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If you look at history, this has been the case ever since the founding of the Federal Reserve. This is not a failure of will, this is the way the system is des
by lzw 16y ago
If you look at history, this has been the case ever since the founding of the Federal Reserve. This is not a failure of will, this is the way the system is designed. The system is designed to fail, because this maximizes profits for the bankers in the long run and for politicians in the short term. When the system fails, most of the politicians who propagated the bad policies will be out of power.
The federal reserve put us on a boom-bust business cycle, and those who understand the cycle profit from it. The fed drives up the boom, as they did with housing, and everybody who is smart makes money, then they raise rates and trigger a bust, and when that happens to the point where serious damage is going on, everybody buys up assets really cheap.
The politicians profit from this as well- during the boom they say "look at this boom I created!" and get reelected. During the bust they say "look at this bust the other guy created, give me more power!" and they get more power.
The ultimate boom, of course, is in the value of the dollar which is actually nothing more than a debt instrument itself. When it crashes there will be huge political opportunity to remake the country, including constitutional amendments or even a new constitutional convention. People will suffer, but there's nothing like a good crisis for the politicians.