get ready for rnd 2 of the usd collapse, page-10

lol folks just dont get it "the USD will continue to be diluted through the printing of money"

thats exactly what I am arguing against, if folks want to buy Bernanke propaganda then thats ok, but it doesnt make it true

Bernanke is wrong , you cant expand the quantity of money indefinitely by simply printing it, its a false theory he is putting forward , money quantities can only expand if the credit expands, you can print as much as you want but if you cannot get it into circulation its pointless printing it, whats happened is that an urban myth has sprung up about the ability of the central banks to print money and cause inflation, the theories that propose that this is impossible are ignored and everyone head off on their little wagon chanting "money printing will always cause inflation" again and again it is chanted by gold bugs, central bankers, journo's, the trouble is pure BS, money printing does not cause inflation by itself, money printing combined with credit growth does, but money printing that fails to reach the economy causes nothing, what is happening is a form reverse fractional banking , folks sell assets to cover debt, whne the sale goes through all the cash is used to retire the debt, so less money is outstanding on the lenders books

effectively this makes the money disappear into thin air, because the bank simply keeps it because its to risky to lend out to anyone, so the money is withdrawn from the economy.