As Alan Greenspan and Ben Bernanke have both demonstrated, the number one job of the Chairman/woman/person at the Federal Reserve is to sound intelligent and unruffled. Period. As with any scam, the trickster’s main challenge is to never let the marks see him sweat.
Go back on Youtube and watch Ron Paul interrogate Ben Bernanke and notice how “Helicopter Ben” always seems totally confident in his own intelligence, knowledge, and methods. No matter how badly Bernanke’s ideas failed, even when he admitted he didn’t know why the economy wasn’t doing better in response to his magic, he always made it clear in both word and tone and inflection and gravitas that, for intelligent people, there was no explanation. No one offering an explanation, claiming that we should know that what the Federal Reserve was doing was actually causing the damage, was possibly worth listening to. Certainly riff raff like Ron Paul should be dismissed out of hand, he said with his entire demeanor.
How could he do that for years with a straight face?
How will Janet Yellen do it in her time in office? What will keep her motivated to spout nonsense with a dead pan face?
It is obvious how she will do it. She will be thinking about the future—her personal financial future. She can simply watch the life that Ben Bernanke leads and be motivated to keep calm and carry on the scam.
CNBC wrote a headline that I have to believe is sarcastic: “Bernanke enjoys ‘fruits of free market’ with first post-Fed speech.”
The fruits of the free market?
Ben Bernanke earned more in 40 minutes on Tuesday than he made all of last year as head of the U.S. Federal Reserve.
Bernanke was paid at least $250,000 for his first public speaking engagement, in Abu Dhabi, since stepping down in January, according to sources familiar with the matter. That compares to his 2013 paycheck of $199,700, and the appearance was only the first of three around the world this week.
Bernanke’s public post-Fed debut was a departure from the private audiences that his predecessor Alan Greenspan addressed shortly after he handed over the central bank’s reins in 2006. In his remarks, Bernanke recounted the Fed’s response to the 2007-2009 financial crisis, an issue he is exploring for a book he plans to shop around to publishers.
In hitting the speaking circuit, Bernanke is following a well-trod path of top public servants cashing in on the demand for the insights they can offer. In the case of a one-time Fed chairman, those insights could potentially be market-moving.
The pretense that Bernanke is getting paid for his “insights” is ridiculous. He is getting paid back for making billions of dollars in profits for people in Dubai and elsewhere. Remember, Ben Bernanke made Warren Buffet $37 million dollars on average every day in 2013! (Ok, yes, Warren Buffet did have to make some decisions to help that along. But much of it was simply Bernanke’s easy money policy.) Others made millions and billions as well. I’m sure this included people in Dubai and other nations as well, even while Bernanke effected price inflation for necessities in many countries prompting the food riots that were dubbed “The Arab Spring.”
Do you seriously think these people don’t want to spend a small bit of that to reward Bernanke and keep Yellen faithful in her job to do the same for them?
This is how it works.
Alan Greenspan got an eight million dollar advance to write his book in 2007. Do you think that the publisher made a profit off that? I doubt it. Much more likely this is a method of open money laundering, a way our ruling class rewards its PR servants.