Goldman Sachs, Larry Summers, and the global financial alliance got their way last Thursday. Fed Chair Janet Yellen rolled over and slobbered on herself like a yellow Labrador…offering more ZIRP to please her masters. Savers, seniors, and freedom lovers the world over got sour lemons.
Here at the Economic Prism we always make lemonade when life gives us lemons. Moreover, when the glass is half empty we reach for a smaller glass. For it doesn’t take much to overflow a Dixie cup.
What we mean is Yellen did us all a grand favor. By continuing the insane policies of mass credit creation she’s accelerating the Federal Reserve’s ultimate demise. From our perspective, the sooner it’s over the better.
Some restraint by the Fed now would only extend the broken scheme out further into the future. Perhaps there’d be another 20 or 30 years more of this charade if the Fed were to pretend it was tightening down the cranks on the money supply. Why not get it over with now?
So if later is 20 or 30 years from now, how soon is sooner? Naturally, no one knows for sure. But we have an inkling that sooner is much sooner than the current establishment can fathom.
This post was published at David Stockmans Contra Corner by MN Gordon – September 22, 2015.
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