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We did? I mean salaries in finance from the 80s on were much higher than in the 60s. They went from being some kind of accountants to being masters of the unive
by iguy 6y ago
We did? I mean salaries in finance from the 80s on were much higher than in the 60s. They went from being some kind of accountants to being masters of the universe.
And incomes of people near the top, in all fields, increased relative to the median too.
- brandmeyer 6y agoThe argument is about government spending "crowding out" commercial spending. I have a very hard time believing that any government spending programs are affecting the demand for financiers' labor.
- iguy 6y agoOh I see. Sorry I took "This free money" to mean the money flowing into finance, largely as a result of regulatory changes IIRC, rather than direct govt. spending. But it's possible I've lost the thread of what's being argued here.
- brandmeyer 6y ago> I took "This free money" to mean the money flowing into finance Yeah, that's a different argument. Its arguing that low-cost finance is crowding out savings. However, in this case if you look at the savings rate, its still a little too high relative to historical averages. Of course, 2020 is nuking all of the statistics. But prior to the COVID shock, both gross and personal savings were high and climbing despite constantly juicing the markets with cheap finance. https://fred.stlouisfed.org/series/PSAVERT https://fred.stlouisfed.org/series/PSAVERT https://fred.stlouisfed.org/series/GSAVE https://fred.stlouisfed.org/series/GSAVE