[Peace-discuss] Why the Fed is Steering the Economy Into Deflation

[E.Wayne Johnson]

I am told that the Austerity directive is coming down to us via the IMF, and that
inflation is occuring at the rate of 6% which must be moderate if it's anything.


  ----- Original Message ----- 
  From: David Green 
  To: Peace Discuss 
  Sent: Friday, July 16, 2010 9:22 AM
  Subject: [Peace-discuss] Why the Fed is Steering the Economy Into Deflation


  http://www.counterpunch.org/whitney07152010.html

  "Inflation is not a problem. The economy is in a depression. The historic low yields on Treasuries indicate an appetite for high-quality liquid assets. The Fed should satisfy that need by issuing more debt, selling more Treasuries, increasing inflation expectations. That would increase spending and pull the economy out of the doldrums. Instead, Bernanke preaches austerity, because the real objective is political--dismantling Social Security and other popular programs. Bernanke (a Republican) has aligned himself with the GOP and Wall Street who seek to bury Obama in the midterms by trashing the economy, keeping unemployment high, and increasing the prospect of another vicious downturn."





------------------------------------------------------------------------------


  _______________________________________________
  Peace-discuss mailing list
  Peace-discuss at lists.chambana.net
  http://lists.chambana.net/mailman/listinfo/peace-discuss
-------------- next part --------------
An HTML attachment was scrubbed...
URL: <http://lists.chambana.net/pipermail/peace-discuss/attachments/20100716/1c7ddcf0/attachment.html>