I wouldn't say that the Fed is corrupt or incompetent by intention, rather it is part of a set of policies giving lenience to the financial system written by a generation that doesn't understand the need for strong regulation. Such generations come and go, usually in 50-year cycles as the older policymakers with memories of financial crises like the Great Depression die off.

This lack of regulation is part of the inequality issue. Other factors include a potentially flooded labor market driving down wages, allowing people in control of economic resources to reap more work for the same price. However, some skilled people in labor also use this as an opportunity to move up the ladder. It's complex, ever-changing system with multiple variables and outputs. Read more here:

https://aeon.co/essays/history-tells-us-where-the-wealth-gap...