Established in 2006 as a Community of Reality

Welcome to the Neno's Place!

Neno's Place Established in 2006 as a Community of Reality

Iraq Dinar/News is a popular topic among many topics this board offers.

See the footer of the board for our Facebook and My business pages.

Be sure and join our Dinar Only Newsletter Email list. It is located on the right. Your User Account Email when joining the board is for with in Neno's Place use of board information which you can control in your profile settings.

Neno

NOTES:
For "Advertising" with in my board to our Membership and Visitors see our "Sponsor Ad Info" in the Navbar. Neno's Place receives a low of 50,000 views a week to over 100,000 plus many times thru out the year.

I can be reached by phone or text 7am-7pm cst 972-768-9772 or, once joining the board I can be reached by a (PM) Private Message.
Established in 2006 as a Community of Reality

Longest Dinar holding Community. Reach Admin by Private Message. Copyright © 2006-2017


What Advice Would I Give The Fed?

Share

Lobo
Moderator
Moderator

Posts : 17858
Thanked : 877
Join date : 2013-01-12

What Advice Would I Give The Fed?

Post by Lobo on Mon 14 Sep 2015, 3:25 pm

What Advice Would I Give The Fed?
Posted on September 14, 2015 by Martin Armstrong

I understand that Larry Summers and the IMF among others are advising the Fed not to raise rates. They are expecting the Fed to sacrifice domestic policy objectives because of international where so many have borrowed in dollars to save interest. This is the real clash between domestic v international, and the consequence of the dollar being a reserve currency.
My advice to the Fed is YES – Raise the lending rate, but do not raise the excessive reserve rate they pay banks. Or lower the excessive reserve rate to zero and leave the lending rate unchanged. This will have the desired impact of forcing the banks to get real. If the Fed raises the rate which includes the deposit rate on excess reserves, the banks will only deposit more money and not lend. This would encourage hoarding and further the deflationary cycle.

This entry was posted in Uncategorized by Martin Armstrong. Bookmark the permalink.

    Current date/time is Mon 05 Dec 2016, 8:37 am