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Newsbud Exclusive- The Fed's Supposed Balance Sheet Tightening:

• newsbud.com by Pye Ian

What will happen as the US Federal Reserve decides to pull away the domestic stimulus punch bowl? How capable are they to do so, considering true economic weaknesses in the system? Will their actions truly be for the good of the US and wider global economies, or is it all part of a much wider, longer term design for collective economic and political synthesis?

Since the 2008 Global Financial Crisis, which commenced in mid-2007 and started receiving major government stimulus and bailouts in late 2008, the Fed has expanded its balance sheet from $897 billion to $4.5 trillion, in unprecedented government economic interventions meant to avoid the onset of another Great Depression. The Fed's adding of essentially money which they conjured out of thin air, amounted to over $3.5 trillion for buying up toxic securities, and constituted "about 25% of the size of the entire US economy at the time", per author Simon Black, up from only 7% prior to the 2008 Crisis.

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