It must be finally getting crunch time for the primary central banks around the world because on Oct. 10, the G30 group of global money printers admitted in a detailed report that the tens of trillions of dollars, euros, yen, and other currencies they have infused into the system has done absolutely nothing for local economies, and instead has accomplished what alternative economists stated would happen from the very beginning…
Create asset bubbles, un-payable debt, and assure that there would be no sustainable growth.
In addition to their ‘coming to Jesus’ moment, which may have occurred in September when the Fed found themselves unable to raise interest rates even a quarter point, the group of central banks are seeking to blame sovereign governments for failing to direct their printed monies where they would be most appropriate, and are deflecting their own failures elsewhere despite the fact that central banks like the Fed and ECB are outside of government controls to begin with.
Central banks worked alongside governments to address the unfolding crises during 2007–09, and their actions were a necessary and appropriate crisis management response. But central bank policies alone should not be expected to deliver sustainable economic growth. Such policies must be complemented by other policy measures implemented by governments.
At present, much remains to be done by governments, parliaments, public authorities, and the private sector to tackle policy, economic, and structural weaknesses that originate outside the control or influence of central banks. In order to contribute to sustainable economic growth, the report presumes that all other actors fulfill their responsibilities.
Central banks alone cannot be relied upon to deliver all the policies necessary to achieve macroeconomic goals. Governments must also act and use the policy-making space provided by conventional and unconventional monetary policy measures. Failure to do so would be a serious error and would risk setting the stage for further economic disturbances and imbalances in the future. – Reuters
Perhaps what is most ironic is that this new report comes just days after former Fed Chairman Ben Bernake sought to accuse U.S. regulators and the Judicial System for not ‘jailing’ bankers after the 2008 credit crisis, and to speak as if he had nothing to do with the results that are now occurring from five years of massive money printing, bubble creation, and zero interest rates.
Central banks have never had the primary purpose of protecting an economy, or judiciously regulating a nation’s money supply. Instead their purpose, going back to their creations over the past 400 years, has been to protect private banks and through the tool of inflation, steal the wealth of a given country and then move on to new fields that are untouched by their locust instincts. And with the U.S., Europe, Japan, and others standing on the precipice of near complete insolvency, the sociopaths within the global central banks are trying their best to deflect their failures onto someone else, and act like the results the world is experiencing was not their fault.
Kenneth Schortgen Jr is a writer for Secretsofthefed.com, Examiner.com, Roguemoney.net, and To the Death Media, and hosts the popular web blog, The Daily Economist. Ken can also be heard Wednesday afternoons giving an weekly economic report on the Angel Clark radio show.