Quote from: twiifm on August 05, 2014, 02:03:05 AM

Quote from: tee-rex on August 04, 2014, 07:27:41 AM

Quote from: twiifm on August 04, 2014, 12:27:48 AM

Quote from: tee-rex on August 03, 2014, 07:01:53 PM

Quote from: twiifm on August 03, 2014, 03:44:45 PM

Quote from: tee-rex on August 03, 2014, 03:15:39 PM

No, that was not my claim, you just see what your eyes want to see. I was not talking about QE "printing money". There is no inflation out of this, since the QE money doesn't leak into circulation. I was talking about how debts are socialized and the burden of them is passed on to the taxpayer in general (by means of inflation).

Is this your original claim? that if FDIC needs money. Fed prints money. Inflation follows. Taxpayers "pay the debt" of the FDIC via "debt socialization"

You might have noticed (well, you actually didn't) that I was talking about how socialization of debts works, and I specifically mentioned "in general". Regarding the FDIC, I don't know how much money they might potentially need, but if you insist, the answer is affirmative. In the worst case scenario, the sequence you described would necessarily lead to inflation (since the money "lost in debt" didn't disappear but just changed hands).

In the event that the FDIC fund is insufficient, the FDIC has credit at the Treasury. The Fed isn't even in the picture. Theres no protocol so an act of Congress is probably required to do what you are suggesting

Even if the Fed lends them money, then the borrower (FDIC) pays back the loan not taxpayers.

Do you know what the word "indirectly" means, which I used in respect to ordinary people paying for the bank debts? What regards the real world evidence of debt socialization, Google is your friend (I hope you understand that you are presently not in the position of asking me to prove you anything).

LOL. You made the claim so you prove it. Prove that taxpayers pay for bank debts.

I guess you don't know anything about accounting.

You can't even get the concept right. Its "privatized profits, and socialized losses".

Did you forget about your own claims dude? I was not talking about privatizing profits, which you obviously failed to see, but was talking about just one particular example of socializing losses, i.e. socializing bank debts. Nevertheless, I'm pleased that you finally looked at what Google says about this notion.