Monday, November 30, 2009

Sanders on Bernanke/Guide to Bernanke’s Preemptive

Sander's discussing Bernanke hopefully more will follow and vote against him. I also have an excellent piece below you will want to read in full. He has certainly failed to meet the mandate look how long the Feds say it will be for jobs to return for example. Will there be A Run On The Dollar Soon? By the way Hussman 80%chance of stock market crash HERE. Please tell your Senator to vote NO on Bernanke HERE.

Here is a snippet from A Reader’s Guide to Bernanke’s Preemptive Attack...

Odd that people would be upset, eh? Just because many of us have had our dreams of retirement destroyed and our very survival menaced by these monetary rulers of the universe. We need to take a more balanced view: even if you and I have been nearly wiped out, the kingpins at Goldman Sachs and Bank of America are doing very well.

People who bought credit default swaps from AIG got their money, didn’t they (actually our money, but that’s only a detail)? So all in all, the country is in pretty good shape, on the average.“The government’s actions to avoid financial collapse last fall — as distasteful and unfair as some undoubtedly were — were unfortunately necessary to prevent a global economic catastrophe that could have rivaled the Great Depression in length and severity, with profound consequences for our economy and society,” he wrote.

Yes, it is distasteful when we little folks have to take a financial beating so that the rich and well-connected can flourish; we do tend to get a bitter taste in our mouths. But, then, we certainly don’t want another Great Depression, do we? But wait a minute. How does Bernanke know that if, say, the governmentand the Fed had not taken the slew of outrageous measures they have taken in the past fifteen months, another Great Depression would have occurred? I have a Ph.D. in economics, same as Bernanke, and I’ve been a professional economic historian of the United States for more than forty years, and I don’t know this thing he claims to know. Does he have a pipeline to God? (A more reasonable hypothesis is that he is God’s agent on earth, put here to punish us for our sins.) This constant reference to an impending Great Depression makes for excellent politics of fear, but where’s the theoretical and historical meat? My best guess is that had the government refrained from all of its extraordinary interventions of the past year or so, the worst of the adjustments would already have been made, and a genuine recovery would now be in progress.

Instead, thanks to Bernanke and Co., we may never see a flourishing economy in this country again. Argentina and other countries have been ruined by a great deal less meddling.But the Fed chairman says that, while reforms are needed, “we should be seeking to preserve, not degrade, the institution’s ability to foster financial stability and to promote economic recovery without inflation.”Ditto my earlier comments on stability.Read the rest in full HERE.

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