Frederick Douglass

"Power concedes nothing without a demand. It never did, and it never will. Find out just what people will submit to, and you have found out the exact amount of injustice and wrong which will be imposed upon them..." Frederick Douglass

Monday, July 11, 2011

Why QE2 Failed: The Money All Went Offshore

While I appreciate Brown's perspective, two important points need to be made:

She says the money went to "foreigners." It's necessary to understand that, at the top at least, there are no national companies anymore. POSCO Steel is a "South Korean" company owned by Warren Buffet. Even these big Chinese companies are owned in part by international capital. The ruling families own businesses that operate everywhere. The sovereign nation-state is a myth.

QE2 did not fail. One can only believe it did if one is foolish enough to think that Bernanke is trying to end the recession, rather than direct it in a way that is most profitable for his bosses at the Fed. He doesn't work for us, he doesn't give a damn about us! He works for the bankers who own the Fed (and everything else). QE2 was for them, and it worked splendidly. That money now sits in their banks, that was the plan all along.