Stupid World

[Viking01]

"Reserve Requirements
For many years, reserve requirements played a central role in the implementation of monetary policy by creating a stable demand for reserves. In January 2019, the FOMC announced its intention to implement monetary policy in an ample reserves regime. Reserve requirements do not play a significant role in this operating framework.

In light of the shift to an ample reserves regime, the Board has reduced reserve requirement ratios to zero percent effective on March 26, the beginning of the next reserve maintenance period. This action eliminates reserve requirements for thousands of depository institutions and will help to support lending to households and businesses."


Oh what a surprise, they've removed restrictions on the printing of money... like they were using those restrictions in the first place. Ya don't constantly print hundreds of billions/trillions without such being the case. It's isn't even subtle... unless you're so culturally indoctrinated that you've forgotten how to use your brain. So, this will be of interest (heh) to and understandable buy (heh heh) approximately 1 or 2 of you.

When there's less planet available for you to use as future assets, ya have no choice but to remove the gloves that you used to use to pull that promise out of your arse with.

If I recall rightly, this action then happened back in March 2020 (a full year ago), where reserve requirements were removed for all deposit categories by the US FOMC. Has something new happened since ? Have I missed something ?

[mashman]

If I recall rightly, this action then happened back in March 2020 (a full year ago), where reserve requirements were removed for all deposit categories by the US FOMC. Has something new happened since ? Have I missed something ?

The text does say that it became official last year... I'm just catching up and passing it on to anyone else that missed it, especially those who still think that the money creation process is somehow backed by assets/deposits/etc...

[mashman]

PM accomplishes about the same as pretty much all PM's before her. Public shocked.

[Viking01]

The text does say that it became official last year... I'm just catching up and passing it on to anyone else that missed it, especially those who still think that the money creation process is somehow backed by assets/deposits/etc...

My mistake. Since yours was a recent post, read the text as if a year had passed between the two events.

[mashman]

My mistake. Since yours was a recent post, read the text as if a year had passed between the two events.

lol time travel . Meh. WHEN these sorts of things take place is kind of irrelevant really... isn't it? That such events happen, yeahhhhh not so much.

[mashman]

Hong Kong: China limits parliament to 'patriots'... lolz.

[mashman]

UPDATED: Carter Holt stops supply to ITM, Bunnings and Mitre10... bloody labour.

[R650R]

UPDATED: Carter Holt stops supply to ITM, Bunnings and Mitre10... bloody labour.

I was waiting for the disciples to say they had been paid off by the national party to make labour look bad lol.
This has interesting parallels to USA refining industry where “accidents” and lack of infrastructure investment cause short supply and price hikes.

What gets me is they say China is paying top dollar for our logs making kiwi timber expensive for domestic market. One time where govt intervention truely is needed....

[Viking01]

I was waiting for the disciples to say they had been paid off by the national party to make labour look bad lol.
This has interesting parallels to USA refining industry where “accidents” and lack of infrastructure investment cause short supply and price hikes.

What gets me is they say China is paying top dollar for our logs making kiwi timber expensive for domestic market. One time where govt intervention truely is needed....

Puzzled re your last point:

1. So, what would you have Government do ?

2. How is this much different from the meat and dairy situation of past years (where export quality product is exported, while local Kiwis still pay "high prices" for non-export grade dairy products)?

[husaberg]

Hart brought CHH years ago stripped off its assets like forests lost a shit ton of money in Aussie and generally lot money every year since.
He sold the paper mills and then unsuccessfully tried to sell the rest but as he had run it down without re-investing in the business, also as it wasn't worth much without a supply of timber or an opportunity to profit, no one wanted it.
especually given they have amassive litogation with lasrer framing which was not as durable as H1 as it was advertised as and also wit Shadow clad which had issues.
He took 400 million in wage subsidies and then chose to shut the factory large mill in northland after covid.
Now he's chosen not to supply retailers that compete with Carters which the group own.
WTF does any of this have to do with the current government.

He did the same with Goodman fielder, only much more successfully.........


There is not a shortage of timber only a shortage of supply to some of CHH customers that compete with CHH owned Carters and Placemakers
the commerce commission is taking an interest in CHH activities so watch this space.

[R650R]

Puzzled re your last point:

1. So, what would you have Government do ?

2. How is this much different from the meat and dairy situation of past years (where export quality product is exported, while local Kiwis still pay "high prices" for non-export grade dairy products)?

2- Thete is no shortage of meat or dairy for local consumption.

1-We have a housing crisis and a shortage of raw materials should not be added to problem of lack of skilled labour.
Establish an Investigation (not an inquiry they have no power)into pricing, supply issues, milling issues and transport issues around timber products.
MBIE and commerce commission immediately execute physical and digital search warrants on key players to establish why timber mills closed in growing nation.
Refuse export licence for a raw material to a nation where it will likely be RE manufactured into low quality goods that could be made in NZ.
Provide tax breaks and incentives to encourage nz companies to make exportable goods with our raw materials to the point where they are economically conpetitive with imported goods of same.
0% company tax if you take a school leaver and turn them into a skilled worker in permanent employment.
Remove GST from all construction and NZ food products immediately

[mashman]

I was waiting for the disciples to say they had been paid off by the national party to make labour look bad lol.
This has interesting parallels to USA refining industry where “accidents” and lack of infrastructure investment cause short supply and price hikes.

What gets me is they say China is paying top dollar for our logs making kiwi timber expensive for domestic market. One time where govt intervention truely is needed....

It's an easy out innit.
Fragile things the economy. Someone fucked up with the management of mortgages a few years ago. No complex supply chain involved in that one either. So long as it's not an airplane moment "Oh, and we're out of coffee." we can carry on regardless. Some other fecker can live that joy.

lol@govt intervention. No one, not the govt, nor industry, nor China etc.., no one can intervene in what is taking place without there being consequences somewhere along the lines. Clearly China is way way way ahead of the game when it comes to playing the current form of monopoly. Corporations have no need for country loyalty, in fact the law frowns upon such anti-competitive sentiment. Money rules.

[TheDemonLord]

1. So, what would you have Government do ?

"Sir! Government intervention has caused a myriad of issues - Shall we remove our involvement?"
"No! The problem is clearly that we need more control and more intervention"

[Viking01]

"Sir! Government intervention has caused a myriad of issues - Shall we remove our involvement?"
"No! The problem is clearly that we need more control and more intervention"

Has your KB account been hacked ? That doesn't sound like the DL that normally posts on here.

[pritch]

Meanwhie back in post Brexit Britain James O'Brien is pissed off. The Brexieers were told right from the get go that Brexit would threaten the Northern Ireland peace agreement. They said they would never do anything to endanger the peace agreement. If you've been watching the news you'll be aware how that's working out.

https://www.youtube.com/watch?v=FKEpdNEGr7w