Bernanke Reveals How Flawed His Read Is

[sunskyfan]

On Sixty Minutes yesterday (12/5/2010) the Fed Chairman gave an interview.

About 11:55 in Barnanke connects unemployment to the failure of Lehman and implies that if the Fed bailout had not happened 10-12 larger financial entities would have failed and unemployment would be 25%. Has Professor Bernanke ever stopped to consider that the logic is reversed and it is these firms behavior and reflections of that behavior in the greater economy that has and is causing the rise in unemployment? He seems to think that it was some act of god that caused the economic down turn and not the firms themselves.

http://www.cbsnews.com/video/watch/?...ain;contentAux

[Raz]

Re: Bernanke Reveals How Flawed His Read Is

This man is either an (a) academic idiot, or a (b) criminal.
My vote: he's both.

I don't think there's much hope for our country; if Ron Paul is denied the chairmanship of the House Financial Oversite committee
we'll then know that hope has gone from slim to none, and "Slim just walked out the door".

[Slimprofits]

Re: Bernanke Reveals How Flawed His Read Is

He seems to think that it was some act of god that caused the economic down turn and not the firms themselves.

Maybe so, but what is much more likely is that he knows exactly what happened. This line is what Bernanke and the rest of the political class want the talking heads and experts in the mainstream media to repeat (Bernanke is still a god) and regular Americans to believe without question.

The information contained in this thread proves it:

http://www.itulip.com/forums/showthr...n-past-3-years

[sunskyfan]

Re: Bernanke Reveals How Flawed His Read Is

I don't see the up side for corruption for him so I am pretty sure he is just and academic idiot. If you listen further he blames inequity in the economy on whether people have an "education" or not. I am a big supporter of the idea of an education but to map a CEO making 300 to 400 times the income of an employee in the same company to educational difference seems an absurd idea. Does this mean that if I am better educated then my health costs go down by 300 or 400 times or the price of gasoline? Yes, I am thinking academic idiot.

[GRG55]

Re: Bernanke Reveals How Flawed His Read Is

This man is either an (a) academic idiot, or a (b) criminal.
My vote: he's both.

I don't think there's much hope for our country; if Ron Paul is denied the chairmanship of the House Financial Oversite committee
we'll then know that hope has gone from slim to none, and "Slim just walked out the door".

He's a politician. What politician these days gets rewarded for stating the truth? I stopped overly-concerning myself with what comes out of Bernanke's mouth at "Subprime is contained...".

[Milton Kuo]

Re: Bernanke Reveals How Flawed His Read Is

There is more of the Bernanke interview here on 60 Minutes Overtime which contains material not shown in the regular 60 Minutes segment available on the web.

Despite the fact that Bernanke was being dead serious during the interview, I couldn't help but burst out laughing at the following reply he made regarding the $600 BB for Quantitative Easing II.

First of all, this is not fiscal policy; it's not spending; it doesn't increase the deficit. In fact, because we earn interest (the Federal Reserve earns interest on the securities we buy), which we remit back to the Treasury, this policy actually decreases the government deficit. It's not deficit spending.

Taking the above idea to its absurd extreme, perhaps the Federal Reserve should buy many trillions of dollars of securities and use the interest on those securities to totally eliminate the government deficit.

For some odd reason, the seeming logical fallacy in Bernanke's statement brought to mind this famous speech. "I am not a destroyer of companies. I am a liberator of them! The point is, ladies and gentlemen, that greed, for lack of a better word, is good."

[flintlock]

Re: Bernanke Reveals How Flawed His Read Is

I don't see the up side for corruption for him so I am pretty sure he is just and academic idiot. If you listen further he blames inequity in the economy on whether people have an "education" or not. I am a big supporter of the idea of an education but to map a CEO making 300 to 400 times the income of an employee in the same company to educational difference seems an absurd idea. Does this mean that if I am better educated then my health costs go down by 300 or 400 times or the price of gasoline? Yes, I am thinking academic idiot.

Yes, the education argument is wearing thin. Especially in light of all the freshly minted college grads with $200k of school loans who can't find a job.

[Raz]

Re: Bernanke Reveals How Flawed His Read Is

I don't see the up side for corruption for him so I am pretty sure he is just and academic idiot. If you listen further he blames inequity in the economy on whether people have an "education" or not. I am a big supporter of the idea of an education but to map a CEO making 300 to 400 times the income of an employee in the same company to educational difference seems an absurd idea. Does this mean that if I am better educated then my health costs go down by 300 or 400 times or the price of gasoline? Yes, I am thinking academic idiot.

Technically I think you're correct. However, ask yourself this question: do you believe Bernanke doesn't know that his policies are raping retirees, small savers and wage earners?
That his policies are benefitting the very sociopathic scumbags who caused much of the financial collapse?
If he does, then he's either a criminal-in-practice, or he's too damn dumb to have a drivers license.
Dumb he's not.

I read the transcript of his 60 Minutes "perfomance" from Sunday night.
This man is arrogant and mendacious. He is a condescending liar of the first order.

[sunskyfan]

Re: Bernanke Reveals How Flawed His Read Is

I see your point. How about we agree that the Professor Bernanke is a very well spoken chickensh&t doing Mr. Blankfein's God's work? ;)

[aaron]

Re: Bernanke Reveals How Flawed His Read Is

Taking the above idea to its absurd extreme, perhaps the Federal Reserve should buy many trillions of dollars of securities and use the interest on those securities to totally eliminate the government deficit.

BINGO!

Print and print until the market says stop. It has not yet. Eventually, the FED will own all of the treasuries in existence and the U.S. government will be practically debt free. What is not to like?

[Shakespear]

Re: Bernanke Reveals How Flawed His Read Is

Raz you have dissected Professor Bernanke very sharply.

Love this

This man is either an (a) academic idiot, or a (b) criminal.
My vote: he's both.

When he was talking about the expected years of high unemployment, something tells me that they had to shoot this a few times as his voice betrays worries that he will bring hell on his head if he gets it wrong.

As in

"I have no clue when we will get out of this if ever. Oh My God I said it. Lets shoot that again."