If Exxon can correctly model climate change back in the 1980s the Fed can correctly model how deep to cut others to hamstring the masses acquisition of assets for themselves over 12-24 months
Every spare dollar a low/middle class person has in the US is destined to be sucked up by a mix of medical, education, pharma and housing.
People still having money in a 401k means there is money on the table these economic vampires are missing out on.
The goal of the Fed is to _crash the economy just in time for the election_ oops I mean control inflation.
"Virtual" once meant that!
GOP tried to repeal the ACA, and passed Tax Cuts and Jobs Act.
Democrats have not even come close to opposing any tax cuts that I know of. They complain in the media but still vote for them every time.
Democrats did not oppose the jobs act. Again, complaining in the media doesn't count.
Do you believe the GOP agenda of roling back civil liberties will stop at Roe vs. Wade?
Once you realize that, your soul is saved. No more worries, no more negativity, paying the bills is what defines you as human and makes you complete. The water, electricity company, car, pharma, doctors, education system ... all help you in realizing your purpose in life by charging you as many bills as possible. You should rejoice!
It's really quite robust as a self-organizing system. It's hard to see a way out of this local minimum without some major, sudden, and total change in the social and cultural attitudes of the people involved.
Covid lockdown was the perfect time to just not login and make Congress deal with it.
Only 1 million sworn LEO in US including local, state, fed. No way police can pull together a door to door dragnet with those numbers and 3 guns per adult in US. I mean look at the Ulvad police and assume many are just like that. Pathetic.
Gen Z seems aware it’s all political chicanery so unless the rural nutters blow stuff up, GZ and Millennials could leverage their 170 million strong to steamroll over 50 million GenX via politics.
By the way, since people are pulling money of their retirement accounts, this is new liquidity hitting the market or, essentially, inflation. The deflation, in this case, will happen at the people's retirement time; or on a very long-term interval (people trying to raise their 401k again by spending less). The only positive outlook is that this can convince paper holders that the Fed is strict and disciplined and ask them to trust the paper a little more.
The damage of the Covid liquidity package will be felt for years, if not decades.
It's so weird. Life went from so boring and predictable to 'may you live in interesting times' [1] in like 10 years. 2013 feels like a century ago, not a decade. In some ways it makes one have some degree of empathy for what those living around the turn of the 20th century might have felt. There's no way they could have known the ride they were about to step onto, especially as they started off living through the advent of the automobile, dramatic improvements in labor conditions, etc..
[1] - https://en.wikipedia.org/wiki/May_you_live_in_interesting_ti...
The problem with QE is it drove up the price of land/housing as I think a lot of it ended up as mortgage loans. Rents rise with land price increases which affects businesses. It would've been better if the QE had gone to business loans not mortgages. But home ownership trumps more businesses when it comes to getting votes so no govt official is going to make a stink if too many loans go out to land asset acquisition vs creating small businesses.
The economy is a dynamic beast: mass multivariate recursion, in dynamic causal networks, or some such hell. We must trust and improve models in order to design public policy, always being aware that when multiple stakeholders disagree, who gets the nod? Who wins in the economy.
I wish :(
If the Fed kept rates lower, inflation would be ripping right now and even more people would be sharing their wild conspiracy theories. This is such an absurd take.
They're in this sweet spot where they're neither held accountable by the voter, nor by the consumer.
The can be wrong over and over and over again and nothing is going to happen. A private company has to at least not loose more money then they can bribe politicians to give them.
> neither held accountable by the voter, nor by the consumer
Don’t know if you meant to do this but you’re implying that voter!=consumer. Citizens united strikes again!
> A private company has to at least not loose more money then they can bribe politicians
1 dollar 1 vote!