Bailing, Lending, Borrowing, Printing And Such . . .

This was to be the tax payer money give away "grand total" mentioned a few posts back. Fat chance . . . no one knows that. However, I did find some scary info . . .

Everyone on Main Street is asking, "Who will bailout the Federal Reserve". What . . . You haven't asked that? With all the spot lights on the U.S. Congress, the Treasury Department, the Greed Meisters, the election there is little attention to the goings on at the Federal Reserve which has $1.5 Trillion on the books. This is a one third increase over a year ago and most of it occurred in the last 30 days. The Federal Reserve is passing out citizen money faster than the U.S. Treasury right now. And, without getting into the details the Federal Reserve and U.S. Treasury are cooking the books in a way Wall Street can only envy.

The big deal for me is what the net effect of the government's activities as listed in the title of this post. Everyone is getting hit hard and, one would think, would like to make their net worth numbers go up rather then spiraling down. Yes, I am concerned for our country's future . . . I vote . . . I obey the law . . . I take care of my family and friends. So, the only thing I know to do is think about winning somehow so me and mine can keep going. Either McCain or Obama will be in the White House by next January and, regardless, the financial mess will take years hence to clear up.

The aspect I am 99.44% sure about is serious inflation is, in fact, here now and will get much worse. The present inflation is running approximately 10% to 12%. If they haven't already, once the U.S. Treasury and Federal Reserve, the U.S. Government really, lose all control, inflation will be at least 18% to 24% . . . it could go completely off the chart if one or some of our not so friendly holders of our debt decide to make it so. We could face hyper-inflation; the kind like post World War One Germany faced. Quite literally, it took a wheel barrel of cash to buy a loaf of bread. Employees were paid once or more PER DAY so their wife could pick it up and spend it before its value went down more. The fact is Hilter did not take over. The people and their crippled government willing handed him power. History over and again tells the story of societies surrendering to economic desperation in return for a much worse fate. Most occasions involve the government taking and having control of The Money and The Wealth of its citizens.

The common person knows the cost of living has sored over the past decade. My favorite treat, a thick Ribeye Steak, is more than $10; it was only half that just a few years ago. But, why is there no sudden and perceivable surge on inflation? Just last month the Federal Reserve created $600 billion with the click of a computer button. At present the U.S. Government and Wall Street are playing a game of hid and seek with the money. That $600 billion is tucked away by the banks because they are hard pressed to have their books in line. Once things start improving even just a little, the flood gates will unleash all that, the $750 billion from the Government Bailout Plan plus whatever money there is squirreled away in money market accounts, etc., etc., etc.

It is a only a matter of time . . . forget "investing" and protect your wealth.