BIA Commentary and Opinion
By Ted Barnhart
Now that the printing presses have been warmed up and the “Quantitative Easing II” ship is set to sail, I can’t help but think of the old George Carlin bit “On Euphemisms” where Carlin laments the use “of words that conceal the truth” and ponders how the term Battle Shock (WWI) became “Battle Fatigue “(WWII), which became “Operational Exhaustion” (Korea) which became “Post-Traumatic Stress Disorder” (Viet Nam).
Of course Quantitative Easing is just a “Euphemism” for printing money and the Fed has been signaling a second round of “Easing” for some time now.
Printing money has not worked throughout history, and it won’t work now. After all if it worked in the aftermath of September 2008, why do we need another round now?
But just because it won’t work doesn’t mean it won’t happen. In fact, from a political perspective the fact that it won’t work actually makes it more likely to occur. It may even bring about some new investment opportunities for those who are prepared (Of course the next challenge will be to avoid the “wind fall” taxes that some will surely propose in regards to such “ill gotten gains”).
So George Carlin’s opinion notwithstanding, here are some Euphemism’s that may be in our future:
Hyperinflation….monetary velocity surge
Food shortage……caloric intake discipline
Bank run…..community savings balance inquiry
Tax….patriotic contribution to rectify societal injustices
Bailout ….Troubled Asset Relief Program (TARP)…oh wait we already have that..
Crash….rapid deleveraging of previous investment indiscretions
Toilet paper……dual use currency
Feel free to add your own.
DISCLAIMER: Nothing in this article should be construed as a personal recommendation or investment advice. Nor should anything in this article be construed as an offer, or a solicitation of an offer, to sell or buy any particular investment security. Investors should conduct their own due diligence and seek the advice of a financial and/or investment professional before making any investment decisions.