Comments on: Obama Considers Regulating Stock Market Bubbles http://americaswatchtower.com/2009/04/19/obama-considers-regulating-stock-market-bubbles/ I believe there are more instances of the abridgment of the freedom of the people by gradual and silent encroachments of those in power, than by violent and sudden usurpations- James Madison Sun, 27 May 2012 21:25:47 +0000 hourly 1 http://wordpress.com/ By: Terrant http://americaswatchtower.com/2009/04/19/obama-considers-regulating-stock-market-bubbles/#comment-26886 Sun, 19 Apr 2009 16:26:02 +0000 http://americaswatchtower.com/?p=7061#comment-26886 This sounds like something that originated from Bernanke; he was talking about having the fed do this a while back. It is a problem because the recessions of 2001 and 2007 were the result of bubbles bursts.

You are correct that raising interest rates hurts every American. This is the mechanism that has been used by Greenspan (not sure about Bernanke) to control inflation caused by the labor side of economy. In other words, when wages started rising too fast, he would raise interest rates to slow it down. How that is not considered interfering with the free market is beyond me.

To me, this appears that they are wanting to apply the same rules to investors that have been applied to labor. When the investment side of the economy starts to overheat, they’ll put the brakes on to slow it down.

]]> By: rjjrdq http://americaswatchtower.com/2009/04/19/obama-considers-regulating-stock-market-bubbles/#comment-26883 Sun, 19 Apr 2009 12:57:29 +0000 http://americaswatchtower.com/?p=7061#comment-26883 Bubble Czar huh? How would you like that to be your legacy? “I was Barack Obama’s Bubble Boy”.

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