QE3 Another Fed Give Away to the Banks

Shoveling money to the banks not meant to create jobs, it’s a way to give banks even more speculative capital and prepare them for another meltdown

HUDSON: QE3 was basically a program for the Federal Reserve to give money to the banks until Beethoven writes his 10th Symphony. There is no connection to employment whatsoever.
Transcript

14 thoughts on “QE3 Another Fed Give Away to the Banks”

  1. jischinger Post author

    technically- should be when Beethoven finishes his 10th Symphony – he sketched it, others have tried to finish it and still others say Brahms wrote it with his 1st. It’s sort of like asking, is the Pope Italian…

    Regardless, on the one hand I can’t helped being stunned that the American People keep falling for this crap, on the other hand how the hell do I get out of this crazy country?!

    better check my lottery tickets ;)
    which reminds me… there’s a short story called the Lottery, by Shirley Jackson – “Lottery in June, corn be heavy soon.” Get your tickets now!

  2. Jailbanksters

    QEternity….

    So what happens when the Private Reserve owns every Mortgage in America and the Banks have 1 quadrillion Trillion Billion Dollars stored as Ones and Zeros in a Computer. Unfortunately Computers are only 64 Bit, so the Largest Number they can store is only 9,223,372,036,854,775,807

  7. jischinger Post author

    @Jayme that’s a hypothetical piece and the controversy is that the sketches Cooper gathered were really meant to be a string quartet.

    Therefore it’s not Beethoven’s 10th, the piece would be considered counterfeit, not unlike the US dollar.

    One could say Cooper, like Nixon, took us off the Beethoven Symphony standard ;)

  8. jischinger Post author

    @Zach O the American people are in a trance and not likely to wake up any time soon – the only thing one can do is find their ilk gather together and start over

    I’ve looked at this thing every which way I can, and I’m still open to suggestions, but no other solution has come up that’s better or will change the path to austerity outside of fiction.

  9. Nak

    Let me see if I have the Fed’s plan right.
    The Federal Reserve will buy $40 billion of toxic real estate mortgages a month from banks, freeing up the banks liability to maintain those properties and the banks won’t have to write down those losses on their balance sheets. And in turn the banks will buy $40 billion in treasury bonds, propping up the bond market and their balance sheets, and giving them another round in the real estate markets.
    The Federal Reserve unloads the losses onto a nontransparent balance sheet that the taxpayers will be on hook to pay off. The toxic real estate reverts back into the hands of the local municipalities, which they just give to developers with subsidies so they can redevelop the land and to create jobs.

  10. JonnyJames

    Cheers for that jischinger! I had not yet seen that clip.
    I just started reading Hudson’s new book, Beyond the Bubble. His command of economic history, intl. political economy and economic theory of all stripes is arguably unparalleled. He is one of a kind and extremely rare species in the USA.

    Even though he differs on a few points w/ Paul Craig Roberts, Roberts gave a raving review of this book. Steve Keen, Dirk Bezemer and others did as well.

  13. Vulcan

    If all the bailed out banks are playing in the international casino and if this is a zero sum game ie for every winner there is a looser. Then a large number of these banks will
    go belly up when things start to unwind

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