I hope that under his leadership the treasury will stop cheating everyone and at least offer an interest rate that matches the inflation rate as measured by the CPI. Right now, they are “paying” about 2% below the “official” inflation rate, which is generally below the actual inflation rate. This past November first, the I-Bond went back to offering a fixed rate. It was only .7%, but combined with the inflation portion of the rate the total return is 5.64%. That is still below the inflation rate of 5.8%, but it is reasonably close. Now, if only the rest of the treasury vehicles would follow suit, Americans would have a place to actually save their purchasing power rather than losing it to inflation.
[i] I hope that under his leadership the treasury will stop cheating everyone and at least offer an interest rate that matches the inflation rate as measured by the CPI. [/i]
The Treasury finances most of the national debt by public auction (or at auction-based rates). If you don’t like I-Bonds, you don’t have to buy them.
As for a “place to actually save [your] purchasing power rather than losing it to inflation,” how about the free market?
How about it? What finanancial instrument in the “free” market is paying above the inflation rate? The inflation rate as determined by Social Security is 5.8% right now.
[The quotation marks around the word “free” are because of the trillion dollar bailout.]
Very bright and capable. He will certainly have his work cut out for him.
Man! I wanted to be nominated for Treasury secretary…
Archer [#2]: You gotta make money before you get to sign it.
Although Geither, who has spent most of his career in government, does not fit the pattern of wealthy Treasury secretaries.
I for one have not been greatly impressed by the conduct of the FED over the last 18 months. I am rather lukewarm at best over this nomination.
Under the mercy,
[url=http://ad-orientem.blogspot.com/]John[/url]
An [url=http://www.youtube.com/watch?v=Gj4pUphDitA]Orthodox [/url] Christian
Finally! I hoping for an experienced hand – Larry Summers – but the radical feminists would’ve thrown the mother of all hissy fits.
Geithner’s worked with Summers and Rubin, so may follow their lead. If not, it will be a rough 4 years.
William [#5]: Geithner, although younger than Summers, has more experience. He’s a better listener too.
#6, Ire, well the markets reacted well – I do hope for the best. Thanks for your thoughts.
Sounds good. He has worked closely with Bernanke and Paulson in recent days. Markets were looking for continuity and leadership.
I hope that under his leadership the treasury will stop cheating everyone and at least offer an interest rate that matches the inflation rate as measured by the CPI. Right now, they are “paying” about 2% below the “official” inflation rate, which is generally below the actual inflation rate. This past November first, the I-Bond went back to offering a fixed rate. It was only .7%, but combined with the inflation portion of the rate the total return is 5.64%. That is still below the inflation rate of 5.8%, but it is reasonably close. Now, if only the rest of the treasury vehicles would follow suit, Americans would have a place to actually save their purchasing power rather than losing it to inflation.
[i] I hope that under his leadership the treasury will stop cheating everyone and at least offer an interest rate that matches the inflation rate as measured by the CPI. [/i]
The Treasury finances most of the national debt by public auction (or at auction-based rates). If you don’t like I-Bonds, you don’t have to buy them.
As for a “place to actually save [your] purchasing power rather than losing it to inflation,” how about the free market?
“…how about the free market?”
How about it? What finanancial instrument in the “free” market is paying above the inflation rate? The inflation rate as determined by Social Security is 5.8% right now.
[The quotation marks around the word “free” are because of the trillion dollar bailout.]
Maybe the market knows more about inflation than you do; maybe not.