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The Fed is lending money to prevent a financial crisis, not simply giving it away. Look back at the 2008 crisis and see that the government actually profited si
by LaEc 6y ago
The Fed is lending money to prevent a financial crisis, not simply giving it away. Look back at the 2008 crisis and see that the government actually profited significantly from issuing those debts in the long term.
UBI is a giveaway not a loan.
- toomuchtodo 6y agoUBI is a generous tax credit. The Fed is printing money by their lending operations, devaluing the dollar in the process.
- cultus 6y agoSix of one, half a dozen of the other. The difference is that Fed injections benefit the wealthy, and a UBI benefits the poor most. This is not inflationary, since we are in a depression. As far as devaluing the dollar versus other currencies, everyone else is creating tons of money as well. I'd really welcome a dollar devaluation, actually, to help with our trade deficit.
- toomuchtodo 6y agoNo argument from me! It's all just spreadsheet economics, with everyone attempting to shape the narrative to meet their ideology.
- LaEc 6y agoLet us assume that your concerns about devaluation come true. Let us say that Poor Man has $10,000 and Rich Man has $10,000,000. Devaluation of dollar by 10% means poor man loses $1,000 and Rich man loses $1,000,000. Who loses out more under devaluation?
- vkou 6y agoPoor man typically doesn't have $10,000, what they have is $10,000 and a $200,000 debt. And not all inflation is created equal. With QE, the printed dollars never make it to Main street, they end up inflating asset prices, while the price of butter stays the same. Whether that's a good thing is an exercise for the reader.