Wednesday, May 23, 2012

Reflections on Post-Capitalism, Political Entrepreneurialism, and the Bernanke Contrarian Index

Federal Reserve Interest Rates - Reflections on Post-Capitalism, Political Entrepreneurialism, and the Bernanke Contrarian Index.
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We had a good read. For the benefit of yourself. Be sure to read to the end. I want you to get good knowledge from Federal Reserve Interest Rates . Follow us @ twitter.com twitter.com Welcome to Capital Account. We've heard billionaire investor Warren Buffett saying the rich should be taxed more. That he should be taxed more. He's mad ethe case very publicly and with much fanfare, that he pays 17.7% in taxes, a lower tax rate than his secretary...and not just his secretary...all of his office staff. Sounds impressive, but our guest today asks if we should slap a warning label on each one of Buffett's public pronouncements as well. Before we get into the matter at hand, let's look back at a little history. Back in 2003, for example, Buffett was warning about the value of the dollar, the nation's debt, and what he said was the US exporting its net worth abroad. He wrote an article warning about this exact issue back in 2003...the famous "squanderville vs. thriftville." The article was titled "America's Growing Trade Deficit is Selling the Nation out from Under us." The US, of course, was Squanderville. Warren Buffett wrote, among other things, that sooner or later the Squanderville government, facing ever greater payments to service debt, would decide to embrace highly inflationary policies -- that is, issue more squander bucks to dilute the value of each. But fast forward to the 2008 financial crisis and Buffett was not worrying about the debt-increasing-bailouts of the financial system; he was advocating for them. Remember how he pushed for TARP? This as the treasury's action plan which Hank Paulson was pushing. This ...
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