6 ms·

Jamie Dimon says ‘brace yourself’ for an economic hurricane caused by Fed

33 points by memish 4y ago

cyanydeez 4y ago
Eh, hard to believe the fed,banks and hedge funds aren't just the same Uber wealthy orgy of big money interests. Want to contain inflation? Tax excessive market capital. The idea that having ultra wealth benefit society is a delusion.
- wahern 4y ago
  > Want to contain inflation? Tax excessive market capital. Isn't that exactly what inflation is, a tax on uninvested capital?
  - mensetmanusman 4y ago
    It’s also a tax on unpaid debts owed to you?
    - wahern 4y ago
      Depends on interest rate, I suppose. Variable rates help shield the creditor. Fixed rates tend to be higher to price in inflation risk. Also, you can securitize debt, which helps you hedge.
  - danenania 4y ago
    It's mainly a tax on uninvestable capital like subsistence wages and pensions. If you only wanted to tax 'excessive' concentrations of capital, a wealth tax would be more effective.
- npc12345 4y ago
  Tax the rich the rich flee to Europe. Economy 101
  - michaelbrave 4y ago
    Countries are for the most part better without them. Any country that is willing to bend to the wills of a powerful minority (the obscenly wealthy) is just performing corruption or a kind of nobility with extra steps.
    - nxm 4y ago
      Evidence of how they’re mostly better with wealth flowing out?
  - fsociety 4y ago
    Tax the ultra wealthy on the way out then. This country deserves better.
  - qiskit 4y ago
    > Tax the rich the rich flee to Europe. Good. Maybe putin will take care of them there. > Economy 101 Economics 101. The rich disappear. Nobody will notice. The working class disappears, the economy collapses.
  - wolverine876 4y ago
    That's what the anti-tax people often say but it's not economics 101; it's rhetoric 101 - say what sounds plausible with a lot of confidence. The economics: First, people choose their locations based on many, many factors, including familiarity, investments, network, services, family, and, most of all, intertia - people generally don't move unless they have a strong motivation; generations stay in the same place. Second, many people prefer to live in communities that invest in themselves and their people. Finally, European countries generally don't have a lower tax burden.
- credit_guy 4y ago
  > The idea that having ultra wealth benefit society is a delusion. But the idea of freedom is quite good. And freedom to become wealthy is part of that concept.
  - andrewjf 4y ago
    I assume we should take 'ultra wealthy' as 'billionaire' in this context. We're not talking about the people that retire with < $10m or even $50m. We're talking about these people that have extracted billions or hundreds of billions from the economy and have systemically changed the rules to extract it from the middle class. Freedom to be a billionaire at the expense of a well balanced and healthy middle class, fully funded services (health, infrastructure, education, fire, police, etc) and not having to work two or three jobs to afford housing? No thanks. I want bridges that don't collapse. I want to pay our teachers what their value to society is. I want sick people to not go bankrupt (even with insurance), or to rely on GoFundMe to pay medical bills.. But most of all, I don't want my kids, parents, or myself to have to work when we're 80. Billionaires are a failure of society.
    - Blackstrat 4y ago
