Checking the Federal Reserve cut interest rates recently bringing down the Fed Funds rate to 2.25% gives one reason to speculate on various outlooks. Think of it this way, since last summer Fed rates have decreased 3.25%. The fed is running out of rate cut bullets – only 9 left.

By cutting interest rates the value of the dollar will keep falling. The price people are willing to pay for a currency is nothing more than the interest rate.

Tax rebates, bailouts and low interest rates are highly inflationary. These conditions erode the value of the dollar considering the dollar is not tied to any asset such as gold.

The Federal politicians merely have to flip the printing press switch for “free money” to bail out their lost causes. This type of red-ink thinking erodes the value of the dollar as well as the assets of the American public. They believe they can create value out of thin air. Newtonian physics is still at work. For every action there is an equal and opposite reaction.

Without cutting the bloat, non-functional oversight departments and waste in government we seem at a standstill. One out of five people works for the government. Many think we could get along just as well if one out of ten worked for the government.