Back to these low interest rates. At this point in the recovery, I am just seeing rich people playing with essentially free money--taking some big risks, but I don't see it trickling down to the middle class and poor--in most cases.
I see this essentially free money being funneled into the stock market, because there's no where else to put the money, except real estate, and speculative VC investments. That's fine and dandy, but the poor and middle class are having a hell of a time getting loans. They are essentially locked out of the party? Yes, the middle class is greatful their Company retirement plan is soaring, but it will drop.
Many of us(poor, middle class) speculate in CD's, and in my case I am getting .1 percent per year-- on my meager account. I can't afford to speculate. I don't think I am alone. I counted on the interest I used to make. It's gone. I now pay the bank more in fees than I get in interest. In my case, I have a negative rate of return on my money.
My point is I don't see this essentially free money the rich are getting trickling down, with the exception of the tech industry. You guys seem to be doing great, and you guys deserve it. And yes, their are hot spots like the Bay Area where houses are way up in value, but so are rents. Rents have gone up so high long term residents are being forced to relocate.
What I am trying to convey--poorly--is I don't think the economy is doing that great. Food stamp usage is at an all time high? The unemployment number is beyond skewed because they stop including you in that figure once that check stops--I believe? Student loans are at an all time high. Small and medium sized business are having a hard time securing those low interest loans. I see so many Homeless. I my county, section 8 housing is closed, and there's a three year waiting list. I honestly don't see the variety of jobs like I did before the ression. People are so desperate for work they are buying newer(2008) four door cars in order to work for Uber. Non profits are closing--some deserve to close, but some of the better ones are not getting the donations like in years past. I can go on, but getting tired.
My major point is so many of us are losing net value in this low interest rate economy. The renters who rely of cd's to hold their money are hurting. I don't blame anyone politically. I'm glad medically uninsurable home owners don't need to risk losing their home in a medical judgement attachment thanks to Obama, and a Supreme Court justice.(forget his name, but he is a kind man, and a Rebublican!)
I see another ression coming real quick. I hope families stick together, and pool their resources--and don't blame the wrong people when the chit hits. I'm usually 180 degrees wrong when it come to money--so I'll dummy up. Sorry--just venting!