Quantitative Easing Explained in Layman’s Terms & Why It Won’t Work as a Long-Term Economic Stimulus
Today on The Janssen Report (#76): I answer questions pertaining to Central Bank policies around the world to stimulate the economy, particularly Quantitative Easing. I hope I succeeded in explaining this in layman’s terms. If not, please let me know. Just recently Mario Draghi, president of the European Central Bank, …
Alibaba IPO: Stock Market Prodigy or Bubble in the Making?
Today on The Janssen Report (#75): my thoughts on the Alibaba IPO – I think it’s overvalued. Share with me what you think. How is this better or more sustainable than Facebook, Twitter or Amazon? Well, they are profitable! They look like a cashflow power house. But they have no …
Economic Power Shift from West to East, China & Russia Trade Agreements, the Role of Gold
Today on The Janssen Report (#74): Strong economic power bloc rising in the East, gold plays an increasingly important role. Economic world power is shifting from West to East. Is the East just smarter or is there something bigger at play? Whatever the case, China has been hoarding gold in …
Every US Resident Pays 730 Dollars on Federal Debt Interest This Year. What If Interest Rates Rise?
Today on The Janssen Report (#73): Every US Resident Pays 730 Dollars on Federal Debt Interest This Year. What If Interest Rates Rise? The Congressional Budget Office (CBO) estimates 2014 interest payments on US federal debt to amount to roughly 233 billion dollars. This is the number in today’s low-interest …
The Federal Reserve is Insolvent with Leveraged Debt at 78 to 1 (Q2 Balance Sheet)
Today on The Janssen Report (#72): Federal Reserve insolvent, leveraged debt is unsustainable. Federal Reserve Q2 2014 Quarterly Report metrics:Leveraged debt = 78 to 1 Mind you: there are many ways to analyze the balance sheet and there are more interesting metrics to cover.Another important analysis to be made is …
ECB to Start Asset Purchases Program in October – Kicking the Can of Structural Reform Down the Road
Today on The Janssen Report (#71): ECB will inflate their balance sheet by at least 700 billion euros to purchase so-called ‘assets’ in an attempt to stimulate the economy. I argue this will lead to inflation in asset markets, but the positive effect on the real economy will be limited. …
Helicopter Drop of Cash on Main Street Necessary, Says Council on Foreign Relations
Today on The Janssen Report (#70): article appearing in the Foreign Affairs journal of the Council on Foreign Relations explains why central banks should print less money but give more directly to the people.Although this sounds great (free cash for everyone!), this is hardly a structural solution to the enormous …
How Window Dressing Masks the Deplorable Economic Reality
Today on The Janssen Report (#69): window dressing leads to propped up macro-economic figures that makes the economy seem in relatively good shape. If window dressing tactics are excluded and we use the reporting methods that were used for decades before they were changed, then we see a significantly worse …
Modern Tyranny? You Decide: The New World Order, by Henry Kissinger (Wall Street Journal)
Today on The Janssen Report (#68): Would you trust a small group of people to run the world for you? Do you like the idea of placing your fate in the hands of a small elitist group controlling a one-world government, using a single world currency and operating a worldwide …