Thursday, March 20, 2008

Quotation
Summing up many of the aims of this blog:
Burke was liberal because he was conservative.
Russell Kirk

Printing money for Wall Street
When a central bank lowers interest rates, it engages in an activity that is loaded with moral meaning. The jargon of the macroeconomist can be misleading. Lower interest rates are achieved by increasing the money supply, which is basically equivalent to “printing money out of thin air,” and selling it cheaply to the banking community (although technically it is now achieved by creating fictitious accounting entries).

The moral dimension becomes plainer if we consider a private person doing that. It is called fraud. Counterfeit money enriches the fraudster at the expense of the rest of the society. Creating more paper slips does not bring about more economic resources (production or consumption goods), but only serves to redistribute them. The counterfeiter immediately acquires additional money at his disposal, whereas the purchasing power of the money balances of the rest is slowly eroded.
As William Grigg wrote earlier:
To create this so-called “money,” the Fed has to steal the value of what each of us has earned, saved, or invested.
Faith-based economy
No magic of the market for Wall Street

An administration of war criminals
From Mark Shea

‘The Iraq war is killing our economy’

The collapse of American power

...rely[ing] on the Chinese, Japanese and Saudis to finance America’s life beyond its means.
From Joshua Snyder.

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