Grand Rapids, MI -- (SBWIRE) -- 05/06/2011 -- Being a financial advisor, advisor to financial advisors, author and radio talk show host keeps Dennis Tubbergen very busy. Tubbergen’s recent guests include many well-known people from across the country, including financial blogger Karl Denninger.

Tubbergen, who has been in the financial industry for over 25 years, is CEO of USA Wealth Management LLC, a federally-registered investment advisory company; and is CEO of USA Advanced Planning, a tax planning and wealth transfer company. Tubbergen featured Denninger as a guest on his April 10, 2010 episode of The Everything Financial Radio Show.

“Karl Denninger is frequently interviewed on a Baltimore radio station and is a prolific blog writer, with one of the most-read financial blogs on the internet,” says Tubbergen when introducing Denninger on the show.

During the interview Tubbergen, who has written about quantitative easing on numerous occasions himself, asked Denninger what the Federal Reserve has been doing with quantitative easing.

“The first round of quantitative easing took Fannie and Freddie paper for the most part,” begins Denninger, referring to the Fannie May and Freddie Mac mortgaging giants. “They removed the risk by transferring the risk to the Federal Reserve.”

Denninger also calls this “propping up” of the two mortgage entities “to an extent a violation of Fed policies.”

“QE2 (the second round of quantitative easing) is a little different in that all the purchases made under that program are Treasuries,” adds Denninger. “The Federal Reserve is financing all the spending that is going on in Washington D.C.”

Denninger goes on to say that the likely result is that all this quantitative easing “will have to be unwound.”

“As you mentioned, they are printing money to fund government spending,” cites Tubbergen, noting that when QE2 ends the U.S. will have to find other investors to buy our government debt. “What are the chances they will succeed?”

“Zero,” claims Denninger. “The market is larger and smarter than a roomful of eggheads in D.C.”

Denninger believes the U.S. government will have to stop spending $1.7 trillion a year that we do not have, which he also claims to be “unlikely.”

“I don’t see how they exit from this policy unless we see a radical change in government spending,” notes Denninger.

Tubbergen brought up the topic of the U.S. Dollar as the world reserve currency and asked Denninger, “At what point is the rest of the world going to say, ‘Hey, wait a minute. We don’t want to use the U.S. Dollar.’”

“We’re seeing some of that already,” states Denninger, noting that the biggest impact of such a move is going to be felt by the lower- and middle-class, saying it will be “extreme” and we will see a deflationary period in the U.S.

To hear Tubbergen’s interview with Denninger in its entirety, go to http://www.everythingfinancialradio.com and listen to the April 10, 2011 podcast on his website. Tune in weekly for Dennis’ in-depth analysis of the economy, as well as interviews with experts in the fields of finance, economics and politics.

The Everything Financial Radio Show is simulcast from two Michigan metro radio stations and also airs to over 600,000 financial advisors weekly, many of whom use the show’s contents with their own clients. These financial advisors also have the ability to link Tubbergen’s radio website to their own websites, giving new meaning to the term ‘viral webcast’ for the financial industry.

Dennis Tubbergen has his corporate offices in the USA Wealth Management building in downtown Grand Rapids, Michigan. Tubbergen is CEO of USA Wealth Management, LLC and has an online blog that can be viewed at http://www.dennistubbergen.com. The latest edition of his monthly newsletter can be viewed at http://www.moving-markets.com

The opinions expressed in the radio talk shows are those of the Mr. Tubbergen and his guest speakers, not necessarily those of USA Wealth Management, LLC. The radio talk shows may contain forward-looking statements, including, but not limited to, statements as to future events that involve various risks and uncertainties. Forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause actual events or results to differ materially from those that were forecasted. Therefore, no forecast should be construed as a guarantee. Investing in securities involves a risk of principal loss. Prior to making any investment decision, individuals should consult a professional to determine the risks, costs, benefits and fees associated with a particular investment. Information obtained from third party resources is believed to be reliable but the accuracy cannot be guaranteed.