Comments on: Will Obama's "Soft Money" Fed Lead to Hard Times for the U.S. Economy? http://moneymorning.com/2010/03/17/soft-money/ Global Investment News Mon, 13 Feb 2012 15:46:07 +0000 hourly 1 http://wordpress.org/?v=3.3.1 By: Robert in Canada http://moneymorning.com/2010/03/17/soft-money/comment-page-1/#comment-17623 Robert in Canada Sun, 21 Mar 2010 21:01:13 +0000 http://moneymorning.com/2010/03/17/will-obamas-soft-money-fed-lead-to-hard-times-for-the-u.s.-economy/#comment-17623 Unfortunately, in democratic countries, government policy generally reflects the will of the majority. The problem in the US and many other democratic countries is that the majority has little or no knowledge about what makes the economy tick, how real jobs are created, or where the money comes from to pay for government spending. Blame the school system and teacher's unions. They hate the idea of teaching kids about free enterprise, the non-governmental economy, and making an honest profit. They prevent those concepts from being taught, and if anything is said in class about those concepts, it is something bad. Unfortunately, in democratic countries, government policy generally reflects the will of the majority. The problem in the US and many other democratic countries is that the majority has little or no knowledge about what makes the economy tick, how real jobs are created, or where the money comes from to pay for government spending.

Blame the school system and teacher's unions. They hate the idea of teaching kids about free enterprise, the non-governmental economy, and making an honest profit. They prevent those concepts from being taught, and if anything is said in class about those concepts, it is something bad.

]]> By: 123camelia http://moneymorning.com/2010/03/17/soft-money/comment-page-1/#comment-17536 123camelia Thu, 18 Mar 2010 09:18:10 +0000 http://moneymorning.com/2010/03/17/will-obamas-soft-money-fed-lead-to-hard-times-for-the-u.s.-economy/#comment-17536 It's an interesting approach. I commonly see unexceptional views on the subject but yours it's written in a pretty unusual fashion. Surely, I will revisit your website for additional info. It's an interesting approach. I commonly see unexceptional views on the subject but yours it's written in a pretty unusual fashion. Surely, I will revisit your website for additional info.

]]> By: Xavi Salas (Australia) http://moneymorning.com/2010/03/17/soft-money/comment-page-1/#comment-17525 Xavi Salas (Australia) Wed, 17 Mar 2010 22:24:54 +0000 http://moneymorning.com/2010/03/17/will-obamas-soft-money-fed-lead-to-hard-times-for-the-u.s.-economy/#comment-17525 But your analysis is not compelling because it also assumes, in a big way, that US property prices are already booming or will boom when the data points sometimes the other way and sometimes to price stickiness. And also, if you look at the state of the real economy, you can't say, with any degree of conviction, that inflation is likely to soar or even to levels of hyperinflation. You're quite right about 'soft money' peddling by the Fed, but that's more likely to produce deflation. It's only when there is a sharp uptick in the real economy, exemplified by higher producer costs and employment can we then begin to factor in the possibility of higher inflation although, I would argue, not to the levels you suggest. You ignore a bunch of other factors and variables that can be used to control the rate of inflation growth. You would think since the 1930s we would have learnt a lot more about where textbook economic theories have failed and where ground-level and subterranean economics is the stuff to learn and use as the bases of policy development. As for behavioral economics: Is it just another fad or something more? In sum I disagree with your analysis and position. But your analysis is not compelling because it also assumes, in a big way, that US property prices are already booming or will boom when the data points sometimes the other way and sometimes to price stickiness. And also, if you look at the state of the real economy, you can't say, with any degree of conviction, that inflation is likely to soar or even to levels of hyperinflation. You're quite right about 'soft money' peddling by the Fed, but that's more likely to produce deflation. It's only when there is a sharp uptick in the real economy, exemplified by higher producer costs and employment can we then begin to factor in the possibility of higher inflation although, I would argue, not to the levels you suggest. You ignore a bunch of other factors and variables that can be used to control the rate of inflation growth. You would think since the 1930s we would have learnt a lot more about where textbook economic theories have failed and where ground-level and subterranean economics is the stuff to learn and use as the bases of policy development. As for behavioral economics: Is it just another fad or something more? In sum I disagree with your analysis and position.

]]> By: Richard Lefcourt http://moneymorning.com/2010/03/17/soft-money/comment-page-1/#comment-17523 Richard Lefcourt Wed, 17 Mar 2010 19:35:51 +0000 http://moneymorning.com/2010/03/17/will-obamas-soft-money-fed-lead-to-hard-times-for-the-u.s.-economy/#comment-17523 Isn't it so predictable that Mr. Obama would look to Berkeley CA for help in bankrupting America. Interestingly, both he and Ms. Yellin never seemed to have worked a business independently in order to make a buck. Yet they've both succeeded within our wonderful country by devoting themselves to the process of controlling and redirecting the wealth produces by others. Isn't it so predictable that Mr. Obama would look to Berkeley CA for help in bankrupting America. Interestingly, both he and Ms. Yellin never seemed to have worked a business independently in order to make a buck. Yet they've both succeeded within our wonderful country by devoting themselves to the process of controlling and redirecting the wealth produces by others.

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