The Spellman Report

Recently, the Federal Reserve undertook a $600 Billion government bond buying program known to the market as Quantitative Ease 2 or QE2. This has invoked fears of very large scale money printing and inflation and has sent chills rippling through financial markets reminiscent of the 1970s. The inflation expectations created by the Fed itself run counter to the Fed’s goals. Read about the lessons of the Jimmy Carter years regarding the limits of how far a central bank can print its way out of our economic problems and what happen if it exceeds those limits. Continue reading →

If what I’m about to say sounds like Greek to you, I suggest you find an investment advisor who understands these issues. It’s a confusing topic for many, but the implications are enormous for every investor. In 2002, when examining … Continue reading →

The debt satiation economy has been resilient to either expansionary fiscal or monetary policy corrections thus far and the economic malaise continues. The alternative of government debt austerity programs do not stand much of a chance of being helpful either. The third policy way is to attack the the heart of the debt satiation problem by forgiving private debt which is likely to be announced shortly. The benefits and costs are discussed. Continue reading →