      Envy parading as policy objectives isn’t pretty. Billionaires aren’t the problem. Government is the problem. When people/society look to the government for solutions instead of pursuing their own interests and desires, it leads to a serious misallocation of capital and an eradication of liberty. None of these issues you raised will be solved by government. Period.
    - credit_guy 4y ago
      Musk did not "extract hundreds of billions" from the economy. I did buy a few shares of Tesla. Millions, or maybe tens of millions of other people did the same. Those people made the Tesla stock go up in value. Many, many times over. Nobody forced me, or them to buy Tesla shares. Should we benefit from the Tesla stock appreciation, but Musk not? Should we confiscate his shares? Because he's "a failure of society" ? "Sick people going bankrupt", is that Musk's fault? Or Bezos's fault? Or Zuckerberg's or Gates'? Musk, Bezos, Gates, Page, Schmidt, Zuckerberg created millions of high paying jobs. How many people are vying to get a job at a FAANG? Do you have a gmail account, or a Facebook account, or do you own an iPhone, or iPad, or watch Netflix? Did anyone force you to do any of these things? Then how did these people "extract wealth" from you?
rusty_developer 4y ago
Wasn't Jamie Dimon one of the individuals who was largely responsible for the last "economic hurricane" and was shielded from personal financial injury by government bailouts?
- deleted 4y ago
  [deleted]
- reducesuffering 4y ago
  "It has been widely reported that JPMorgan Chase was in much better financial shape than other banks and did not need TARP funds but accepted the funds because the government did not want to single out only the banks with capital issues." "You know, keep in mind, though, there are a lot of banks that are actually pretty well managed; JP Morgan being a good example. Jamie Dimon, the CEO there; I don't think he should be punished for doing a pretty good job managing an enormous portfolio." - Barack Obama https://en.wikipedia.org/wiki/Jamie_Dimon#Federal_TARP_funds https://en.wikipedia.org/wiki/Jamie_Dimon#Federal_TARP_funds
  - wolverine876 4y ago
    This is exactly the kind of informaiton that would be manipulated on Wikipedia, IMHO.
    - reducesuffering 4y ago
      You can look up the 2008 banking issues from primary sources then. It's not controversial at all that JP Morgan Chase was basically the only solid bank when 2008 happened, in large part due to Dimon being practically the definition of an intellectual standup guy.
      - wolverine876 4y ago
        > You can look up the 2008 banking issues from primary sources then. I think if someone is making a claim, it's up to them to support it. Wikipedia isn't great support. > Dimon being practically the definition of an intellectual standup guy. Dimon says a lot of BS.
sparrc 4y ago
The title of the article is a bit misleading since it seems to imply (to me at least) that Dimon is blaming the Fed for doing something unreasonable. But in the article he actually says that the Fed (and other central banks) have to do this as the current best course of action: > Central banks “don’t have a choice because there’s too much liquidity in the system,” Dimon said, referring to the tightening actions. “They have to remove some of the liquidity to stop the speculation, reduce home prices and stuff like that.” edit: also OP left "and Ukraine war" out of the title...

