What an absolute gem. Lyn, you are the best! Thanks for bringing her on frequently. During a time when so much of the public discourse is incredibly superficial it is stunningly refreshing to have someone with such depth of understanding explain things so coherently.
I see Lynn and I watch. It’s an easy choice as she’s easily one of the best analysts out there and does a great job of conveying the important information.
Excellent episode I feel like I just took a crash course on the history of the Fed. Lyn explains so much in an accessible way, so quickly and efficiently. Basically not a single wasted sentence.
Finally, got somebody who is not either blowing smoke up the ass of listeners with psycho babble BS, or they are woefully lacking basic knowledge of the things they claim to know, i.e. BS by proxy. Lyn rocks it everytime, with expertise and grace. Kudos.
There's something about Lyn that is very very effective to learn from and very memorable personality, even with sich a 'dry topic'. Try to have her on more often! I know you do your best haha.
The conversations with Lyn are the main reason it looks like I slowly but steady get a better understanding of the financial world. Big thanks 🙏for you & your team and of course a huge "thank you very much' 🙏for Lyn !!
last weekend having dinner with father and mother in law, retired 65+, I commented that every week my social security deductions are best visualized as turning to ash because I'll never see social security 25 years from now... maybe off handed but i was not condescending in tone... my mother in law replied "no, it's not being wasted for no reason, its taking care of us".... she was dead serious. my wife looked at me shocked, we were floored at how boomers view our situation... my wife was in disbelief. I told her, honestly I'm not even mad, bcuz I understand my mother in law is simply following the present incentives. This is just how it is, why would she be concerned with anything beyond the carrot in front of her face.
Thanks again, brilliant as always. Great point regarding dealing with budget deficits as the means of fixing inflation. How about setting up a sort of friendly conversation between Lyn and Stephanie Kelton (I know, I know) about that? I just think it would be a tremendously interesting debate to watch, should the parties be up to it.
I believe Lyn is a genius but I wish she would do a long explanation of lots of "ifs" for what to do with our money as retail investors. If the situation is X, it's good to do Y....
The only thing I would ask Lyn for a next interview, or for any other interview: Please, get a better camera and mic Other than that, it was rock solid. Thank you both
So much easy to understand info from Lyn every time. After this interview I’m trying to imagine the true benefit of holding bitcoin on the FED/Central Bank balance sheet if/when that ever happens.
For sure. If anyone finds out the Fed bought so much as a Satoshi to put on their balance sheet it’ll be a game changer. Hard to even imagine what would start occurring in the rest of the world in response.
The only way to effectively transcend inflation/deflation cycles is through the production of new and useful asset classes. These provide a stable point by which the "money" can actually exist.
This is all very true but it is a temporary phenomenon and they know it... In the long run, the opposite effect will happen. Once we get the drop in rates, the interest income will all be priced longer-term at current high rates, and then the rates on liabilities will drop, and they will make huge sums of income. They will stomach negative equity with some accounting tricks for some long term gain.
Where did Lyn Alden get all this data/info, especially about how the FED/Treasury operates? I can't find this data anywhere? I'm so curious where her source is... No MBA school teaches this as far as I know..
I would buy Lynn bonds. She such a treasure. Ok, that was bad but the interview was good. Some may take away that a sound money system could work. Nope. Otherwise so spot on.
The crazy thing is, Lyn is postulating these starting this year, and then NOW, we see the first crash, the default of Silicon Valley Bank...It will not be the last one, the whole system is collapsing from bottom to top.
When the debt is high at the federal reserve why does that result in inflation? Because more bonds are issued and swapped for bank reserves that feed into the commercial banking system. And then they fractionally lends off of that? It’s not clear to me with specific examples how a federal reserve deficit will continually be creating inflation?
Who wrote the software that keeps track of all the bank lending, fed lending, fed printing, bank interbank lending, money creation.... what super duper computer tracks all this?
45:30. I don't know that it's as long term as people think. Sure, the insolvency can threaten Fed independence, but the raising interest rates, pushing the Gov toward insolvency is likely to do that FAR FAR FAR faster. The spend happy Gov is not going to put up with high interest rates for long.
So what individuals benefit from this? We're always talking about the federal reserve, government, treasury, banks etc But what people are actually getting their pockets filled?
Central bank just clearing the debt is a bad business move, not just because that sets a permanent liability. But you want the economy to clear bad unproductive debt (ie like poorly run business) via defaults which can only occur during recessions. To clear all debt you allow unproductive business to continue that otherwise create a drag on the economy and over a long space of time can dramatically bring forward the inevitable collapse of the dollar/government.
