I’m getting worried about how obvious it is our monetary system is largely fictional.

It’s bad enough that the Biden administration has convinced a generation of young Americans that tens of billions of dollars of their debt can just disappear with no effect because the debt didn’t really exist, anyway, but the Chair of Biden’s Council of Economic Advisor’s being unable to sound coherent when asked why the government borrows money when it can print more really brings the bonfire into the house:

amuse: BIDENOMICS: The reason the economy is imploding might be because this guy, Jared Bernstein, Chair of Biden’s Council of Economic Advisors is setting our economic policy.

In fairness, it is a complex question that could be answered from multiple perspectives, but one gets the impression Bernstein doesn’t know because it’s not important to know.  The primary means by which the government (in the form of the Fed) prints money is buying securities with fictional dollars.

The economy isn’t going to be pretty when everybody stops trusting that the fiction is backed by good faith.

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CC Reed
CC Reed
12 days ago

The  Council of Economic Advisors has long been understood to be a merry band of court jesters. They stopped issuing ‘forecasts’ because they were so laughably wrong. So a social working musician is actually quite the qualified ringleader…

As long as the Bank of China and Bank of Japan keep buying our T-bills we’re good to go. Japan we’ve got pretty much by the short ‘n’curlies, but please, Dementia Joe, don’t pick a fight with China over some renegade province. Our solvency depends on it.
Only Nixon could ‘go to China’…the SOB. Fat lotta good that did us. 

Extra credit:
https://mises.org/mises-wire/fed-fears-bond-meltdown?utm_source=MI+Subscriptions&utm_campaign=bce259e809-EMAIL_CAMPAIGN_2024_03_01_07_02_COPY_01&utm_medium=email&utm_term=0_-fb69bb184c-%5BLIST_EMAIL_ID%5D

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