4 ms·

What's at the top of the chain though?

by kgc 6y ago

davidw 6y ago
The Federal Reserve? It seems like it could have all sort of just been put on 'pause' for the duration of the pandemic.
- bitcoinbutter 6y ago
  The Federal Reserve seems primarily focused on keeping asset prices high. Their policies seem to react directly to downward pressure in the equity markets. When you consider that the appreciation of these markets only serves to widen the wealth gap, it becomes clear that the Fed's mandate is to preserve the wealth of the rich. They're pursuing "trickle down" economics at full speed, despite the overwhelming evidence that "trickle down" is a myth. The US population is too busy arguing over race issues and partisan politics to realize the financial system is stealing from the poor and giving to the rich.
  - MiroF 6y ago
    > The Federal Reserve seems primarily focused on keeping asset prices high Pshh - the Fed is focused on hitting unemployment and inflation targets. Low yields in the credit market shifts investment demand towards equity. The "downward pressure in the equity market" is also deflationary pressure and accompanied by a rise in unemployment. Just because the two coincide doesn't mean the Feds principal goal is high asset prices.
  - Weebs 6y ago
    The race issues are part of the financial theft. Racism is used as a tool of division to keep the poor fragmented, people are rightfully trying to destroy that tool.
jccooper 6y ago
Banks and/or the Fed. Which also happens to be the easiest place to implement fiscal relief via debt or just plain creating money.
alecco 6y ago
Top of the chain is "dumb money". Like pension funds and municipal or foreign funds. Those got destroyed in 2008. The Fed can only absorb so much (currently at a record 30% of mortgage bonds). Banks and the financial markets are not stupid and quickly resell everything. In 2008 they were caught with just ONE batch of mortgage backed securities and it bankrupted a couple. It's not going to happen again. It's dismaying how GP proposes such a terrible idea. And what worries me the most is the majority of voters have the same feel-good ideas. We are going to get screwed from both sides.

What's at the top of the chain though?

by kgc 6y ago

What's at the top of the chain though?

davidw 6y ago

The Federal Reserve? It seems like it could have all sort of just been put on 'pause' for the duration of the pandemic.

bitcoinbutter 6y ago
The Federal Reserve seems primarily focused on keeping asset prices high. Their policies seem to react directly to downward pressure in the equity markets. When you consider that the appreciation of these markets only serves to widen the wealth gap, it becomes clear that the Fed's mandate is to preserve the wealth of the rich. They're pursuing "trickle down" economics at full speed, despite the overwhelming evidence that "trickle down" is a myth. The US population is too busy arguing over race issues and partisan politics to realize the financial system is stealing from the poor and giving to the rich.
- MiroF 6y ago
  > The Federal Reserve seems primarily focused on keeping asset prices high Pshh - the Fed is focused on hitting unemployment and inflation targets. Low yields in the credit market shifts investment demand towards equity. The "downward pressure in the equity market" is also deflationary pressure and accompanied by a rise in unemployment. Just because the two coincide doesn't mean the Feds principal goal is high asset prices.
- Weebs 6y ago
  The race issues are part of the financial theft. Racism is used as a tool of division to keep the poor fragmented, people are rightfully trying to destroy that tool.

jccooper 6y ago

Banks and/or the Fed. Which also happens to be the easiest place to implement fiscal relief via debt or just plain creating money.

alecco 6y ago

Top of the chain is "dumb money". Like pension funds and municipal or foreign funds. Those got destroyed in 2008. The Fed can only absorb so much (currently at a record 30% of mortgage bonds). Banks and the financial markets are not stupid and quickly resell everything. In 2008 they were caught with just ONE batch of mortgage backed securities and it bankrupted a couple. It's not going to happen again. It's dismaying how GP proposes such a terrible idea. And what worries me the most is the majority of voters have the same feel-good ideas. We are going to get screwed from both sides.