4 ms·

It does not imply "wealth inequality is the result of federal policies". It implies that the current transfer of wealth is a result of federal policy.

seppin 6y ago
All they do is regulate the flow of new money, they aren't responsible for tax codes that ensure a widening gap of wealth via the return on capital vs the return on labor. https://en.wikipedia.org/wiki/Capital_in_the_Twenty-First_Century https://en.wikipedia.org/wiki/Capital_in_the_Twenty-First_Ce...
- TearsInTheRain 6y ago
  They affect the inflation rate and inflation should be thought of as a tax. And its a tax that primarily affects middle class people that keep their wealth in cash rather than assets. They also implicitly affect asset prices which is probably one of the primary causes of wealth inequality.
  - seppin 6y ago
    It's a hidden tax for sure, but it's marginal compared to the returns seen on capital vs labor, and the taxes collected of both forms of income.
pmiller2 6y ago
Well, considering how the comment literally says "Wealth inequality and social unrest in America is DIRECTLY related to corrupt and/or incompetent (you choose) Fed policies," you'll forgive me for disagreeing.
- mixmastamyk 6y ago
  Federal != Fed, the reserve bank. Close, but not identical.
  - pmiller2 6y ago
    You are arguing a minor, irrelevant, and largely incorrect point of semantics. > Who owns the Federal Reserve? > The Federal Reserve System is not "owned" by anyone. The Federal Reserve was created in 1913 by the Federal Reserve Act to serve as the nation's central bank. The Board of Governors in Washington, D.C., is an agency of the federal government and reports to and is directly accountable to the Congress. (emphasis added) https://www.federalreserve.gov/faqs/about_14986.htm https://www.federalreserve.gov/faqs/about_14986.htm
    - mixmastamyk 6y ago
      You are the only one in the thread who doesn’t appear to understand it.
      - pmiller2 6y ago
        What is difficult to understand about "the board of governors is directly accountable to Congress?"

seppin 6y ago

All they do is regulate the flow of new money, they aren't responsible for tax codes that ensure a widening gap of wealth via the return on capital vs the return on labor. https://en.wikipedia.org/wiki/Capital_in_the_Twenty-First_Century https://en.wikipedia.org/wiki/Capital_in_the_Twenty-First_Ce...

TearsInTheRain 6y ago
They affect the inflation rate and inflation should be thought of as a tax. And its a tax that primarily affects middle class people that keep their wealth in cash rather than assets. They also implicitly affect asset prices which is probably one of the primary causes of wealth inequality.
- seppin 6y ago
  It's a hidden tax for sure, but it's marginal compared to the returns seen on capital vs labor, and the taxes collected of both forms of income.

pmiller2 6y ago

Well, considering how the comment literally says "Wealth inequality and social unrest in America is DIRECTLY related to corrupt and/or incompetent (you choose) Fed policies," you'll forgive me for disagreeing.

mixmastamyk 6y ago
Federal != Fed, the reserve bank. Close, but not identical.
- pmiller2 6y ago
  You are arguing a minor, irrelevant, and largely incorrect point of semantics. > Who owns the Federal Reserve? > The Federal Reserve System is not "owned" by anyone. The Federal Reserve was created in 1913 by the Federal Reserve Act to serve as the nation's central bank. The Board of Governors in Washington, D.C., is an agency of the federal government and reports to and is directly accountable to the Congress. (emphasis added) https://www.federalreserve.gov/faqs/about_14986.htm https://www.federalreserve.gov/faqs/about_14986.htm
  - mixmastamyk 6y ago
    You are the only one in the thread who doesn’t appear to understand it.
    - pmiller2 6y ago
      What is difficult to understand about "the board of governors is directly accountable to Congress?"