2010/07/gold-daily-chart-shock-and-awe-for.html

Great Quote From Jim Rogers On Govt CPI Reporting

JR: I mean, we have inflation now. If you go to the shop, whether it’s groceries, or education or insurance or health care, prices are going up for everything. The government lies about it in the US. Some countries lie, many countries don’t: Australia, China, India and Norway. Many countries don’t lie about it and acknowledge that we have inflation. Others lie about it, the UK and the US, but if you go shopping you know prices are up.

Q: Are you saying that the American Consumer Price Index (CPI) published by the US Bureau of Labor Statistics is a lie?

JR: In my opinion, yes, of course it is. Have you looked at it? They’ve changed their accounting several times in the past few decades. When housing was 20% to 25% of the CPI and housing was going up, they didn’t count it, saying rents weren’t going up, and then when home prices started going down, they counted it. It’s the same with many things. It’s staggering some of the tortuous reasoning that the BLS has used over the past 25 or 30 years. When the price of gasoline goes up, they say it’s not really going up because it’s better gasoline, better quality, therefore you’re getting more for your money. I mean, it’s endless, the stuff that they say and for some reason people sit there, although more and more people are catching on, and accept what the government says.

source: www.clusterstock.com

Quote of the Week

"The primary function of a Central Bank is to engage in the massive transfer of wealth from the middle class to the wealthy elite. The Federal Reserve was set up to do this with the blessing and support of Congress." - Dave in Denver

If you refuse to believe the above, please read "The Creature From Jekyll Island: A Second Look at the Federal Reserve" by G. Edward Griffin and then explain to me why the Senate voted down the Vitter Amendment and Congress refuses to pass a law requiring a full audit of the Fed, even though the Fed is using taxpayer-backed money to bailout Wall Street and Europe.