I have argued for quite a while that QE will not and cannot stop, at least on anything other than a temporary basis. The rationale for my position has been that without the Fed, the federal government will not be able to fund its deficits and continue paying its bills. Dissatisfaction amongst foreign investors, particularly [...]
Tag archives for foreign investors
Obama’s “Ides-of-March” Moment is Near
In Jimmy Carter’s reign, the Wall Street Journal editorialized about “Ratcheting to Ruin.” The title derived from the fact that each cycle high in unemployment was higher than previous ones, and each cycle high in inflation was also. “Stagflation” was coined to describe what up until then was believed to be impossible in the Keynesian [...]
Tennessee Williams Was Smarter than US
The United States is now dependent on the rest of the world to finance its government deficits. As the sovereign version of Tennessee Williams’ Blanche du Bois in Streetcar Named Desire, we are truly “dependent on the kindness of strangers.” The government has no way to finance itself other than to borrow from strangers (or [...]
