Tuesday, December 18th, 2018 MST

Monthly Archives: December 2015

Bank of Japan to buy equities

Quantitative easing opened a Pandora’s box that will not be closed until massive inflation spreads worldwide. Only when people quit accepting the digital money that central banks spew will it end. However, the end may be far, far away. Traditionally, central banks created money “out of thin air” to finance wars by buying new government

Why gold is real money

Although many gold buyers readily accept that “gold is real money,” few can explain why gold is real money and why moving away from gold as money to fiat money distorts economic activity. The distortion being a boom followed by a bust, and the size of the distortion being determined by the amount of the

The proof is in the pudding

It has almost become a theme of this site that Keynesianism dominates economic thinking around the world. Now, comes “proof” that in order to stimulate economic activity all that is needed are huge quantities of freshly printed money pumped into the financial system. That “proof” comes from Japan where Abenomics has been in play since

QE is here to stay. . .

. . . said Mario Draghi, ECB president, in a speech to Wall Street investors in New York Friday. Only the day before, the ECB had announced its QE plans for the Eurozone, which investors immediately deemed insufficient and stocks declined. Rushing to defend his plan for further money creation and asset buying, Draghi made