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Old 10th December 2017, 09:32 PM   #361
psionl0
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Originally Posted by Tippit View Post
The Fed engages in "QE" every time it buys an asset. Money gets created ex nihilo, in exchange for the asset. It's not like this is exceptional.
According to the Fed quarterly report (https://www.federalreserve.gov/monet...ort_201711.pdf) The total assets of the Fed were $4.461T (Oct 2017), $4.465T (Jul 2017) and $4.454T (Oct 2016). In fact, according to the chart printed on the report, total assets have been pretty much constant since the beginning of 2015.

This means that unless the Fed is somehow purchasing assets OFF the books (how?), there has been no QE for 3 years.

Originally Posted by Tippit View Post
It is, through the bureau of engraving and printing.
Yes but the notes don't go into circulation until the Fed "borrows" them from the Treasury.
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Old 10th December 2017, 10:51 PM   #362
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Originally Posted by Tippit View Post
Fixed this for you. Enjoy, ignorance is bliss.
And with evidence, you mean youtoob interviews?

Let's summarize: You have nothing but your gut feelings. Hate to break it to you but that is not evidence.
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Old 11th December 2017, 02:24 AM   #363
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Originally Posted by StackOverflow View Post
And with evidence, you mean youtoob interviews?

Let's summarize: You have nothing but your gut feelings. Hate to break it to you but that is not evidence.
Do we know each other? You seem to know an awful lot about me, and what I know. Either that, or you have a preconceived bias, and are incapable of even viewing evidence that might challenge your worldview.
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Old 11th December 2017, 02:27 AM   #364
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Originally Posted by psionl0 View Post
According to the Fed quarterly report (https://www.federalreserve.gov/monet...ort_201711.pdf) The total assets of the Fed were $4.461T (Oct 2017), $4.465T (Jul 2017) and $4.454T (Oct 2016). In fact, according to the chart printed on the report, total assets have been pretty much constant since the beginning of 2015.

This means that unless the Fed is somehow purchasing assets OFF the books (how?), there has been no QE for 3 years.
There is QE off and on, just not at the $30B/mo since the GFC. But open market activity is just one aspect of money creation. You have to look at net monetary policy which includes lendings, and reserve requirements (in practice the Fed doesn't really meddle with reserve requirements, although the People's Bank of China does).
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Old 11th December 2017, 04:03 AM   #365
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Originally Posted by Tippit View Post
There is QE off and on, just not at the $30B/mo since the GFC.
You have backtracked a long way from what you originally said: "I don't think it's periodic, it's perpetual. QE happens all the time, 24/7".

Originally Posted by Tippit View Post
But open market activity is just one aspect of money creation. You have to look at net monetary policy which includes lendings, and reserve requirements (in practice the Fed doesn't really meddle with reserve requirements, although the People's Bank of China does).
Total assets includes domestic and international holdings. Whether the Fed is exchanging assets for the benefit of its rich mates is one thing (that needs to be proved) but there has been no QE for 3 years and before that only what was announced in advance.

China's internal policies do not create USD.
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Old 11th December 2017, 10:18 AM   #366
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Originally Posted by Tippit View Post
Do we know each other? You seem to know an awful lot about me, and what I know.
What is this supposed to mean?
I don't need to know you to realize that you want me to watch an opinionated Youtoob video. You know why I realized this? Because you wrote that in one of your last posts.

Originally Posted by Tippit View Post
Either that, or you have a preconceived bias, and are incapable of even viewing evidence that might challenge your worldview.
Funny, this is coming from a guy who is basically like: "Watch an opinionated video, this will explain the world to you".

Just for the laughs: Is there any claim in your precious video about the rich elite buying media and educational systems?

What you are doing is called projection. You view the world as a place where rich and extremely evil wrongdoers control everything and nothing will change your views.

Have fun in the little mental prison you built for yourself. I will watch and laugh as you continue to spew your conspiracy babble into this forum while you don't realize that none of your posts will have any impact on reality.
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Old 11th December 2017, 12:09 PM   #367
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Originally Posted by StackOverflow View Post
What is this supposed to mean?
I don't need to know you to realize that you want me to watch an opinionated Youtoob video. You know why I realized this? Because you wrote that in one of your last posts.
You just claimed that I have nothing but my "gut feelings". This implies that you know me, and what I know or don't know, right? Basic reading comprehension. Unfortunately, that can't be the case, since I don't know you, and you don't know me.

Quote:

Funny, this is coming from a guy who is basically like: "Watch an opinionated video, this will explain the world to you".

Just for the laughs: Is there any claim in your precious video about the rich elite buying media and educational systems?
It's evidence. Are you claiming that youtube videos are evidence of nothing? There is a lot of evidence for a lot of things on youtube. That doesn't mean that everything on youtube is true, but evidence is evidence.

Quote:

What you are doing is called projection. You view the world as a place where rich and extremely evil wrongdoers control everything and nothing will change your views.

Have fun in the little mental prison you built for yourself. I will watch and laugh as you continue to spew your conspiracy babble into this forum while you don't realize that none of your posts will have any impact on reality.
It's too bad that you are apparently nothing more than an admitted troll. I'm glad I could provide some entertainment. Have a nice life.
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Old 11th December 2017, 12:14 PM   #368
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Originally Posted by psionl0 View Post
You have backtracked a long way from what you originally said: "I don't think it's periodic, it's perpetual. QE happens all the time, 24/7".
I said that QE, which is nothing more than open market operations, happens all the time, and that is correct.

Quote:

Total assets includes domestic and international holdings. Whether the Fed is exchanging assets for the benefit of its rich mates is one thing (that needs to be proved) but there has been no QE for 3 years and before that only what was announced in advance.

China's internal policies do not create USD.
I think it's been proven that the Fed exchanges assets for the benefit of its "mates", that was obvious during the financial crisis, and Lehman Brothers was clearly not one of its mates, and AIG and Goldman Sachs, among others, were.

I was merely describing why net monetary policy is important, not just open market operations, lending and the setting of interest rates, and reserve requirement ratios. For instance, the Federal Reserve could appear to be "tightening" monetary policy by raising rates, while at the same time engaging in massive QE. Anyone who thought they were actually tightening by paying attention to rates, would be misled.
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Old 12th December 2017, 11:52 PM   #369
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Originally Posted by Tippit
I said that QE, which is nothing more than open market operations, happens all the time, and that is correct.
I think you conflate open market operations as a normal policy measure to set the interest rate with non-standard or unconventional policy measures where the central bank buys assets far in excess of what is needed for interest rate policy. It's not the mechanism (purchases) as such that defines QE, it's the magnitude.

Although, if we're going with the original definition of QE, proposed by Richard Werner in 1994 (pdf!), only central bank purchases of assets with the aim of steering banks into lending for GDP-transactions would qualify as QE.

Originally Posted by Tippit
I was merely describing why net monetary policy is important, not just open market operations, lending and the setting of interest rates, and reserve requirement ratios. For instance, the Federal Reserve could appear to be "tightening" monetary policy by raising rates, while at the same time engaging in massive QE. Anyone who thought they were actually tightening by paying attention to rates, would be misled.
True: net policy is important. But the central bank cannot raise the interest rate and engage in massive QE at the same time, unless it gets to pay interest on reserves. The Fed only acquired the right to pay interest on reserves (IOR) in 2008, so the phenomenon you allude to is mainly constrained to a post 2008 world.

But, of course, in a post 2008 world the central bank can also create a massive amount of reserves and make the banks pay the central bank for holding them. That has, for example, happened in Sweden and in the ECB-system. So that's the inverse of what you allude to.
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