Quantitative Easing or the process of enriching bankers by having the Federal Reserve hand over $85 billion a month for their mortgage backed securities has the two pronged effect of increasing the debt burden of average citizens while also balking up the banks excess reserves.
Essentially, the Federal Reserve is subsiding bankers who reside in the highest reaches of this global kleptocracy. They are assisting their banker brethren by providing them with an endless stream of government cash that bottom-scrappers being indentured servants of the Corpocracy are obligated by law to pay back to these banks in the form of mortgage payments. With this stilted contrivance the Federal Reserve is implicitly acknowledging that the only way to keep any semblance of economic activity in our global labor gulag is to hand out newly minted cash to their banker friends so that they can provide mortgages to all the income starved labor slaves.
You are probably wondering how throwing cash at bankers for all the mortgage backed securities they present to the Federal Reserve under the Quantitative Easing (QE3) program stimulates the economy - or more appropriately the enhanced indenturing of labor slaves.
It's simple, the bankers have an incentive to increase their mortgage loans because not only will they be paid for all the mortgages they bundle within mortgage backed securities by the Federal Reserve but they'll also receive a tidy sum of cash in the form of interest payments on this money held as excess reserves. This flood of government subsided cash in the form of mortgages is mainly used to buy new and existing homes. The flow of this debt backed income generates construction that is part of an overall ripple effect that stimulates a minimal amount of economic activity across the corporate sponsored labor camp.
So instead of Freddie Mac and Fannie Mae buying up mortgage backed securities the government is now using the Federal Reserve yet another entity controlled by the super-rich club of kingpins to soak us with more debt. These princely maggots realize that by not paying reasonable wages, wage increases, providing jobs, and basically keeping bottom-scrappers real incomes out of the gutter they are depriving their stilted economic contraption of the free flowing income it needs to effectively spur continued economic activity.
But the castle dwellers want the best of both worlds. Being sociopaths and megalomaniacs they not only want to maintain power within their 1% cabal of filthy rich thieves but also enjoy enslaving the majority of the world's citizens. How else can they continue to stuff their loot filled banks with our sweat drenched cash?
Their dilemma until they asked their Corporatist government brothers in the Federal Reserve for help; was how do they fill the cash void left by income starved bottom-scrappers not spending and also keep the income they'd drained from these same bottom-scrapping serfs? The answer was to fill the income void with some form of pseudo income that their lobbyist controlled government could create. This is where the Federal Reserve stepped up to the plate. They're keeping interest rates at 0% and buying up mortgage backed securities to the tune of $85 billion a month. This flood of cash moving through the banks not only enriches bankers with more party, bonus, and executive compensation money but guarantees that the chains of debt are further tightened upon working slaves.
The objective is not to have any semblance of a viable functioning real economy but to perpetuate a klepocratic system that enslaves the world's population for the benefit of a few well-placed bloated 1% income leaches.
What is odd is the short-term orientation of our masters. They must be aware that this monstrosity called an economy isn't self-sustaining and only perpetuates an endless cycle of asset bubbles that burst after valuations reach the outer reaches of reality. No surprise here, the focus of a thief is always on the here and now. Why concern yourself with the future if you can live like a king in the present?
This greed induced stinginess by our elite princes keeps them from moving most of the cash tsunami coming from the Federal Reserve's QE3 program back into the economy. Symptomatic of this is a money supply that is still falling from only 10% of this cash infusion making its way back to Main Street.
In the end nothing built upon the rotten stilts of corruption has ever withstood the test of time and this club of well-to-do mobsters shrouded behind 'legitimate' societal structures is no exception. This whole contraption setup for the exclusive benefit of a few elite manipulators is doomed to failure because a real functioning economy requires real income not debt generated counterfeit cash backed by a government trillions of dollars in the hole.
Make no mistake, even if this dirty rag of a societal structure sputters just a tag longer no amount of props from any lobbyist controlled government will forestall the day when this grotesque elite kingdom collapses. No illusions from 'expert' economic witch doctors spewing the latest irrefutable doctrine will alter our course through the real world. Our course is plotted not by voodoo economic pronouncements but by the immutable forces of reality. That's the beauty of a universe that operates within well-defined definite boundaries. When molded to human societal structures it requires societal organizations to adhere to realistic plausible outcomes. Any expedient or stratagem concocted to expressly destabilize the universal construct will only perpetuate the destabilized induced destruction of the deviant societal system.
So whether those of us inhabiting the slime encrusted floor patiently wait or take more immediate action, the outcome is assured - all elite societal structures will crumble under their own burden of lies.