The Fed and other global Central Banks are injecting hundreds of billions of dollars into the credit markets, week-by-week, ‘soaking’ up staggering amounts of ‘U.S. Treasury issuance’ (along with corporate ‘junk’ paper)…

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For The First Time Ever, The Fed Will Monetize Double The Total Treasury Issuance

ZeroHedge, Feb 17, 2020 – Excerpts:

… the Fed is nationalizing (or privatizing, depending on whether one views the Fed as a public, or a private – which it actually is – entity) the entire capital market at a pace unseen before in history.

AS the following chart from DB’s Torsten Slok shows, the current pace of weekly Treasury purchases is simply staggering, unparalleled by anything seen before in history.

It’s not just the Fed: with QE officially back [full-blown global debt monetization] every single central bank is now actively injecting billions of liquidity into the stock market.

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Note – These massive liquidity infusions are necessary to keep credit markets from freezing up. They will do nothing to serve the interests of long-term economic growth, and help get America’s enormous debt burdens back under control.

They will do nothing to eliminate the massive debt loads that are burdening millions of American families – and elevate their prospects for long-term financial health.

Three is one plan which will…

The Leviticus 25 Plan – An Economic Acceleration Plan for America

$75,000 per U.S. citizen – Leviticus 25 Plan 2021 (3645 downloads)

Democrat Nancy Pelosi’s populist plan – a monthly ‘drip, drip, drip’ of free money promoting ‘serfdom’ and government ‘control’…:

Rabo: Pelosi’s Stunning Proposal “Shows How Bad Things Are Right Now Out There”

ZeroHedge, Apr 28, 2020 – Excerpt:

House Speaker Pelosi, who recently made a video to show how tough it is being under lockdown at home with a $24,000 fridge packed with ice-cream, yesterday said the following on the next US stimulus package: “Let’s see what works, what is operational and what needs attention…Others have suggested a minimum income, a guaranteed income for people. Is that worthy of attention now? Perhaps so.”

Note: The ‘Universal Basic Income’ plan floated by Pelosi would be ‘means-tested’ – which means it would only be available to a certain segment of U.S. society.

It would do nothing to help the average American family substantially reduce their Household debt levels and reduce their dependence on government. It would increase dependence on government.

It would do nothing to positively incentivize work. It would instead, reward ‘non-work.’

It would do nothing to improve quality and access to the U.S. health care system.

And finally, it would do nothing to help reign in run-away government deficits and set America back on course for long-term economic growth and prosperity.

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Freedom of choice: The Democratic ‘Pelosi plan’ – or the Republican economic liberty plan. Americans may choose the plan that meets their economic needs and interests.

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And here is the Republican Plan – a massive citizen-centered debt elimination plan for U.S. citizens.:

Note: The Leviticus 25 Plan would available to be available to all U.S. citizens. That includes young, old, rich, poor, incarcerated, nursing home residents. Again, all U.S. citizens are ‘eligible’ to participate in the plan.

The Leviticus 25 Plan would provide immediate financial leverage to eliminate massive amounts of Household debt levels, and it would substantially reduce their dependence on government – saving government (federal, state, local) billions of dollars in social spending costs.

The Leviticus 25 Plan would positively incentivize work.

The Leviticus 25 Plan would create a dynamic framework for ‘citizen-centered’ health care. It would improve quality and access to the U.S. health care system for all participants.

And finally, The Leviticus 25 Plan would provide immediate power to help reign in run-away government deficits. It would set America back on course for long-term economic growth and prosperity. And it would restore economic liberty.

The Leviticus 25 Plan is a dynamic economic initiative providing direct liquidity benefits for American families, while at the same time scaling back the role of government in managing and controlling the affairs of citizens.  It is a comprehensive plan with long-term economic and social benefits for citizens and government.

The inspiration for this plan is based upon Biblical principles set forth in the Book of Leviticus, principles tendering direct economic liberties to the people.

The Leviticus 25 Plan – An Economic Acceleration Plan for America

$75,000 per U.S. citizen – Leviticus 25 Plan 2021 (3644 downloads)

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April 2020 quote:  “No society can surely be flourishing and happy of which by far the greater part of the numbers are poor and miserable.”  – Adam Smith

The Federal Reserve and U.S. Treasury are teaming up to ‘soak’ the Fed’s Primary Dealers and other major Wall Street corporations with ‘hot’ liquidity infusions…

Meanwhile, millions of U.S. citizens in Main Street America settle for ‘crumbs.’

NPR April 17, 2020: Thousands of Cars Line up at One Texas Food Bank as Job Losses Hit Hard

Ten thousand cars waited hours in line for emergency food aid in San Antonio last week. A drone photograph of the packed parking lot went viral. Two thousand more showed up for another distribution today.

