We overview the recent shows on Walk The World, where I discussed deflation and inflation with Steve Van Metre and the recent In The Interests Of The People show with John Adams following his article on the question of Quantitative Easing and deflation.
Links to the full shows are below:
The Inflation Deflation Paradox With Steve Van Metre: https://youtu.be/ZfgvDsbTlws
IOTP: Exposing False Deflationary Propaganda https://youtu.be/xPCQ-e0MFGQ
And Steve’s recent discussion on Real Vision at https://youtu.be/h_HCIyc6MaA
Go to the Walk The World Universe at https://walktheworld.com.au/
– Although I agree with A LOT OF things Steve Van Metre has said, the reality is more complicated.
– QE is INFLATIONARY because it’s money “created out of thin air” by the FED, ECB, RBA, RBNZ, ………. . But it also will increase the FUTURE DEFLATIONARY forces by the same amount. So, if QE was say $ 10 billion in size then the future deflation will also be $ 10 billion larger.
– But when one looks at the dynamics of QE between the banks and the FED/RBA/RBNZ then it’s a swap and that is NOT IN-/DEFLATIONARY.
– Banks don’t need the money from QE !!!! Because they can create as much “money out of thin air” as they want. (Just ask Steve Keen). Banks use those “Excess reserves” for a special purpose.
– Let’s assume one Mr. M. North in Wollongong pays his electricity bill to the tune of say $ 1000. Mr. North is banking with bank A and the electricity company is with bank B. Now Mr. North orders bank A to transfer $ 1000 (in his name) to the account of the electricity company at bank B. Now bank A takes $ 1000 from its “excess reserves” and transfers that to bank B. That’s what those “Excess Reserves” are used for (just ask Steve Keen !!!).
Hi All
I’m backing deflation.
Because lets face it everyone is trying to create inflation and what they’re doing simply isn’t working. Apparently targeting the wrong people who are not spending.
Plus they are terrified and that fear is making things even worse. Wait till the public get to understand whats happening.
While small businesses will be closing down there will be less jobs and so on. The bigger businesses who supply the smaller ones will be cutting back.
Witness the truth in less than a year. Part of that will be another round of giving more to those who will just throw it on their pile. While the needy starve more or less.
Tradesman