Here's a genius video that in simple terms explains what printing money ("quantitative easing" as the politicians call it) does to an economy, why they're doing it and who really benefits. It's in terms of the U.S economy and the Federal Bank, but its the same principles and you don't need an economics degree to understand it. Enjoy!
Brilliant! I like your blog. These and others should have links from the SP site, don't you think?
ReplyDeleteAnyway, back to QE. Recently the Fed pumped (is that the right adjective?) $1 trillion into the economy. Ever wondered what $1 million looks like? Try this link (hope it works).
http://www.freerepublic.com/focus/f-news/2200841/posts
That was actually a pretty good explanation of how warped this private sector merry-go-round works. I was annoyed when they first announced "quantitative easing" since it sounded a lot like inflation they probably made up "QE" so people wouldn't look at the Weimar Republic. Thats not a good sign.
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