Tuesday, February 1, 2011

Monetary Policy and The Bernak.



A bit long in the tooth but gets the point.

1. FED pumps money to Banks

2. Banks "invest" in Government, btw another meaning of investing

3. Interest rates are zero so the old folks on fixed incomes will burn out soon if the cuts in health care do not get them first

4. Investment Bankers make bundles on free money.

5. And guess who gets re-elected! Guess!