“Fed planning to buy $40B a month in mortgage debt each month.”
Ignoring the redundancy of the “a month each month,” this baffles the hell out of me.
How does a country $16 trillion in debt afford to buy citizens mortgage debt?
Like, how does this work? They buy our debt with our own tax dollars and then we have our taxes raised so they can continue borrowing our debt? How does that make sense in any way?
Our taxes will never cover that $16 trillion debt. So are they just going to borrow $40b a month more from China? In no logical way does this make sense.
Sometimes, I think that economists over-think. Ok, I think that all the time. The become so invested in this redundant and terrible plans to “help” the economy that only make it worse and will require them to come up with more stupid plans to fix the bigger economic hole that the last plan got us into.
I want to say they need to dumb it down and think about how buying our mortgage debt with taxpayer money makes no sense. But I can’t call that dumbing it down because they’re the ones doing the dumb things.
Now I have a headache.