Thursday, September 13, 2007

the fed

Scale

For someone making ten thousand dollars a month there are a myriad of options, none better than the money market. Fundamentally, the money market manages the selling of debt. On any given day, ten thousand dollars can be worth anything from ten thousand dollars plus federal reserve interest to a million dollars in the unregulated money market. The federal reserve, thus, serves as a counter-balancing financial interest, to protect the investments of individuals, not because the government is obliged to, but because the federal government created the federal reserve to ensure that fairness (justice) is simulated in financial dealings. So, if the federal reserve changes interest rates, it is akin to a debtor flooding the market with cheap debt on a given day. It has ramifications for the unregulated market as well as the regulated market. Whenever the market demands a rate appraisal it is more often than not because of unnormalized data within the federal bureaucracy that has not offered up its transactional view of horizontals and verticals, the only model which should serve to protect small businesses from anti trust debt issues.

In essence, if I had ten thousand dollars, in a free market capitalist democracy I can announce the debt and take bids on its purchase, free form. Wall St. Money Market only provides me with the “hippest” resources to take advantage of the instant information democracy also provides. Azania Money Market ™ is born.

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