I just figured it out. This woman’s paper describes the governments response to the crash in 2022 that will be the result of the tapering (my other thread). Kinda between a rock and hard place cause if we don’t taper runaway inflation will result in civil unrest. Realize that we never allow economics cycles to run their course any more, The cure is worse than the natural expansion and contraction IMO.

there will be several actions taken as laid out in the OP. The response to the crash.

first, the Treasury will absorb the Fed, Allows the Fed to fully monetize the government debt. Now we can ball out without the referees blowing whistles.

we will work our way through the paper in the coming days.

In terms of the government trying to control the troubled economy it all makes perfect sense. Personally, I think we have been kicking the can down the road since Greenspan and the debt etc, the multi trillion dollar works program, the UBI etc is something that would have been incomprehensible 20 years ago. Nationalizing the banks (oops tipped a future post) is not unprecedented in other countries. We will adjust. It will seem natural like PPP last year.

our girl is just the person with all the right attitude and ideas to execute the coming response by the gubmint

I mean if interest rates are kept at zero Daly is selling pencils on the street corner. Banks can’t make money in that environment. Heck, he may be done already.

yeah, gonna need to nationalize those banks. But our girl covered that.

I fucking couldn’t figure it out … why her… why those ideas? why now?

this is kinda fun. the mask has been removed from my eyes.

my armorer has loaded a live round in the chamber and if you invoke btc your world will go dark real fast. our girl spells out the digital dollar in great detail.

maybe btc is some kind of proxy on my economic forecast. we both know it’s actually a proxy on excess cheap capital looking for speculative assets. inflation isn’t a supply chain issue. it’s too much money rolling thru the world.

the success of mobile payment technology such as MPesa in tandem with the trust in the dollar means that digital dollars could easily become the main currency in Africa

BTC is a non issue. It's the other digital central bank currencies more than anything. Retail crypto might one day matter, but not today. US would just do what China did when they released their digital currency. Not as bluntly, but the result would be the same.

Printing additional dollars that would be injected directly into the economy from the bottom would have a real inflationary impact. With the top down approach you can be pretty reckless and imprecise. Housing and rent by extension is the one that gets touched the most. Few trillion to tech stocks doesn't matter too fast. I think retirement funds is the mechanism how it reaches the real economy.

The Paper is about mainlining dollars. Something you need to do when you need a fast fix, but all sorts of things can go wrong.

I don't know if that's directly a response to the tapering though. Or that there's a full blown crash in the works, but i can see few asset classes correcting themselves.

Which is generally my theme …. It is the fix that will do us in not the inevitable market correction. It’s like a forest fire returning nitrogen to the soil and clearing the old dead wood. We never allow for the fire which is natural and healthy. Before ya know it you look like California.

such dramatic changes to our system - even considering them is really quite important stuff.

off topic
I have never considered a strategy for gaming the great resignation. In the news cycle again today. Again, it’s an excess of capital that allows for expansion and growth. This feels so so dot com which I lived through as a manager struggling to hire. Very shortly thereafter everyone was on the street selling apples.