- My Forums
- Tiger Rant
- LSU Recruiting
- SEC Rant
- Saints Talk
- Pelicans Talk
- More Sports Board
- Fantasy Sports
- Golf Board
- Soccer Board
- O-T Lounge
- Tech Board
- Home/Garden Board
- Outdoor Board
- Health/Fitness Board
- Movie/TV Board
- Book Board
- Music Board
- Political Talk
- Money Talk
- Fark Board
- Gaming Board
- Travel Board
- Food/Drink Board
- Ticket Exchange
- TD Help Board
Customize My Forums- View All Forums
- Show Left Links
- Topic Sort Options
- Trending Topics
- Recent Topics
- Active Topics
Started By
Message
I’m not saying we’re screwed, but I’m starting to wonder
Posted on 3/13/23 at 8:45 pm
Posted on 3/13/23 at 8:45 pm
3
Posted on 3/13/23 at 8:53 pm to DabosDynasty
Explain to me like I’m 5
Posted on 3/13/23 at 8:59 pm to Tshiz
Federal reserve pulled too much money out of the economy too quickly = historically speaking we are fricked
Posted on 3/13/23 at 9:24 pm to Tshiz
quote:
Explain to me like I’m 5
Jack and Jill went up a hill
Jill kicked Jack in the nuts
Posted on 3/13/23 at 9:42 pm to DabosDynasty
quote:
Federal reserve pulled too much money out of the economy too quickly = historically speaking we are fricked
can't they just like, put it back?
Posted on 3/13/23 at 9:50 pm to whiskey over ice
Sure in theory. Doesn’t mean they will and doesn’t mean it won’t just whipsaw into opposing issues. We have volatility because over a relatively short time the fed has been very volatile with policy. This is not to ignore the volatility of govt spending over the same timeframe either, which is probably more to blame.
Posted on 3/13/23 at 10:19 pm to DabosDynasty
Let them eat cake
Posted on 3/14/23 at 1:52 am to DabosDynasty
They can’t pull money back out of the system once it’s there. The only way to do that is by raising taxes.
This chart is showing the growth of m2, meaning they’ve just slowed it significantly, which is not surprising since 40% of all currency in circulation was created in 2020-2021
This chart is showing the growth of m2, meaning they’ve just slowed it significantly, which is not surprising since 40% of all currency in circulation was created in 2020-2021
Posted on 3/14/23 at 7:24 am to Shepherd88
quote:
They can’t pull money back out of the system once it’s there. The only way to do that is by raising taxes.
Not true
Posted on 3/14/23 at 7:26 am to LSUnation78
The federal reserve cannot pull money back out of m2. That is true. Brian Wesbury chief economist of First Trust has talked exclusively about this.
Posted on 3/14/23 at 7:53 am to Shepherd88
The fed is trapped. There is no practical way to fix this. This gon be painful baw.
Posted on 3/14/23 at 8:14 am to DabosDynasty
You’re gonna be begging for a spot on the fema camp train before long
Posted on 3/14/23 at 8:16 am to HailToTheChiz
quote:
Jack and Jill went up a hill Jill kicked Jack in the nuts
Cmon man her name is Dr. Jill show some respect
Posted on 3/14/23 at 9:16 am to DabosDynasty
quote:
Federal reserve pulled too much money out of the economy too quickly
There was never any choice.
When the federal government pumped over $3T into the economy in just 6 months, strong inflation was inevitable. With high and continually rising inflation the Fed had only one choice and that was to raise rates.
Even had JPow pulled a Volker (ie: went for the jugular by raising rates a few percentage points over inflation, within months), we still would have economic problems. No matter what claims have been made, a "soft landing" has never been in the cards due to the insane amount of liquidity in such a short window.
Posted on 3/14/23 at 9:24 am to Bard
Looking back on it that whole Covid response created a monster. Shutting everything down, stimulus checks, unemployment benefits etc...Hind sight but dang bad decision after decision on that one including fed not raising the rates when the money was flowing.
Posted on 3/14/23 at 9:28 am to FLObserver
Bingo
This post was edited on 3/14/23 at 9:29 am
Posted on 3/14/23 at 9:38 am to DabosDynasty
Free money been flowing since 2008, parties over for now. People no longer know how to live without access to cheap credit
Posted on 3/14/23 at 9:58 am to FLObserver
quote:I'm more of a micro than a macro kind of guy but even I knew what they were doing at the time would come back to haunt us in a huge way. They certainly should have known.
Looking back on it that whole Covid response created a monster. Shutting everything down, stimulus checks, unemployment benefits etc...Hind sight but dang bad decision after decision on that one including fed not raising the rates when the money was flowing.
Posted on 3/14/23 at 10:31 am to FLObserver
quote:
Looking back on it that whole Covid response created a monster. Shutting everything down, stimulus checks, unemployment benefits etc...Hind sight but dang bad decision after decision on that one including fed not raising the rates when the money was flowing.
Correct, and as mentioned above the only thing for Powell to really do is largely what he’s done, but hindsight wasn’t required to see this mess coming before their actions. This would cross both presidents as well.
Rates should have been raised much earlier and then when lowered to keep the blood flow in response to covid mania it’s not through the floor and then you return to the tightening you’d already been doing prior to covid. We’ve had historically low rates for 14-15 years, throw in some stimulus, tax cuts (not saying these are bad), covid mania with MASSIVE stimulus and expansion of assistance programs, more tax cuts albeit temporary, and even lower rates. This was destined to happen. The last weeks activity will be a blip on the radar when the real shite hits the fan.
Posted on 3/14/23 at 11:31 am to Shepherd88
quote:
They can’t pull money back out of the system once it’s there. The only way to do that is by raising taxes.
Oh boy...
Page 1 of 2
Popular
Back to top
Follow TigerDroppings for LSU Football News