ELI5: 1.5 Trillion Dollars

originally posted by: Xcalibur254
a reply to: randomtangentsrme

How so though?

$1.5 trillion is more than enough to forgive student loan debt. That alone means there's now millions of people with hundreds of extra dollars in disposable income every month. That is hundreds of millions of extra dollars bung injected into the economy on a monthly basis. But we've been told this is not financially viable.

Meanwhile, what the Fed did today sounds more or less like a bailout. Something that only helps the wealthiest of us, in the hopes that they'll share the wealth. Which they never do.

I would fund loan re-education. Teach them that if you borrow something you have to pay it back with interests. There is no forgiveness until it is paid back in full. It actually states this clearly in the agreement but maybe a class where they repeat that sentence over and over for an hour a week for 6 weeks.

a reply to: Xcalibur254

Lack of money isnt a problem when the people that makes the rules are losing money.

What the hell are you guys arguing about? Did anybody even read what the 1.5 trillion is being used for?

a reply to: worldstarcountry

We are just heading in to a crisis. I wont be buying for at least a month. The fact the FED is injecting that much money should make us all very worried, but what I see on here is " Tommy got an ice cream bar, where is my snow cone". The reason they are dumping that much money into the market, is because they are worried about a continued stock market slide, right into a full on crash worse then 1929. They are worried about far worse panic then we are currently seeing.

My 401K was all in a stable money account when the market fell. As long as it holds together through the current mess, we stand to make hand over fist money on stocks when it starts shooting back up.

Im hearing that there will be an announcement from the White House Friday, about a 2-4 week mandatory quarantine starting very soon, to lower the curve on new infections. They don't want the hospitals over run all at once. That is why Donald Trump looked the way he did yesterday. It is something he does not want to do

a reply to: Xcalibur254

Sounds more like D.B. is gonna have a Lehman moment and go pop soon, along with all the derivatives, You need at least a semblance of an economy to BS. and justify the printing , but you also have to control the economy with price controls to keep it all from blowing up. Italy suspends mortgage payments, at least that stops the defaults which would happen anyway and be more final on the bundled mortgage safe securities that keep the pension funds going.
This has only just started, business and mortgage defaults ,are gaining one and a half trillion wont cut it. Next would come a credit freeze, which would mean cash is king, but they have wound down the notes in circulation. That's the reason for the bail in laws this has been in the planning stage for a while . I think your not allowed to buy anything for over a thousand Euros in Europe with cash. China has sung us a lullaby and we have gone to sleep, and she has given us a kiss goodnight.

a reply to: Xcalibur254
Kinda like when Obama came up with billions in cash to send to Iran. Or how about the 3.5 trillion that diapered under Rumsfield.

originally posted by: Xcalibur254
explain to me why there is no money to fund things like universal healthcare, or student loan forgiveness but the Fed can suddenly produce $1.5 trillion to help out Wall Street?

There's not enough people who wants those things to even beat Joe Biden, If you can't even win it with democrats, you'll have no chance with the national election.

a reply to: xuenchen

If it's any consolation, I read it...
Dont really think I understand it but it sounds like they are giving select banks a ton of money to either loan to investors so they can buy stocks and jack up the dow with the seller agreeing to buy the stock back in a given period of time along with some interest, or maybe the bank is buying the stocks.. not sure but is the banks and the fed gonna end up with a bunch of worthless carnival cruise stock to go with their worthless real estate derivatives?

a reply to: Xcalibur254

but can someone explain to me why there is no money to fund things like universal healthcare, or student loan forgiveness

Those are not a function of the Federal Reserve.
Those require to be passed and funded by Congress .
Question asked
Question answered easily

Done
Next

If Wall street flops, then our economy flops. If the government does it right, which is to wait till it goes low enough to recoup it's money, it costs the taxpayer nothing. It has been done before. Evidently there was concern that the stock market was going to send America into a depression. We have now lost eight grand in the value of our stock in the last two weeks. most of that in the last three days.

Corporate socialism.
Welfare for the plutocrats.

a reply to: rickymouse

But if the value was overinflated, probably because of fed and govt manipulation, then you really didnt lose as much as you think.. at least some of that loss was a necessary adjustment that would have happened sooner or later anyway.
Like at the height of the real estate boom. The only ones who really lost money were those who actually bought the idea that the value was an accurate assessment and acted on it, either by buying at the inflated price or taking out a second mortgage on the new found equity in it. If you bought before the values started inflating and just held, you probably didnt lose much.

originally posted by: dawnstar
a reply to: rickymouse

But if the value was overinflated, probably because of fed and govt manipulation, then you really didnt lose as much as you think.. at least some of that loss was a necessary adjustment that would have happened sooner or later anyway.
Like at the height of the real estate boom. The only ones who really lost money were those who actually bought the idea that the value was an accurate assessment and acted on it, either by buying at the inflated price or taking out a second mortgage on the new found equity in it. If you bought before the values started inflating and just held, you probably didnt lose much.

