The Golden Truth: Is Alan Greenspan Senile, Stupid or Both?

Friday, February 26, 2010

Is Alan Greenspan Senile, Stupid or Both?

This is a direct quote from a Bloomberg news story 3 days ago: Greenspan said he wants the subprime mortgage market to return. “I hope we can find a way of resurrecting the subprime market,” because it was working well until those mortgages were widely securitized, he said.

Hat tip to Ed Steer of Casey's Research Link. Here's the original Bloomberg news story, because the statement is so outrageously unbelievable, I wanted to make sure it was bona fide: Greenspan = MORON

9 comments:

AnonymousFriday, 26 February, 2010
G-Span should just STFU already. Hasn't he inflicted enough suffering on the world? The dude is like a pandemic, personified.
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AnonymousFriday, 26 February, 2010
All I can say is, we are so screwed.
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HopiumFriday, 26 February, 2010
Comex Inventory Data Reveal An Alarming Trend

https://marketforceanalysis.com/index_assets/COMEX%20Inventory%20Shows%20Alarming%20Trend.pdf

Hopium
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anliuFriday, 26 February, 2010
Dave apparently Helicopter Ben has said no more printing... atleast openly:

["We're not going to monetize the debt," Mr. Bernanke declared flatly, stressing that Congress needs to start making plans to bring down the deficit to avoid such a dangerous dilemma for the Fed.]

http://www.shtfplan.com/headline-news/now-the-architects-are-admitting-the-collapse-is-coming_02262010

I think this is why so many provisions are being placed by the government to essentially steal all of its citizens money.

So it seems on the surface atleast John Williams scenario of a hyperinflationary collapse is not in the cards... tho it baffles me on how the US government is going to fund its obligations with a shrinking tax base and ballooning expenses?!
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Dave in DenverFriday, 26 February, 2010
anliu: heh heh hehhhh...you know the old saying: "something isn't true until it's been denied at least 3 times." here's how that link you gave characterizes it:

"Whether this is lip service or the Fed actually plans on carrying through remains to be seen."

First, he was referencing "new Treasury debt." He didn't say anthing about existing mortgage debt and William Dudley - head of NY Fed and arguable more influential than Bernanke - has already stated that the Fed will extend mortgage QE is it's deemed to be needed. It's needed to keep things from collapsing.

Away from this, Bernanke is plainly full of shit and what else would you expect him to say when he's in front of Congress while the Treasury is in the middle of a massive Treasury issuance?
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anliuFriday, 26 February, 2010
Dave, I'm not a fan of Banana, but I also think he will (openly atleast) be true to his word of not extending QE come march.

Thing is, as we all know America is Greece times a million... So if this is mishandled we could have a Panarin and Orlov USA falling apart scenario.
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EdwardoSaturday, 27 February, 2010
Greenspan is either inane or senile. I suspect the latter. He was always a dodgy (literally and figuratively) character. Now he seems to have totally lost the plot.

If Banana Ben and his criminal cohorts shut off the spigots we will be in a full scale collapse quickly. And while clearing the debt may be the best way forward, the upshot of that will not just be collapsing tax receipts, but vanishing ones, as unemployment ratchets up substantially from its already elevated levels. Financial markets will likewise flat line.

At that point, the bond market will be screwed anyway since who would loan money to a government that has NO CASH FLOW!

Of such conditions is hyper inflation made. The argument against hyper-inflation has always been predicated on this:

"They would never do that it would destroy the bond market."

The bond market is going to be toast one way or another, either because a runaway economic collapse destroys the tax base, or because the authorities realize that you don't need no steenkin' bond market.
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JoeSaturday, 27 February, 2010
Concerning what the Fed will or will not do, I refer you to Dave's masthead quote. Nuff said.

Joe M.
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Dave in DenverSaturday, 27 February, 2010
Joe, couldn't have said it better myself.

Edwardo, what you just described, most people will never believe it's possible until we're halfway into the process of actual hyper-printing to keep things from collapsing. We are clost to that point.

And anyone who thinks real civil unrest can't happen, just look at what happened in California two days ago...
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Add comment

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.