Friday, November 5, 2010

What You Need to Ask About the $600 Billion


Where Did It Come From?

A. The money comes from "people's savings".
B. The Federal Reserve makes up the "money" by typing numbers into a computer.

Where did it come from?
If they can make "money" to loan (buying Treasury Securities is the U.S. taking out a loan, paid back by tax payers) then you can make it up to repair and replace our crumbling infrastructure.

The next thing they will do is jack up the price of oil, causing everything to rise in price and then blame the boogieman of inflation. It will be another incorrect diagnosis.