As I kept searching for an answer to Bernanke’s perplexing QE 2 program for him, I could not help keep trying to find some more excuses for him. His own excuse that he wanted to help create jobs for Americans by hoping to bring the long term interest levels down simply was not convincing enough and sounded more and more absurd. Even a bozo knows more easy money and more flood of dollar liquidity will not help reduce unemployment for Americans before they create millions of jobs for the Chinese, Brazilians, Australians, Wall Street fat cats and big banks in America.
The long term interest rates went sharply higher instead, as explained in the previous blog post, making it more and more difficult for people to own homes and hence further depressed property value that destroyed the core of American wealth. Small businessmen found it harder and harder to create business opportunities and jobs across America.
The excess dollar liquidity would also only be and had indeed been sucked up by the big banks and the fortune 500 big multi national corporations who work only for their own share holders, not the American public and who create jobs only where it makes more sense at the least cost. So $600 million would not do it to create any significant number of jobs for Americans. Not even $6 trillion, before it turns the world upside down.
Meanwhile, this dollar liquidity has flooded the market and has created hyper inflation in food, clothing and energy for the rest of the world. Although the iPad economists like Bernanke keeps claiming that there is no inflation in the US after they have walked around Best Buy stores in their bargain hunting shopping trips, the majority of the world’s population does not live on notebook PCs, flat screen TVs or Groupon bargain deals.
When people can not get affordable food and basic living necessities to feed and clothe their family and themselves, social unrest ensues. It does not take a PhD to understand this. Bernanke simply needs to watch more of these extraordinary events unfold around the world by turning on his new flat screen TV that he bought on a bargain sale at Best Buy.
Will Bernanke be the person to unleash and bring out the four horsemen to our world by December 21st, 2012?