Forbes sounding the alarm, headed towards a cliff

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“There’s a new crazy theory out there called moderate monetary theory and it’s one the Biden Administration is clutching to. And that’s the ideal that money does not matter anymore. If you want something from the government, you just say bring it to me, I’ll print the money for it and there will be no consequences. It ignores 4000 years of financial history when you do that kind of nonsense, whether it’s with coin, paper money, digital currency, whatever.

So they think because of 2008 and thereafter when the Fed did print a ton of money, but that money in effect was put in a deep freeze. The Fed and the banks held the money. They paid interest to the banks so it never entered the economy in full. It just propped up the banks. That is not the situation we are headed into now.

This money is going into the economy. That’s one reason why prices are rising, that’s one reason why interest rates will have to go up, and that’s a reason why we are going to have serious trouble down the road. And a lot of people are oblivious to it or just don’t care.”

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The real danger is printing money," Forbes told "Saturday Agenda." "That's going to lead to inflation. I'm surprised the markets haven't woken up to that, but that's going to mean higher interest rates, huge economic dislocations.
"I would say, as they say in the airlines 'tighten your seatbelt' and then some. This is bad stuff, this massive printing of money, because [President Joe] Biden wants not just this [$1.9 trillion] bill, he wants a bill after that. They just don't know when to stop.

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