OptionsTrader
12-15-2007, 12:29 PM
Federal Reserve inflation
In Ron's latest email to the grassroots, he uses the phrase "Federal Reserve inflation" to describe the intentional debasing of our dollar. I like this phrase more than other phrases such as inflation tax and the like because it:
a) Is succinct and requires no more elaboration for the listener/reader to understand.
b) Puts the Federal Reserve in the same three word phrase as inflation, thereby tying the negative entity with the negative effect in the mind of the observer.
Reference the Fed's intentional flooding of the world market with cheap borrowed dollars in terms of money supply shown in M3:
Black/green line: M3
Blue line: rate of change of M3
Vertical axis: billions:
Horizontal axis: 1970-present
http://www.nowandfutures.com/images/m3b_long_term.png
http://www.nowandfutures.com/key_stats.html
In Ron's latest email to the grassroots, he uses the phrase "Federal Reserve inflation" to describe the intentional debasing of our dollar. I like this phrase more than other phrases such as inflation tax and the like because it:
a) Is succinct and requires no more elaboration for the listener/reader to understand.
b) Puts the Federal Reserve in the same three word phrase as inflation, thereby tying the negative entity with the negative effect in the mind of the observer.
Reference the Fed's intentional flooding of the world market with cheap borrowed dollars in terms of money supply shown in M3:
Black/green line: M3
Blue line: rate of change of M3
Vertical axis: billions:
Horizontal axis: 1970-present
http://www.nowandfutures.com/images/m3b_long_term.png
http://www.nowandfutures.com/key_stats.html