Monetization...or "Stabilization" is when the Federal Government issues debt, that a different branch of the Federal Govt purchases, in this case, the Federal Reserve which prints the "dollar" is purchasing from the Dept of Treasury, which issues Debt instruments.
So?
Basically the Fed is printing money and handing it over to the Federal Govt, that causes inflationary pressures, which in turn causes prices to rise across the board, everything from Ramen to Gasoline will rise in price.
The best hedges against the coming price inflation, besides marketable skills, are items that must be purchased either now, or 3 years from now, Motor Oil, Oil Filters, Toilet Paper, Food Items, key clothing items as well such as socks or briefs.
And keep in mind, the Porkulus monies, some 600 billion "dollars" remains largely unspent, add that to the 200 Billion in failed Treasury Debt that did not sell at auction, that produced 200 billion more that will be pumped into the US Economy, as well as the decline in the value of the Dollar v the ChiCom's Yuan, making even imported goods more expensive, and the Citizen is facing an inflationary spiral.
And the more the Obama Administration spends, the worse the cycle will grow, and they plan on spending Trillions more on non revenue producing projects, make work projects if one will.
