The Fed’s Incredibly Shrinking Helicopter

Helicopters Shrink!

Helicopters Shrink!

last nigt we approved of Marc Faber’s endless Fed funny money prediction, so today Fed Chairman Bernanke announced the first reduction in that program. Who are we gonna believe, Faber or that lying Fed boss? That’s unfair to Helicopter Ben; the Chairman has been among the most forthcoming of Fed honchos on record. However, we still support Faber’s prognostication.

The Fed will cut its money pump from $85 B monthly to a mere $75 B per month. The cut will be shared equally between the U.S. Treasury and the mortgage funders Fannie, Freddie et al. That still leaves $75 B to be conjured out of the air and spent each and every month. And today’s happy stock market surely reinforces Bernanke’s wee cut. The Fed has dropped not even a shoe, rather a shoelace. So we remain with Dr. Faber; the spenders control Congress. The Fed is designed to look independent, not to be independent…rather like the Supreme Court…

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About Jack Curtis

Suspicious of government, doubtful of economics, fond of figure skating (but the off-ice part, not so much)
This entry was posted in Congress, Deficits, Federal Reserve and tagged , , . Bookmark the permalink.

2 Responses to The Fed’s Incredibly Shrinking Helicopter

  1. the unit says:

    Momma who would be 100 next Oct. if still around, she said hold property…money slips too easily through the fingers. I know it’s good advice but Hurricane Camille took her home in ’69, they (Dad still there then) had the lot to rebuild on. Then Katrina in ’05 got it completely, even the lot washed mostly away. I don’t know who got government assistance back then, it wasn’t my parents. I’ve read the criticism about living along coastal and river areas, …go tell it on the mountain, or even a mole hill in MS when a tornado comes through.
    I acknowledge the taxing authority gave a tax break for a couple of years. Then when we after Katrina… mom @90 son mid 60’s couldn’t “build that {back) by ourselves” the taxes went back to before. Government owns but doesn’t pay upkeep and repair if an individual on the deed or note.
    There…I’m done.

    • Jack Curtis says:

      Life is a bitch…and then, we die… but we can have some fun along the way. I’ve sat upon a couple of earthquakes and watched neighbor’s homes floating away down a river. I’ve seen the cost of a car go from $750 for a new Chevvie to what it is today, courtesy of government money policy. I figure that with Mother Nature’s high jinks, I have a chance; government is a certainty. Not sure whether that makes me an optimist or a pessimist…

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