QE3 will fail. A bettor's perspective.

Say you are at the five dollar crap table and you are getting it handed to you like nobody's business.

Wait! Over there is the 25 dollar crap table. A few quick hits and you will be back in good shape!

So you go over there and buy in. Whats likely to happen?

Never chase your losses. Press up your bets when you are winning or you risk going completely broke.

QE3 will break the US financially. Our debt rating will be lowered.

And that's my rant.

reply to post by sonofonehunlo

I agree... as my recent thread on the budget so clearly shows. They've gone totally insane on economics and this is it. It's been a great system while we had it...now let's hope the crash is manageable and doesn't lead to more than simply the economic collapse. THAT we can rebuild from without losing what makes us America.

However.. 40 billion a month is 480 Billion a year. Half a trillion to deficits already at 1.3 Trillion or so.... this comes close to 2 TRILLION a YEAR deficits.

Really... Game over.. Now it's a question of time.

It is the Federal Reserve Bank that is buying up the securities - technically Not the US Government. But what happens if the Fed goes "belly up"...will the US Treasury bail it out and then provide the coup de grace for a US bankruptcy?

reply to post by CosmicCitizen


You're absolutely right of course. The Federal Reserve is neither truly Federal or a Reserve of any kind. Oh..talk about an example of calling it one thing and being quite another.

After Bush started this nightmare with the first mini crash and Obama has rode it like a prize stallion, the lines are so blurry now....just where does one end and the other start? I sure don't know anymore. Not in any practical and real sense, anyway.

reply to post by Wrabbit2000


I'm thinking 2013. I wouldn't want to be president...
Id be buying up land somewhere and farm equipment instead.

Man my short life has changed so much...
I miss the 90s.

As far as who is buying securities it doesn't matter when it comes to inflation. they're just moving around debt, from the banks to the people. When I cannot buy as much with the same amount of money that means they took money from me.

ggrr

reply to post by Dustytoad

Funny you should say that but my other half and I were just discussing last night how many senior and established members of Congress on both sides, took this time and all at the same time to choose life outside politics. So many seats are open because an incumbent willingly walked from power they likely wouldn't have had debate about keeping. Never have in the past.....in most cases.

Perhaps we're seeing why as this starts to play out in the last stages. It's not as though anything here was shocking and unforeseeable and House/Senate members with rank would have known far more all along than we have to foresee it by.

And away we gooooooooo!