This $6 trillion problem threatens to push inflation even higher

Looks like the Federal Reserve's chickens are going to be coming home to roost, unless the chicken coop isn't already burned down.

The problem has been building steadily since 2008 and this opinion piece by Dr. E. J. Antoni puts the whole situation in one easy to understand piece. https://www.foxnews.com/opinion/6-trillion-problem-threatens-push-inflation-even-higher

If Antoni is right, the Fed has painted itself into a corner and there's nowhere to go. And if we do have a lot more inflation, the only way to fight it that I can see would be to raise interest rates to levels we had back in 1980 - 1981. It worked back then, but today's overall economy is quite a lot different.

 

what did you think would happen when the fed bought up all of wall st's "toxic assets?" the trick was to time this big reveal so biden could be blamed..

 

Actually, if a reader is fair about it, then the blame should fall on W. Bush, Obama, Trump, and Biden. All four of those presidents are to blame. All of them have been subservient to the Federal Reserve henchmen, completely letting the Fed have its own way.

 

Pretty clever, huh?

 

Actually, it started with Ronald Reagan's 170% increase in the national debt.

 

as long as wages rise with inflation, we will be fine - been happening for decades

 

the federal reserve bank is Independent. "completely letting the fed have its own way " would be natural , legal, and the intent of the federal reserve law.

the fed , under bush appointee "helicopter ben" bernanke , directed by the 6 "too big to fail" wall st banks (morgan chase, goldman sachs, etc) bought the "toxic assets," best described as
the stuff dreams are made of" in order to save capitalism, again, from the capitalists.

 

the republican head of the fed is trying to kill the hot Biden economy

under Trump, the Fed was dumping trillions into the economy and even talking negative interest rates to keep it afloat

Republicans are doing this all so they can try to blame Biden

 

Trump was on the verge of a recession in 2019... BEFORE COVID

the fed doesn't do this during a great economy... that the economy was great pre-covid is one of the biggest lies the Republicans ever told.


"Fed Ups Its Wall Street Bailout to $690 Billion a Week as Media Snoozes" Oct 2019

https://wallstreetonparade.com/2019...ilout-to-690-billion-a-week-as-media-snoozes/

and

"The Federal Reserve Has Already Pumped $9-Trillion into Wall Street in the Past Six Months, and Now Is Offering Banks Another $1.5-Trillion" March 2020

https://needtoknow.news/2020/03/the...d-now-is-offering-banks-another-1-5-trillion/

 

the number one concern to republicans... rising wages

"Powell Treads Tricky Path in Saying Wages Are Rising Too Fast"

https://www.bloomberg.com/news/arti...icky-path-in-saying-wages-are-rising-too-fast

 

and there is the truth about Republicans concerns

"U.S. Federal Reserve says its goal is ‘to get wages down’"

https://mronline.org/2022/05/26/u-s-federal-reserve-says-its-goal-is-to-get-wages-down/

"The chairman of the U.S. Federal Reserve, Jerome Powell, said his goal is “to get wages down.”"

 

so true

"Our economic crisis isn’t inflation, it’s corporate greed and the GOP will only make that worse"

https://www.sanders.senate.gov/op-e...-greed-and-the-gop-will-only-make-that-worse/

"Today, we live in an economy in which the billionaires are getting much richer while working families fall further behind. Unbelievably, while 60 percent of Americans are living paycheck to paycheck, we now have more income and wealth inequality than we have ever had in the history of our country – with three multi-billionaires owning more wealth than the bottom half of Americans. While employers squeeze workers and their unions for cuts to health care and other benefits, the CEOs of major corporations now make nearly 400 times more than their average employees – the largest employer-worker gap in our history."

 

So I'm sure if we just elect a bunch of free spending socialists that it will set everything right with the world....

 

Republican tax cuts for the rich sure are not working

 

And whatever the hell you call whatever Democrats are doing now is certainly not working

 

100%

But that doesnt make 'the other team' look bad, rather it makes the whole 'game' look bad. The partisans, believing they have a vested interest in their 'team' winning 'the game', will not abide.

 

That works for homeowners. For renters, rent always rises to meet wages because landlords only rent to maximize profits. In our increasingly rental economy, the more they make, the more homes they buy to turn into rentals. The innevitable conclusion is an entire nation that owes their soul to the company store.

 

working well enough that the republican fed is trying to cool the economy

 

as long as wages go up too, the poor will be just as good off either way

time to raise the min wage

my grandparents made like 50 cents on an hour.... wages always go up as do prices

 

your grandparents housing cost 10%, relative to average income, of folks pay today.

 

yes, wages have not kept up, raise the min wage

 

Neither did the astronomical spending by the previous admin.

 

and rents will increase soon after. rents always rise to gobble up wages. wages dont mean anything in a renter economy. if min wage was a $million a month and rent cost $999999/mo for an efficiency, would renters be better or worse off?

 

then wages rise more.... it will eventually even out for a bit, then away we go again

our debt becomes less the more people earn, and the more things cost, so there is benefit there too - ask anyone that owed a mortgage in the past

 

As a teen I worked for 75 cents per hour which was minimum wage. Later when the minimum wage was increased to $1 an hour, I was paid that. But I almost lost my job when the raise in minimum took effect. However, I was not satisfied with $1 an hour and didn't wait around for the government to grant me another raise. I entered a trade, mastered that trade over 4 years, became a valuable worker and was soon making a living wage. Financially I retired at age 55 in perfect health. What was the key to my success -- hard work, staying out of debt, investing, and lots of self-study. Anyone can do it if they apply themselves.