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Fed’s independence, IMO is only independent to political officials’ commands, but it still very much listen to some other elites e.g. the banking aristocrats.
by markus_zhang 1y ago
Fed’s independence, IMO is only independent to political officials’ commands, but it still very much listen to some other elites e.g. the banking aristocrats.
If those elites don’t give a fuck about the world, then Populism arises and tries to take them over.
Exactly what’s happening right now.
- JumpCrisscross 1y ago> the banking aristocrats This...is not a thing. Banking hasn't been dominated by a hereditary class since the Great Depression.
- markus_zhang 1y agoJust loosely speaking. I’m not really talking about a family here. I’ll switch to “elites” then.
- JumpCrisscross 1y ago> not really talking about a family here. I’ll switch to “elites” then An interesting aspect of American central banking is that it doesn’t tend to cross-pollinate with commercial or investment banking. Bernanke went to MIT before a career in academia and government [1]. Yelled worked in government her whole career [2]. Powell, uniquely, worked in the private sector as an attorney and investment banker, but hasn’t been in that world for 15 years [3]. Until 2025, the Fed was legitimately independent of commercial banks’ concerns. Until Trump, Wall Street couldn’t pick its regulators the way it can now. [1] https://en.m.wikipedia.org/wiki/Ben_Bernanke https://en.m.wikipedia.org/wiki/Ben_Bernanke [2] https://en.m.wikipedia.org/wiki/Janet_Yellen https://en.m.wikipedia.org/wiki/Janet_Yellen [3] https://en.m.wikipedia.org/wiki/Jerome_Powell https://en.m.wikipedia.org/wiki/Jerome_Powell
- orwin 1y ago'Elites' (VCs and PE managers) very much disagree with the Fed's policies btw.