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May 19, 2013
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How Low Can Bernanke Go?Posted on Dec 15, 2008
Ben Bernanke and his squad of rate setters are expected to cut interest by as much as three-quarters of a point on Tuesday. With rates already at 1 percent, we mortals are left wondering what the Fed chief plans to do when he runs out of rates to cut. Upate: Rates go as low as zero.
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By dihey, December 16, 2008 at 11:25 am Link to this comment
Fortunately we Westerners have adopted the concept of negative numbers a long time ago. If I am not mistaken we learned these from the Arabs of El Andalus.
Report thisHere is how low Bernanke can go for our auto industry. Offer GM a loan at negative interest, say -10%. What does that imply? Say GM asks for a loan of 1 billion. The Feds will give GM 1.1 billion of which GM needs only to repay 1 billion dollars. Bingo, economy is stimulated at the tune of 100 million!
By Purple Girl, December 16, 2008 at 9:15 am Link to this comment
what has been a intrical part of enslaving the American economy (thus US) has been Interest rates.
Report thisHow is it acceptable that banks can borrow at such low rates, yet such rates never transfer to the consumer. How is it that the Fed has been lending at what 1.5% for a few months, and yet I have just gotten notification from 3 Credit Cards my rates have been adjusted UP????Not because I’m delinquent…But to hedge their bet, or possibly to drive me further into debt. About 1/5 of the total on one credit card is Interest paid JUST this year!And I have not missed One payment.they have been nickle & diming US to death. Gee wonder why no ones interested in more ‘Credit’. Only the insane do the same thing over & over and expect a different result.
Interest is not only a revenue method, it is speculating on the future value.
Case in Point, we bought a 125,000 home, if we did nothing to refi, or increase our payments the house would ultimatley cost Us 300,000 after a 30 yr mortgages. Do I think this house will be worth 300,000 in 30 yrs ...NO. One it’s already about 100 yrs old, 1500 sq ft, small yard..Small town a plus- but certainly not going to increase the value of my house by 175,000. So ‘Equity’ is only useful to a point, and ‘flipping’ from mortgage to mortgage is essentially just renting. smoke & Mirrors- since neither long term home ownership or short term really equate to anything.
Serious laws must be inacted to protect borrowers from lenders greed and speculation. Whether it’s the Teflon don lending you money or Citibank, the crimes committed against the person and the community remains the same.this concept of ‘Interest’ must be addressed. It has proven itself NOT to be in the ‘interest’ of the citizen, thus the antithesis of What this country For & By the People stands for.
How much is americans ‘Debt’ is related solely to Interest charges?
By Eric L. Prentis, December 16, 2008 at 8:45 am Link to this comment
The cause of the severe recession of 2007-2009 is laid at the feet of Wall Street greed, no government regulation, out of control off-shore corporations, bogus academic theories based on incorrect premises, made-up security ratings, insurance sold without reserve requirements, paid-off/scared politicians and incompetent pension fund purchasers. The shadow financial sector brings down the real economy and the Federal Reserve, with political blessing, bails out the banking crooks while the real victims are forced to pay trillions of taxpayer dollars. This much is certain, the US financial ruling class, i.e., Paulson/Summers/Geithner/Bernanke, must be replaced for America to have any chance of recovery; where is Congress?
Report thisBy Shift, December 15, 2008 at 10:58 pm Link to this comment
The real Mr. Bernanke can be found in the following:
Report thishttp://www.globalresearch.ca/index.php?context=va&aid=11401
By samosamo, December 15, 2008 at 9:25 pm Link to this comment
Hopefully, bernanke will go so low as to put a bullet in his traitorous head and greenspan will too. Both of them are criminal. Then maybe the military will have target practice on all the federal reserve buildings in the USofA. They are the ultimate cause of all this and they along with their criminal elite class of thieves must be held accountable.
Report thisAnd hopefully the congress will not only repeal the federal reserve act but make it a high priority law against central banking in this country. Any way, there will never be a better way or time to rebuild this country.
By irspariah29, December 15, 2008 at 7:57 pm Link to this comment
If there are no takers at 0%, maybe they should give it away on the streets instead of to the banks. That will effectively demonstrate how useful the banks really are, won’t it!
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