Thursday, August 26, 2021

Fed Up with the Fed's Abuse of Power

One phrase describes the Fed's pillaging of the nation to benefit the few at the expense of the many: abuse of power.

To confess that the fate of the entire global economy now rests on the mumblings of a fossilized Politburo fanatically devoted to making the rich richer is to 1) state the obvious and 2) admit the extreme fragility of the global financial system. That it has come to this-- all global markets soar or collapse in unison based on the addled spew of the fossilized Politburo's chairman--is overwhelming evidence that 1) the system is broken and 2) the fossilized Politburo has way too much power and 3) the fossilized Politburo is abusing its power by enriching the already-rich, decade after decade, to the detriment of the bottom 90% and systemic stability.

Let me translate the incoherent ramblings of Chairperson Powell: let them eat cake (or more precisely, let them eat brioche), for increasing wealth and income inequality has been the Fed's prime directive since The Maestro Alan Greenspan began the Fed's manipulation--oops, I mean management--of the stock, bond and risk markets in the early 1990s.

The fatal synergies unleashed by the Fed's abuse of power were already apparent to Greenspan by December 5, 1995 when he issued his famous warning that equities were exhibiting "irrational exuberance." The irrational exuberance of those early days of the Fed's abuse of power--stripmining the middle class to boost the wealth of America's top tier--now look positively quaint compared to today's Fed-fueled speculative mania which has poisoned the entire society and hoisted the economy on a rickety ladder to the sky that will crush everything below when it finally snaps.

It would be refreshing to dispense with the Fed's pathetic, tissue-thin rationalizations for making the rich richer: we're just trying to boost inflation (the surest way to impoverish the bottom 90%) and increase employment... oh right, which must be why labor's share of the economy has been in a free-fall for the past 30 years of Fed manipulation / abuse of power. (see chart below)



Let the record show what the Fed has accomplished: 1) inflating three ever-more destructive speculative bubbles and 2) unprecedented extremes of wealth and income inequality. The Billionaires are grateful for the free trillions the fossilized Politburo showers on the super-wealthy while destroying the safe yields that once benefited the middle class.

One phrase describes the Fed's pillaging of the nation to benefit the few at the expense of the many: abuse of power. When will America finally end the Fed's reign of inequality and ever more extreme abuse of power? When will we finally ease this disastrously fossilized Politburo into the dustbin of history? If we cannot do so, the nation's financial collapse is easily foretold.






If you found value in this content, please join me in seeking solutions by becoming a $1/month patron of my work via patreon.com.

My new book is available! A Hacker's Teleology: Sharing the Wealth of Our Shrinking Planet 20% and 15% discounts (Kindle $7, print $17, audiobook now available $17.46)

Read excerpts of the book for free (PDF).

The Story Behind the Book and the Introduction.



Recent Videos/Podcasts:

Charles Hugh Smith on Secular Inflation (Host Richard Bonugli, 31 min)

My COVID-19 Pandemic Posts


My recent books:

A Hacker's Teleology: Sharing the Wealth of Our Shrinking Planet (Kindle $8.95, print $20, audiobook $17.46) Read the first section for free (PDF).

Will You Be Richer or Poorer?: Profit, Power, and AI in a Traumatized World
(Kindle $5, print $10, audiobook) Read the first section for free (PDF).

Pathfinding our Destiny: Preventing the Final Fall of Our Democratic Republic ($5 (Kindle), $10 (print), ( audiobook): Read the first section for free (PDF).

The Adventures of the Consulting Philosopher: The Disappearance of Drake $1.29 (Kindle), $8.95 (print); read the first chapters for free (PDF)

Money and Work Unchained $6.95 (Kindle), $15 (print) Read the first section for free (PDF).



Become a $1/month patron of my work via patreon.com.




NOTE: Contributions/subscriptions are acknowledged in the order received. Your name and email remain confidential and will not be given to any other individual, company or agency.

Thank you, Mark M. ($10), for your most generous contribution to this site -- I am greatly honored by your support and readership.

 

Thank you, Kevin C. ($5/month), for your superbly generous pledge to this site -- I am greatly honored by your support and readership.


Thank you, Johannes N. ($5/month), for your magnificently generous pledge to this site -- I am greatly honored by your support and readership.

 

Thank you, Matthew A. ($5/month), for your splendidly generous pledge to this site -- I am greatly honored by your support and readership.

Terms of Service

All content on this blog is provided by Trewe LLC for informational purposes only. The owner of this blog makes no representations as to the accuracy or completeness of any information on this site or found by following any link on this site. The owner will not be liable for any errors or omissions in this information nor for the availability of this information. The owner will not be liable for any losses, injuries, or damages from the display or use of this information. These terms and conditions of use are subject to change at anytime and without notice.


Our Privacy Policy:


Correspondents' email is strictly confidential. This site does not collect digital data from visitors or distribute cookies. Advertisements served by a third-party advertising network (Investing Channel) may use cookies or collect information from visitors for the purpose of Interest-Based Advertising; if you wish to opt out of Interest-Based Advertising, please go to Opt out of interest-based advertising (The Network Advertising Initiative). If you have other privacy concerns relating to advertisements, please contact advertisers directly. Websites and blog links on the site's blog roll are posted at my discretion.


PRIVACY NOTICE FOR EEA INDIVIDUALS


This section covers disclosures on the General Data Protection Regulation (GDPR) for users residing within EEA only. GDPR replaces the existing Directive 95/46/ec, and aims at harmonizing data protection laws in the EU that are fit for purpose in the digital age. The primary objective of the GDPR is to give citizens back control of their personal data. Please follow the link below to access InvestingChannel’s General Data Protection Notice. https://stg.media.investingchannel.com/gdpr-notice/


Notice of Compliance with The California Consumer Protection Act
This site does not collect digital data from visitors or distribute cookies. Advertisements served by a third-party advertising network (Investing Channel) may use cookies or collect information from visitors for the purpose of Interest-Based Advertising. If you do not want any personal information that may be collected by third-party advertising to be sold, please follow the instructions on this page: Limit the Use of My Sensitive Personal Information.


Regarding Cookies:


This site does not collect digital data from visitors or distribute cookies. Advertisements served by third-party advertising networks such as Investing Channel may use cookies or collect information from visitors for the purpose of Interest-Based Advertising; if you wish to opt out of Interest-Based Advertising, please go to Opt out of interest-based advertising (The Network Advertising Initiative) If you have other privacy concerns relating to advertisements, please contact advertisers directly.


Our Commission Policy:

As an Amazon Associate I earn from qualifying purchases. I also earn a commission on purchases of precious metals via BullionVault. I receive no fees or compensation for any other non-advertising links or content posted on my site.

  © Blogger templates Newspaper III by Ourblogtemplates.com 2008

Back to TOP