Sentences with phrase «debt monetization»
Debt monetization refers to a process where a government or central bank prints money to buy its own country's debt. This increases the money supply and can lead to higher inflation. Essentially, it means creating money out of thin air to pay off debts. Full definition
Moreover, the fear of triggering a depression usually pops up soon after the printing presses are dialled down, and central banks feel pressured to quickly resume debt monetization.
canadianbusiness.com
It Seems Likely As They've Already Taken Huge Risks With The Global Economy [QE / ZIRP / NIRP / IOER / + Debt Monetization] Showing Little Concern About Its Negative Implications.
The yuan's top coincided with the beginning of the «tapering» of the Fed's QE3 debt monetization program and the peak in China's foreign exchange reserves at just below $ 4 trillion.
However, a progressive default through debt monetization (e.g. quantitative easing) would be more likely.
Though this only financed a fraction of the war, it was still debt monetization: most of those purchases proved to be permanent.
The speakers largely expect more inflation; more debt monetization is the path of least resistance.
Moreover, rising interest rates have the potential to exponentially drive US debt levels higher reinforcing the view that rising rates and rising gold prices will be reflective of a US economy unable to service existing debt levels without debt monetization and massive monetary debasement.
This type of debt monetization's a neat trick (and sure to prove v handy, and necessary, in years to come), but a far cry from the hoped for stimulative / multiplier effect...
This is akin to debt monetization.
That debt monetization scenario I described is definitely within our future — it is only a matter of when.
We conclude: QE indeed amounts to indirect «debt monetization» via the banking system and it does therefore inflate the money supply — click to enlarge.
Maybe this is the way they eliminate the debt monetization now, if they ever do it.
Jesus, I struggle to think of somebody with any real power in the US who truly gives a flying f**k about their accelerating debt burden, debt monetization, or the long - term external value of the dollar.
baby boomers, banks, Bernanke, budget deficit, capital ratios, de-leveraging, debt monetization, Debt / GDP Ratio, ECB, Europe, European sovereign debt crisis, Fed, financial crisis, fiscal deficits, Flub - Med, GDP growth, Hunt brothers, income / dividend bubble, inflation, Japan, multiplier effect, Occupy Wall Street, politicians, quantitative easing, real assets, risk aversion, savings rate, stagflation, US, Volcker
The question is, will banks rush to lend money that was hoarded rather then be drained of freshly minted dollars from the debt monetization experiment.