Tag Archives: federal reserve
How Bankers are Exploiting the Fed’s BTFP at Your Expense
American bank depositors sincerely trust the Federal Deposit Insurance Corporation (FDIC). They are as certain as the sky is blue, that the FDIC will protect the money in their bank accounts. Thus, they do not withdraw dollars from their accounts in a banking crisis. Continue reading
Death to Savers
The Federal Reserve artificially suppressed interest rates from roughly 2008 to 2022. It did so by creating $8 trillion of credit out of thin air to buy Treasuries and mortgage-backed securities. This pushed stock, bond, and real estate markets well beyond what the underlying economy could support. Falsified interest rates also birthed wild objects of speculation. Continue reading
How the Dianne Feinstein Effect Wrecked the Future
Attempting to spend a nation to prosperity using borrowed money at everyday low rates courtesy of the Fed is not without consequences. In the short run, an illusion of wealth can be erected. In the long run, that illusion slips into decay and disrepair. Rising interest rates expedite the failure of fiscal recklessness. Continue reading
How the Fed Retarded the Residential Real Estate Market
Even though houses are completely unaffordable, prices remain high because the supply is ultra-constrained. The Fed, in essence, retarded the residential real estate market. Only well-intentioned central planners could accomplish such a feat. Continue reading
