so NUMBER_TOKEN years ago they started experimenting with the quantitative easing and by NUMBER_TOKEN NUMBER_TOKEN everybody knew it didn't work what i mean everybody i mean everybody in the central banking community those people who paid attention they knew it didn't work and yet in june of NUMBER_TOKEN the fomc held a discussion about quantitative easing because you know at that time they were greenspan was lowering interest rates and they got them in sight of the zero lower bound and they were they were facing the first potential use of quantitative easing in the united states what they said was japanese qe clearly does not work it's not having the intended effects we all thought it would so what's wrong here and what they decided on was that no kiwi works it's just a japanese used it in the wrong way and that's self-deception there it's like how can we explain qe didn't work but still hold on to the idea behind kiwi and that's what they really decided it's it's amazing when you read through this discussion it's the amount of self-deception and delusion involved in that is just astounding so they know qe doesn't work but they have all these different ways of explaining well it must work it just maybe this one thing wasn't right about it or maybe it was the japanese fault and we'll do it right when we get a chance to do it and that's really you see this all the time through economics it's self-delusion the biggest one probably is the the as we just said the participation problem in the labor market for years there including now economists at the central banks have tried to delude themselves into believing that well no it's not the qe doesn't work it's that americans are too lazy they won't go back to school or they don't you know they're addicted to drugs and so they're blaming you and me they're blaming you and me for the lack of economic growth and the decimation in the labor market and the participation problem because if they realize and understand that what's really going on here is macro slack and ineffective money monetary policy then it all falls apart they have to they have to reverse engineer some explanation that maintains the illusion that everything is as they think it should be and it's it's it's amazing how much this goes on in both public as well as private channels and i think some of the private channels are just they just blow your mind how they say this doesn't work but then they come to the conclusion that it must work you can pile up the evidence you know interest rates again you know the interest rate fallacy things like that tight money and all the symptoms of type money yet qe must still work because otherwise what are we going to do around here okay so clearly central bank or you know that's that's why i say you don't have to take my word for it because i know it sounds like a conspiracy theory i urge people to read these transcripts i urge people to read the research that's produced by these central banks that show conclusively qe doesn't work and therefore it's not as big as an intellectual leap to make to understand they're not central banks they don't print money they do other things because all the scholarship is there you don't have to take my
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