The economy runs best when the private sector runs it completely. The Federal Reserve is a marxist institution designed to milk the middle class dry, enrich the upper class and greatly expand the lower class. Period.
The Fed is a price maker in this market like commodity trading desks for big banks have been price makers for precious metals, naked shorting paper trades without the metal assets to back up their shorts. It requires no understanding of finance that at some point, price makers become price takers when they lose control. No amount of manipulation can stop a falling market (stocks) or rising price of precious metals (silver and gold). It's happening right now in metals, and it will soon happen in the stock market when no amount of dollar intervention will rescue a slide. Very few Americans understand the pain that's coming when their retirement accounts, bank accounts, and salaries slide by 80% in "real money" terms because the dollar becomes increasingly worthless. The time of the crash is being postponed because we are "the world reserve currency" and nations trade in dollars. Not for much longer. It will be EAST (Russia and China) vs WEST (USA and EUROPE), and sadly, the communists, statists, and dictators of China and Russia seem to have a better grasp of basic economics than the so-called "democratic" statists of the WEST. Once the USA loses reserve status, like England lost the Sterling as the world's reserve currency in 1944, watch out. This comment isn't "the sky is falling." This comment is a plea "to get some politicians who understand basic economics."
The economy runs best when the private sector runs it completely. The Federal Reserve is a marxist institution designed to milk the middle class dry, enrich the upper class and greatly expand the lower class. Period.
The Fed is a price maker in this market like commodity trading desks for big banks have been price makers for precious metals, naked shorting paper trades without the metal assets to back up their shorts. It requires no understanding of finance that at some point, price makers become price takers when they lose control. No amount of manipulation can stop a falling market (stocks) or rising price of precious metals (silver and gold). It's happening right now in metals, and it will soon happen in the stock market when no amount of dollar intervention will rescue a slide. Very few Americans understand the pain that's coming when their retirement accounts, bank accounts, and salaries slide by 80% in "real money" terms because the dollar becomes increasingly worthless. The time of the crash is being postponed because we are "the world reserve currency" and nations trade in dollars. Not for much longer. It will be EAST (Russia and China) vs WEST (USA and EUROPE), and sadly, the communists, statists, and dictators of China and Russia seem to have a better grasp of basic economics than the so-called "democratic" statists of the WEST. Once the USA loses reserve status, like England lost the Sterling as the world's reserve currency in 1944, watch out. This comment isn't "the sky is falling." This comment is a plea "to get some politicians who understand basic economics."
The Fed blows out its balance sheet, while banks get tighter rules put on them to manage systemic risk. Not great.