Bankers it is Immoral to fund war

[Harvey]

What would happen if the majority of the earths populations stopped buying stupid shit for a few weeks? Just absolute essentials. I know, it's no better than what if everyone jumped into the air at the same time. But what if? Would it change anything?

[slimmouse]

What would happen if the majority of the earths populations stopped buying stupid shit for a few weeks? Just absolute essentials. I know, it's no better than what if everyone jumped into the air at the same time. But what if? Would it change anything?

Well, it probably wouldnt change the way we produce energy, which is an insult to the collective human intelligence when you look at the way we currently generate it.

Same with money.

Same with Medicine.

Same with Warfare

Its all same same even if it sounds different.

[Harvey]

What would happen if the majority of the earths populations stopped buying stupid shit for a few weeks? Just absolute essentials. I know, it's no better than what if everyone jumped into the air at the same time. But what if? Would it change anything?

Well, it probably wouldnt change the way we produce energy, which is an insult to the collective human intelligence when you look at the way we currently generate it.

Same with money.

Same with Medicine.

Same with Warfare

Its all same same even if it sounds different.

I agree. What I'm really wondering is, what if "consumers" went on strike. How would people do it, organise it, make the idea attractive, if indeed the idea has any merit at all. Which it probably doesn't. But just as a thought experiment...

[slimmouse]

youre probably asking the wrong person when it comes to collective organisation.

Heres a very quick recollection of what an infamous writer once said, when asked how we can change things, to which the reply was-you will know what to do.

When you envision humanity as you might like to see it, its gotta start withiin.

[Harvey]

youre probably asking the wrong person when it comes to collective organisation.

Heres a very quick recollection of what an infamous writer once said, when asked how we can change things, to which the reply was-you will know what to do.

When you envision humanity as you might like to see it, its gotta start withiin.

I almost wish I could convey the pain I went through trying to effect that change from within. In the end, so many disparate and contradictory views couldn't be reconciled, I tore myself apart. Was it ever different? The very metaphor of crucifixion. Meanwhile, a "consumer" strike as a possible avenue of retaliation, perhaps even as a roadblock on the way to salvation, how might one 'sell' it as an idea?

[Iamwhomiam]

Economics matters. Go with instituting a circular economy. We'd all be happier and healthier.

http://tinyurl.com/hkzjdp3

[Elihu]

Relocated to proper thread


Central bank balance sheets and yield curves The difference between the long and short treasury rate is known as the ‘yield differential.’
For example, if the 10–year rate is1.69% and 2–year rate0.72%, the (10/2) yield differential is 1.69% minus 0.72% or 0.97% (97 basis points.)Why is the yield differential important?
It gives an indication on the profitability of the banking sector –the participants of which sell shorter term bonds and buy longer term bonds.

‘Selling’ shorter term bondsshould be understood as including their new issuance by the bank. By ‘buying’ longer term bonds, it should be understood that this includes granting new mortgages and loans more generally. So for this activity to be profitable in terms of fiat, it means that the yield differential must be positive.

Where do the risks in such a strategy lie? The success of re-issuing the shorter term bonds upon maturity (or ‘rolling’) could have a completely different dynamic each time the bonds mature.
Market conditions could have changed making it impossible to re-issue the shorter term bonds, or only by payinga rate higher than that being received on the longer term bonds purchased (this is called an inverted yield curve.) Such a condition –if prolonged –would wipe out the equity base of the banks. However, with the idea of a ‘repurchase agreement’ with the central bank and quantitative easing, the risk of the banking system experiencing this from here on is precisely zero; such is the fiat game.

The US 10/2 year yield differential currently (1st March) stands at 96 basis points (bps.) This is down from the high of 281bps achieved in 2011. If we adjust the yield
differential so that the dollar gold ‘price’ is fixed, it can be observed on the chart in the previous page that the yield differential is no higher than it was in 1995!

Turning to the Federal Reserve’s balance sheet, 2016 will be a most interesting year. By 9th March, $32bn (1.3%of treasury holdings) of treasuries held within the TARP mature
and need to be replaced. Within one year, $228bn (9.3%) will need to be replaced. The fiat interest rate structure is falling down naturally–it isn’t being pushed or pulled down as is often described by the financial press.

The median maturity of treasuries held within the TARP is 96.8 months, down from 105.1 months over the year. The median maturity of treasuries outside (i.e. still in the ‘open’ market) is 69.3 months –much lower than the maturity of treasuries within the TARP. This presents a recurring problem –because the maturity of treasuries about to be purchased has to be in excess of the maturities of the treasuries held within the TARP. Of the $18.9 trillion US govt. debt in issuance, only 20% of the addressable market has a maturity greater
than 96.8 months. It’s this recurring problem that’s causing fiat interest rates to fall down into oblivion. Nothing can reverse this.

With this dynamic now understood, it can be seen that the ‘vertical spread’ –the difference between the earnings’ yield on stocks and (falling) interest rates –will always mean that there’s incentive to conduct (fiat denominated) business...and with that, the equity exchange will soar. ♦
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http://feketeresearch.com/upload/First-Quarter-2016.pdf

[Elihu]

I agree. What I'm really wondering is, what if "consumers" went on strike. How would people do it, organise it, make the idea attractive, if indeed the idea has any merit at all. Which it probably doesn't. But just as a thought experiment...

strictly speaking a consumer strike is not possible. systematically, to the extent we engage with it, a consumer filling its needs for biological existence automatically supports state violence. from the barcode on that apple to the tag on your mattress, to the doctor, to the church, to the school, to the computer, to the tv. consumer preference is an afterthought to what he or she has already participated in that day.

[PufPuf93]

Elihu

What is Greenspan's Conundrum?

[Elihu]

i don't know, would have to google it,

probably something about how hard it is to run the world, for Greenspan anyway

[PufPuf93]

i don't know, would have to google it,

probably something about how hard it is to run the world, for Greenspan anyway

Andrea Greenspan

Actually Greenspan's Conundrum is falling long-term rates in the presence of rising short-term rates. Trivia.

[Elihu]

found it! http://www.wsj.com/articles/SB111931620512664812

Updated June 21, 2005 12:01 a.m. ET It is stunning for the head of our central bank to describe himself as mystified by the behavior of overall rates. But he has plenty of company.

he's stoned, he's clueless, he's mystified. apparently still is. told you it was hard running the world

[DrEvil]

^^He's an objectivist, so yeah, all of the things you said. Few people have done as much damage to the United States as Ayn Rand and her mindless acolytes.

[PufPuf93]

found it! http://www.wsj.com/articles/SB111931620512664812

Updated June 21, 2005 12:01 a.m. ET It is stunning for the head of our central bank to describe himself as mystified by the behavior of overall rates. But he has plenty of company.

he's stoned, he's clueless, he's mystified. apparently still is. told you it was hard running the world

"he's stoned, he's clueless, he's mystified. apparently still is." is probably why the trivia that is Greenspan's Conundrum stuck in my brain and I don't run the world but maybe should debate with myself whether to burn one.

[Freitag]

What would happen if the majority of the earths populations stopped buying stupid shit for a few weeks? Just absolute essentials. I know, it's no better than what if everyone jumped into the air at the same time. But what if? Would it change anything?

I doubt it would change anything. The production and distribution of "stupid shit" employs a lot of people. It would be cutting off your nose to spite your face.

This whole negative interest rate thing has got me worried on the one hand, but wondering how to profit from it on the other. Maybe I should invest in home safe manufacturing companies for when people start hoarding cash.