We got the stock many years ago, but we could have sold it in January when we did some adjusting on the dividends to stop reinvesting the money. so we lost what we earned, and we have been paying taxes on the dividends for many years now. It will recover, we can leave it there for years before we need the money. It is AT&T stock so it is fairly stable stock, people will always need phones and they are a big and old company. Not as secure as they used to be, but I have faith that they will rebound.

`

originally posted by: visitedbythem
a reply to: worldstarcountry

We are just heading in to a crisis. I wont be buying for at least a month. The fact the FED is injecting that much money should make us all very worried, but what I see on here is " Tommy got an ice cream bar, where is my snow cone". The reason they are dumping that much money into the market, is because they are worried about a continued stock market slide, right into a full on crash worse then 1929. They are worried about far worse panic then we are currently seeing.

My 401K was all in a stable money account when the market fell. As long as it holds together through the current mess, we stand to make hand over fist money on stocks when it starts shooting back up.

Im hearing that there will be an announcement from the White House Friday, about a 2-4 week mandatory quarantine starting very soon, to lower the curve on new infections. They don't want the hospitals over run all at once. That is why Donald Trump looked the way he did yesterday. It is something he does not want to do

My conspiracy mind thinks big businesses like the NFL NBA etc and their owners have a way to get federal funds from this or insurance funds. Certainly, the cities and states have, so boom takes advantage of a bad situation tap into those funds that aren't audited as much. Like, look at Katrina loads of money pumped into New Orleans, for example, Google New Orleans insurance fraud Katrina. LOL, we all know Silverstein made out like a bandit and he didn't even have a gun. The government has money but with it comes power they ain't giving it up to pay back student loans.

a reply to: putnam6

But, the problem not so much with the student loans as with just the cost of a college education, is that it is putting our workforce at a disadvantage to the rest of the world. A workforce that isnt carrying a high amount of student loan debt is gonna be a cheaper labor force simply because they can be. Which means that companies in other countries that offer low cost higher education can produce the goods and services at a lower cost. And companies here in the states will be more likely to snag those who immigrated from those countries before our own.

originally posted by: Gandalf77
Corporate socialism.
Welfare for the plutocrats.

socialism only works for the rich.

for the student loan people- you say they took they loan, they should pay it back. what about the banks?

for the free market people- how is it a free market if the gov steps in to stop a business from failing?

for the rational- if the gov steps in to stop a business from failing, why dont they do that with the poor? why dont they do that with the people going bankrupt from medical bills? why dont they offer free training in a job that is in demand?

originally posted by: dawnstar
a reply to: putnam6

But, the problem not so much with the student loans as with just the cost of a college education, is that it is putting our workforce at a disadvantage to the rest of the world. A workforce that isnt carrying a high amount of student loan debt is gonna be a cheaper labor force simply because they can be. Which means that companies in other countries that offer low cost higher education can produce the goods and services at a lower cost. And companies here in the states will be more likely to snag those who immigrated from those countries before our own.

Again not exactly a theory I totally agree with just I've heard rumblings

Colleges are now part of the oligarchy the NCAA makes enough from it's televised sports alone to reduce the cost of attending college that said they would fight tooth and nail against the free college movement. They know they will never fleece as much for a basket weaving or primitive music degree from the government. We'd be better off promoting trade schools, and offering courses to students at a younger age instead of letting them get gouged the current university system.

a reply to: putnam6

why not spend that 1.5T on free trade schools?

President Trump needs to enact and sign an executive order classifying the "Federal" Reserve as a direct threat to national security and prevent them from printing or conjuring another single note of their snip paper!!!

FEDERAL RESERVE GONE.

After which he can work with Congress to institute a new currency, A CONSTITUTIONAL CURRENCY backed by the FULL interest of the American People.

Or something to that affect.

They are bailing out INTERNATIONAL corporations AGAIN just like 2008!! All of which is TAXPAYER MONEY THAT CAN NEVER BE PAID BACK that makes GENERATIONS of American families SLAVES to the debt practically FOREVER.😡

This Covid snip is just a scapegoat for what was going to happen ANYWAY. The economy had been on life support (QE) since 2006 quite possibly longer.

Is anyone honestly okay with this???????

The government was slated to collect 2.6 trillion in income taxes THIS YEAR!!!!

THEY JUST BLEW NEARLY HALF OF THAT IN ONE DAY!!!

Nearly ALL of the "Trump BOOM economy" is gone!!!

This isn't over by a long shot. I predict a 16 to 15k bottom and that's being generous.

a reply to: EternalShadow

Isnt that what got Lincoln shot?
And kennedy?
...according to the conspiracists of course.

Just.... dont tell me how I hate trump anymore.
You seem to want him to get himself killed, probably just so the dems and their deep state can be blamed.

Besides, the last time they dropped one currency for another they traded our silver and gold certificates and coins for paper that was backed by the faith in god and the power of being the worlds reserve currency... and the people got ripped off in that deal.
You want to back it with the "full interest" of the american people?? Lol.. a good portion of our population has attention deficit and our president probably is snorting adderall!! You need to find something better to back your new dollar, the only thing the people are interested in is borrowing and spending it.. and of course coming up with newer and better ways to con people out of it.