Added: 1 year ago
From: moneycontent
Views: 19,711
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  • Thanks a lot! I love these videos!

  • mvpjesuslovesu - more electronic dollars via QE = a lower price per dollar against other currencies, all other things being equal. Mind you that downward pressure is balanced to some extent by demand for the US $ as a safe haven. Nonetheless by itself QE weakens the dollar, just as the British equivalent weakens sterling.

  • great video thanks! I was just wondering if you could clear up why the dollar would depreciate with QE2? Cheers!

  • miradvorak - maybe but it's a bad idea nonetheless. The inflation spike we are seeing is a direct cause and that's lowered consumer spending in terms of the volume of goods they can afford to buy for the same £1 they had a year ago. In turn that's widened our UK output gap. Grim stuff.

  • Look at M2 and M1 money supply, QE is about maintaining steady growth of M2, they are not sharply increasing M2.

  • MARVELLOUS

  • Another problem with QE is that it basically just creates more debt. Economies grow by savings and investment. You can not spend your way out of debt. The smart people are saving their money and the dumb people (government) are spending money. Thanks for the video

  • Ceasar19abm and TigerGrumman - thanks for the feedback! I agree that more people should understand some of the issues I talk about. Most (City) commentators make them more complicated than they actually need to be and that puts people off. Sadly, I've a way to go to catch Lady Gaga....:) Tim.

  • Tiger you are absolutely right this is one of the most critical issues of our lifetime and it has a pitiful number of views!

  • My latest video "what is operation twist" is now up too under moneyweekvideos. Covers the latest version of QE being mulled by the Fed. Tim.

  • Good vid. Nice and clear. Thankyou.

  • It is absolutely embarrassing that Lady Gaga, will get millions more hits than this video. This is where people should spend their time on YouTube - actually learning something of value. These videos should have nearly 1 billion hits by now.

    13,263 hits??? What a pathetic, sad, sorry and pitiful indictment on society. No wonder the economic elite are allowed to so easily push our buttons. The average person doesn't know enough to STOP them! Sad.

    Great videos! Keep trying!

  • All your videos really deserve more hits than you've had. Maybe the boxy sound and the quality of the video scares people off. (Get yourself a better microphone and turn of the auto function on the camera to fix the altering white balance.)

    My wish for the next one is another one on Bonds: Explaining why economists watch the yield curve so closely, what it tells them, what determins long and short rates and imlications for govenment and business. Seems to be a lot of confusion about that around

  • This is great stuff! Your way of breaking things down and clarify these subjects is outpasesses most commentators by a long shot. I wish I had access to your videos back in business school.

  • remember onr thing about the Fed.... Its not federal and there is no reserve.... and they are crooks, Ben Bernanke's White shoe boy club!!

  • you are better than my professor. Thanks a lot for the great explanation!

  • Thanks for QE 1, 2, earn a lot money by investing Hong Kong real estate market.

  • thank you for uploading this!

  • this is great

  • This dude is very clear in his explanation. Very good video. THX.

  • Thanks for taking the time to explain & post!

  • Great video, thanks.

  • Hey moneycontent, when you say "the government's banker" you gloss over the fact that the both the Bank of England and the Federal Reserve are privately owned. And ARE NOT ACCOUNTABLE to the government. Here's a reading list for you:

    The Case Against the Fed, Murray Rothbard

    End the Fed, Ron Paul

    The Creature from Jekyll Island : A Second Look at the Federal Reserve, G. Eward Griffin

    QE1 didn't work. QE2 won't work. Inflating the money supply doesn't cause economic growth.

  • @labrusca10 He said government's banker, not government bank. Cause these do funtion as their bankers, since when they print money they loan it to the government.

  • @MrPcpv You'd be surprised how many people don't realize that is what "money" is. Our "money" is just pieces of paper and will not be valuable much longer.

  • By the way, I really enjoyed your video. 

    The money isn't being invested in America but in booming markets like China. It's going to be interesting to see how the Chinese government handles the hot money or inflation.

  • Credit has dropped and defaults on loans are increasing. In other words, more money is being destroyed and the overall supply of money is decreasing not increasing.

    QE won't work.

  • Nice presentation Tim. But did you see Ben Bernanke's interview on CBS 60 Minutes recently? In it he says, re the US$600m QE2, that "the Fed is printing money and increasing the money supply" is a myth! Most other commentators, you included, are saying that Fed is creating money to buy the Treasury bonds. Can you explain Bernanke's comments?

  • @PaulRon2008 Pieces of green paper.

  • Expanding money supply by buying up assets, simply creates a new bubble in assets bought. I would suspect that bonds and speculative commodities will absorb the initial inflationary bubble of the QE2. When/if these were to suddenly come crashing down, it will cause similar downward spirals of the last few years.

  • very, very good and ironical presentation - thanks for this !

  • another bad keynesian economics .... QE is just the way to print money

    and it just devalues money that are already in the market ... while they doing QE2,, im sure a lot of banker gonna get another rounds of bonus ... haha ... i locked in on 40 rounds of 1oz silver friday after i heard about QE2 ...

  • Then to add to the mass CORRUPTION , the commercial banks have been running on a "Fractional Reserve" system.  which meant they only needed 10% of the loan amount in their banks to lend money... and this spiral creates DEBT DEBT DEBT DEBT DEBT DEBT DEBT DEBT DEBT DEBT DEBT !!!!! and DEBT !

    MONEY CREATED FROM NOTHING AT INTEREST !!!! Wake up people !

  • missing one corrupt crucial point in the whole system !

    WHERE DOES THE CENTRAL BANKS GET THE MONEY FROM??????

    THEY CREATE IT FROM NOTHING, SO WHY THE HELL DO THEY CHARGE INTEREST ON N O T H I N G !!!!!!!!!!!!!!!!!!!! Thats the key to ALL the problems!!!

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