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The Money Supply Keeps Growing as the Fed Backs Off Monetary "Tightening"mises.org/mises-wire/money-supply-keeps-growing-fed-backs-monetary-tightening
194 sats \ 10 comments \ @Undisciplined 12 Apr econ
By Ryan McMaken
In February, the money-supply growth rate accelerated and continued near a two-year high. Meanwhile, the Fed is chickening out in its efforts to shrink the Fed’s balance sheet.
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37 sats \ 0 replies \ @Coinsreporter 12 Apr
Of course 1 BTC = 1 BTC, whenever M2 grows, Bitcoin Fiat price moves upward.
I take it as a blow to fiat and another victory for Bitcoin.
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32 sats \ 5 replies \ @grayruby 12 Apr
Fed will be doing a lot more chickening out soon.
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40 sats \ 4 replies \ @Undisciplined OP 12 Apr
Do you think it'll be as dramatic as the 2008 drop?
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47 sats \ 3 replies \ @grayruby 12 Apr
Hard to say. Blow ups tend to take the market by surprise while predictions of the next blow up that never seems to come to fruition are always a plenty.
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79 sats \ 2 replies \ @Rothbardian_fanatic 12 Apr
I would like to disagree with you on these problems being a surprise. The Austrians predict these problems coming a mile away and they know the exact cause, not just the proximate cause! The direct cause is the Federal Reserve Bank and the fractional reserve system the banks employ. Throw in a little moral hazard and you have your exact answer as to how and who. The precise when is the harder part to tie down, but it comes as absolutely no surprise that it is coming a will be very nasty, due to previous interventions to prevent proper corrections.
As I recall the new, unelected Canadian PM was the head of the Bank of England and Canada’s central bank, too. You can see the results in England, already, but they seem somewhat more obscure in Canada, so far, but they are coming soon to your location, too. It never fails with fiat currencies.
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49 sats \ 1 reply \ @grayruby 12 Apr
Agree but we don’t know exactly where the fiat perversions are going to create too much instability. Very few were predicting the housing crisis in 08. No one was predicting the short VIX trade blow up or the repo crisis or the Silicon Valley bank blow up. Of course we know more of these events will occur but it is often a surprise when and where they play out was my point.
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72 sats \ 0 replies \ @Rothbardian_fanatic 12 Apr
As I said, I think the only surprise involved is when THEY pull the trigger. THEY know exactly where they are pointing the gun and the exact result of pulling the trigger, they only have to make the decision of when it is most advantageous for THEM and disadvantageous for everybody else. After all, THEY are only doing it to consolidate all the wealth of the world in THEIR hands. Unfortunately, they are just not understanding that the wealth of the world comes from the efforts of the people in the world, not just the things and persons. People have the genius, not things and never AI.
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23 sats \ 2 replies \ @Rothbardian_fanatic 12 Apr
Why would they tighten money supply at all? Their business is not to cause deflation but to cause inflation. A by-product of their policies is to cause catastrophic collapses in the economy of the country at specified points for the profit of the collateral holders banks. This is one of the reasons why, ”You will own nothing and be happy!”
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20 sats \ 1 reply \ @Undisciplined OP 12 Apr
Generally, the elites fear inflation because it leads to revolutions. Other things equal, they prefer inflation to deflation, but they prize keeping their heads attached to their necks above all else.
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42 sats \ 0 replies \ @Rothbardian_fanatic 12 Apr
The revolutions only come if the inflation is too much on the hyper side, so to speak. It looks like people will put up with about 15 - 20% short-term inflation with out too much revolution. I can say, though, that OBiden’s inflation probably caused Harris’ loss to Trump because people rightfully knew where all the inflation problem was originating. The FED was supporting OBiden’s helicopter money type spreading the fiat like manure out of a manure spreader.
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