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ZeroHedge, Apr 21, 2020: Total home loans in pandemic-induced forbearance stand at 5.95%, an increase of 60% on the week as roughly a million more homeowners applied for help – bringing the total number of distressed borrowers under the program to roughly 3 million, according to the new Forbearance and Call Volume Survey published by the Mortgage Bankers Association.

“With over 22 million Americans filing for unemployment over the past month, homeowners are contacting their mortgage servicers seeking relief, leading to a sharp increase in the share of loans in forbearance across all loan types,” said MBA’s senior VP and chief economist, Mike Fratantoni. “Mortgage servicers continue to receive a very high level of forbearance requests….. With no end in sight to the COVID-19 pandemic and the unprecedented economic fallout which has followed, Fratantoni thinks that forbearance requests “will likely rise again as we approach May payment due dates.”

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The Federal Reserve had a perfect opportunity, with the massive liquidity flows that it sent surging through its various funding facilities during the last financial crisis, to help individual American families unburden themselves of trillions of dollars in household debt, and create new opportunities for self-reliance and financial security.

They chose to do nothing of the sort. And here we are today with American families unable to finance even the most basic human needs: food and housing.

Now is the time to institute the world’s most powerful economic acceleration plan – and get America back on track for financial health and long-term economic growth.

The Leviticus 25 Plan is a dynamic economic initiative providing direct liquidity benefits for American families, while at the same time scaling back the role of government in managing and controlling the affairs of citizens.  It is a comprehensive plan with long-term economic and social benefits for citizens and government.

The inspiration for this plan is based upon Biblical principles set forth in the Book of Leviticus, principles tendering direct economic liberties to the people.

The Leviticus 25 Plan – An Economic Acceleration Plan for America

$75,000 per U.S. citizen – Leviticus 25 Plan 2021 (3640 downloads)

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April 2020 quote:  “No society can surely be flourishing and happy of which by far the greater part of the numbers are poor and miserable.”  – Adam Smith

Wall Street socialism – round 2…

Corporate Socialism: The Government Is Bailing Out Investors & Managers, Not You

ZeroHedge, Mar 26, 2020 – Excerpts:

Authored by Nassim Nicholas Taleb and Mark Spitznagel via Medium.com,

The U.S. government is enacting measures to save the airlines, Boeing, and similarly affected corporations. While we clearly insist that these companies must be saved, there may be ethical, economic, and structural problems associated with the details of the execution.

As a matter of fact, if you study the history of bailouts, there will be.

The bailouts of 2008–9 saved the banks (but mostly the bankers), thanks to the execution by then-treasury secretary Timothy Geithner who fought for bank executives against both Congress and some other members of the Obama administration. Bankers who lost more money than ever earned in the history of banking, received the largest bonus pool in the history of banking less than two years later, in 2010.

And, suspiciously, only a few years later, Geithner received a highly paid position in the finance industry.

That was a blatant case of corporate socialism and a reward to an industry whose managers are stopped out by the taxpayer. The asymmetry (moral hazard) and what we call optionality for the bankers can be expressed as follows: heads and the bankers win, tails and the taxpayer loses. Furthermore, this does not count the policy of quantitative easing that went to inflate asset values and increased inequality by benefiting the super rich. Remember that bailouts come with printed money, which effectively deflate the wages of the middle class in relation to asset values such as ultra-luxury apartments in New York City.

Second, these corporations are lobbying for bailouts, which they will eventually get thanks to the pressure they can exert on the government via lobby units. But how about the small corner restaurant ? The independent tour guide ? The personal trainer? The massage professional? The barber? The hotdog vendor living from tourists near the Met Museum ? These groups cannot afford lobbyists and will be ignored.

Third, as we have been warning since 2006, companies need buffers to face uncertainty –not debt (an inverse buffer), but buffers. …. We do not need to predict specific adverse events to know that a buffer is a must. Which brings us to the buyback problem. Why should we spend taxpayer money to bailout companies who spent their cash (and often even borrowed to generate that cash) to buy their own stock (so the CEO gets optionality), instead of building a rainy day buffer?

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There is a very simple way to level this playing field…

Grant U.S. citizens the same direct access to liquidity that has been, and is now again being provided to major U.S. and foreign financial institutions – by the Fed and U.S. Treasury.

U.S citizens deserve nothing less than the same treatment that the Fed has so generously lathered on the likes of: Goldman Sachs, Morgan Stanley, Bank of America, JP Morgan, Wells Fargo, Citigroup, Deutsche Bank, UBS, Barclays, RBS, BNP Paribas, and others.

The Leviticus 25 Plan – An Economic Acceleration Plan for America

$75,000 per U.S. citizen – Leviticus 25 Plan 2021 (3628 downloads)

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April 2020:  “No society can surely be flourishing and happy of which by far the greater part of the numbers are poor and miserable.”  – Adam Smith