33 points by memish 4y ago

Eh, hard to believe the fed,banks and hedge funds aren't just the same Uber wealthy orgy of big money interests. Want to contain inflation? Tax excessive market capital. The idea that having ultra wealth benefit society is a delusion.

wahern 4y ago
> Want to contain inflation? Tax excessive market capital. Isn't that exactly what inflation is, a tax on uninvested capital?
- mensetmanusman 4y ago
  It’s also a tax on unpaid debts owed to you?
  - wahern 4y ago
    Depends on interest rate, I suppose. Variable rates help shield the creditor. Fixed rates tend to be higher to price in inflation risk. Also, you can securitize debt, which helps you hedge.
- danenania 4y ago
  It's mainly a tax on uninvestable capital like subsistence wages and pensions. If you only wanted to tax 'excessive' concentrations of capital, a wealth tax would be more effective.
npc12345 4y ago
Tax the rich the rich flee to Europe. Economy 101
- michaelbrave 4y ago
  Countries are for the most part better without them. Any country that is willing to bend to the wills of a powerful minority (the obscenly wealthy) is just performing corruption or a kind of nobility with extra steps.
  - nxm 4y ago
    Evidence of how they’re mostly better with wealth flowing out?
- fsociety 4y ago
  Tax the ultra wealthy on the way out then. This country deserves better.
- qiskit 4y ago
  > Tax the rich the rich flee to Europe. Good. Maybe putin will take care of them there. > Economy 101 Economics 101. The rich disappear. Nobody will notice. The working class disappears, the economy collapses.
- wolverine876 4y ago
  That's what the anti-tax people often say but it's not economics 101; it's rhetoric 101 - say what sounds plausible with a lot of confidence. The economics: First, people choose their locations based on many, many factors, including familiarity, investments, network, services, family, and, most of all, intertia - people generally don't move unless they have a strong motivation; generations stay in the same place. Second, many people prefer to live in communities that invest in themselves and their people. Finally, European countries generally don't have a lower tax burden.
credit_guy 4y ago
> The idea that having ultra wealth benefit society is a delusion. But the idea of freedom is quite good. And freedom to become wealthy is part of that concept.
- andrewjf 4y ago
  I assume we should take 'ultra wealthy' as 'billionaire' in this context. We're not talking about the people that retire with < $10m or even $50m. We're talking about these people that have extracted billions or hundreds of billions from the economy and have systemically changed the rules to extract it from the middle class. Freedom to be a billionaire at the expense of a well balanced and healthy middle class, fully funded services (health, infrastructure, education, fire, police, etc) and not having to work two or three jobs to afford housing? No thanks. I want bridges that don't collapse. I want to pay our teachers what their value to society is. I want sick people to not go bankrupt (even with insurance), or to rely on GoFundMe to pay medical bills.. But most of all, I don't want my kids, parents, or myself to have to work when we're 80. Billionaires are a failure of society.
  - Blackstrat 4y ago
    Envy parading as policy objectives isn’t pretty. Billionaires aren’t the problem. Government is the problem. When people/society look to the government for solutions instead of pursuing their own interests and desires, it leads to a serious misallocation of capital and an eradication of liberty. None of these issues you raised will be solved by government. Period.
  - credit_guy 4y ago
    Musk did not "extract hundreds of billions" from the economy. I did buy a few shares of Tesla. Millions, or maybe tens of millions of other people did the same. Those people made the Tesla stock go up in value. Many, many times over. Nobody forced me, or them to buy Tesla shares. Should we benefit from the Tesla stock appreciation, but Musk not? Should we confiscate his shares? Because he's "a failure of society" ? "Sick people going bankrupt", is that Musk's fault? Or Bezos's fault? Or Zuckerberg's or Gates'? Musk, Bezos, Gates, Page, Schmidt, Zuckerberg created millions of high paying jobs. How many people are vying to get a job at a FAANG? Do you have a gmail account, or a Facebook account, or do you own an iPhone, or iPad, or watch Netflix? Did anyone force you to do any of these things? Then how did these people "extract wealth" from you?

rusty_developer 4y ago

Wasn't Jamie Dimon one of the individuals who was largely responsible for the last "economic hurricane" and was shielded from personal financial injury by government bailouts?

deleted 4y ago
[deleted]
reducesuffering 4y ago
"It has been widely reported that JPMorgan Chase was in much better financial shape than other banks and did not need TARP funds but accepted the funds because the government did not want to single out only the banks with capital issues." "You know, keep in mind, though, there are a lot of banks that are actually pretty well managed; JP Morgan being a good example. Jamie Dimon, the CEO there; I don't think he should be punished for doing a pretty good job managing an enormous portfolio." - Barack Obama https://en.wikipedia.org/wiki/Jamie_Dimon#Federal_TARP_funds https://en.wikipedia.org/wiki/Jamie_Dimon#Federal_TARP_funds
- wolverine876 4y ago
  This is exactly the kind of informaiton that would be manipulated on Wikipedia, IMHO.
  - reducesuffering 4y ago
    You can look up the 2008 banking issues from primary sources then. It's not controversial at all that JP Morgan Chase was basically the only solid bank when 2008 happened, in large part due to Dimon being practically the definition of an intellectual standup guy.
    - wolverine876 4y ago
      > You can look up the 2008 banking issues from primary sources then. I think if someone is making a claim, it's up to them to support it. Wikipedia isn't great support. > Dimon being practically the definition of an intellectual standup guy. Dimon says a lot of BS.

sparrc 4y ago

The title of the article is a bit misleading since it seems to imply (to me at least) that Dimon is blaming the Fed for doing something unreasonable. But in the article he actually says that the Fed (and other central banks) have to do this as the current best course of action: > Central banks “don’t have a choice because there’s too much liquidity in the system,” Dimon said, referring to the tightening actions. “They have to remove some of the liquidity to stop the speculation, reduce home prices and stuff like that.” edit: also OP left "and Ukraine war" out of the title...