Sean Egan: LISTEN TO THIS in [Market-Ticker]

Posted 2012-06-04 16:10
by Karl Denninger
in Editorial

Sean Egan: LISTEN TO THIS

"When you print money in excess of GDP growth you are making creditors poorer."

Note that when you hold someone else's debt (e.g. currency in a debt-backed system, or any sort of credit instrument) you are the one that has your wealth stolen!

Thank you Sean Egan!

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User Info	Sean Egan: LISTEN TO THIS in forum [Market-Ticker]
Tesla Posts: 15541 Incept: 2008-04-03 State of Disbelief	Link ? ---------- "Even a dog knows the difference between being stumbled over and being kicked." -Justice Oliver Wendell Holmes "Neither the wisest Constitution nor the wisest laws will secure the liberty and happiness of a people whose manners are universally corrupt." -Samuel Adams 2012-06-04 16:27:35 Permalink
Delphis Posts: 1014 Incept: 2009-06-04 Washington	Karl, is that Sean Egan from Google or Egan-Jones? ---------- "Two things are infinite: the universe and human stupidity; and I'm not sure about the universe."....Albert Einstein "Be courteous to all, but intimate with few, and let those few be well tried before you give them your confidence."...George Washington 2012-06-04 16:27:53 Permalink
Mcmwest Posts: 133 Incept: 2009-04-06 Western Kansas	Even a 12 year old can understand. Canadian but worth sending on to your non-believing friends. http://therealnews.com/t2/component/hwdv.... ---------- According to NBER the recession ended in June 2009 so if you're broke and out of a job its all in your head.- Jay Leno 2012-06-04 16:29:16 Permalink
Genesis Posts: 130686 Incept: 2007-06-26	Egan-Jones! On CNBC! ---------- I don't care* if it makes sense -- only if it makes money. -- Me* Bank (n): See scam, fraud and theft. *Eat a bankster -- they're low-carb.* *What part of "shall not be infringed" was unclear?* 2012-06-04 16:31:32 Permalink
Pietertvl Posts: 3587 Incept: 2007-12-05 NFA	But if "we" are no longer a creditor nation, but a nation in debt, and externally indebted at that, why is printing then not a "rational" strategy? ---------- "All the perplexities, confusion and distresses in America arise not from defects in the constitution or confederation, nor from want of honor or virtue, as much from downright ignorance of the nature of coin, credit, and circulation." ~ John Adams 2012-06-04 16:33:38 Permalink
Eaglewwit Posts: 6054 Incept: 2007-11-30 SoCal Banned	The CNBS audience doesn't understand this. So they will ignore it. 2012-06-04 16:35:40 Permalink
Aztrader Posts: 6648 Incept: 2007-09-10 Scottsdale, AZ	I wonder how much Ben is down on all the Euro swaps he has been doing. Not to worry, the taxpayers are there to back him up................... 2012-06-04 16:39:20 Permalink
Mayorquimby Posts: 13909 Incept: 2008-09-18 The Archaic Past	Quote: The CNBS audience doesn't understand this. So they will ignore it. The CNBS audience is hooked on 25 years of Monopoly money from the FOMC. ---------- They who wish to hurt you, work within the law. - Morrissey Gold is theft. 2012-06-04 16:43:20 Permalink
Atlasrocked Posts: 363 Incept: 2009-03-23	Is it correct to say printing money is just like a company issuing more stock, and watering down the value of the existing stock? 2012-06-04 17:16:51 Permalink
Genesis Posts: 130686 Incept: 2007-06-26	Depends on who's doing it. IF it's the government, yes. IF it's a private institution then it is effectively counterfeiting. ---------- I don't care* if it makes sense -- only if it makes money. -- Me* Bank (n): See scam, fraud and theft. *Eat a bankster -- they're low-carb.* *What part of "shall not be infringed" was unclear?* 2012-06-04 17:25:35 Permalink
Nuke_engineer Posts: 2698 Incept: 2007-08-19	Interesting statement from this Sean Egan. Wouldn't that statement mean that anyone who had debt, including banks that bought tranches or self-created debt that they already haven't jettisoned would be victims as well? I recall in the back of my mind statement tonight on CNBC saying "Buy debt, get rid of equities in your portfolio" by some expert saying that junk bonds may be the way to go....for retail investors in search of yield. ---------- Trading and investing is understanding about people, emotions and corruption of government, corporations, banks and people using propaganda, lies, mathematics and bankster logic working against you. 2012-06-04 21:42:16 Permalink
Jstanley01 Posts: 8176 Incept: 2008-07-30 San Antonio, Texas	No worries. We'll make it up on volume. /sarc ---------- You can't cheat an honest man. ~P.T. Barnum 2012-06-04 21:57:52 Permalink
Morla Posts: 815 Incept: 2009-11-09	Quote: Is it correct to say printing money is just like a company issuing more stock, and watering down the value of the existing stock? One difference is that shareholders in a company have a way out via selling, and investing in something their diligence suggests will not be similarly diluted. It's not so easy for a man stuck using a currency that is being counterfeited, his capital transferred regularly to the recipients of the "new money". Another difference is that when government counterfeits money it generally malinvests due to the natural corruption associated with centralized power and planning. Many private companies use the money gained via dilution to make investments that end up benefiting the shareholders who were diluted. Politicians instead tend to hand the money to bank executives or special interest groups, anyone who promises to donate most of it right back to them because simply pocketing taxpayer money is too obvious. Then of course there's government insider trading where the real money in politics is made.. This paragraph is beginning to fray at the edges so I'll stop here. ---------- Fear of govt IS the government.. Statism is a pack of unbacked threats; If govt gets out of control, ignore it and go about life as you see fit. Where's your crown, King Nothing? Last modified: 2012-06-04 22:15:14 by morla 2012-06-04 22:12:22 Permalink
Floridasandy Posts: 633 Incept: 2009-08-20	morla, wealth is being confiscated and transferred, and yet a few people still seem to think we need to do "more of it". i just don't get that. 2012-06-05 08:25:34 Permalink
Wallace Posts: 9 Incept: 2010-10-25 California	Quite simple, but profound insight. Mindblowing in its implication....is it not? Gen, you have been hitting a lot of balls out of the park recently. 2012-06-05 17:56:54 Permalink

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