David Stockman once again explores the questionable decisions of the government. National debt has gone through the roof because banks can borrow money at relatively no cost (due to ZIRP, zero interest rate policy). Also, quantitive easing has caused a mad dash of printing money that is practically being given to Goldman Sachs (why is this happening?). Yet, we are all being told lies about the "growing" economy from people like Bernanke who leads the "Keynesian" chorus (talked about in the last article); while Stockman is able to dispute all of Bernanke's so-called facts.
I feel like I am starting to understand the economy a little bit more; but that means I am starting to see just how corrupt it is. I don't understand why we buy treasury bonds from Goldman Sachs and not the treasury. I don't understand why people like Bernanke or William Dudley are in charge (who elected them?). I don't understand why there was a quantitive easing 2 when the first had literally no significant results in economic growth. I don't understand why the government insists that we are in a deflation, when in fact it is an inflation (as pointed out by Stockman in Bernanke's little slip-> "By keeping inflation low and stable,..").
I did have some technical questions like what is a DM economy? Isn't excess capacity good (as that means more efficiency)? What is Bullard Rip?
I feel like David Stockman is really opinionated, and so I am curious to know the other side's views. How do they justify what is going on in the economy? If Stockman is against Keynesian economics, what kind of economics does he side with? Which one is being taught in schools?
No comments:
Post a Comment