Stockman nails it again
Are our problems really as simple as David Stockman expressed in the video link above? They absolutely are. And yesterday, the markets waited with baited breath to see the next move by the Fed. Where are market fundamentals? They were crushed under monetary policy gone wild! The Federal Reserve is living it up like it is spring break and there will be no repercussions from their unprecedented manipulation of the financial markets. And the financial markets cheer them on. I imagine a rather unsightly image of Greenspan and Bernanke frolicking down Bourbon street during Mardi Gras with the big financial institutions (the too big to fail banks) leaning over the railing of their balcony and offering to throw our Central Bankers their fake beaded necklaces to, “see what they got.” What is really comical is that the Fed won’t disappoint, they would do it for less than a five cent necklace!
Stockman is right and we have pointed out the same thing on this blog. All this ill-advised intervention and manipulation comes at a huge cost to the financially responsible and the savers. But I would add as a footnote that the biggest savers in the world are pension systems!! Here is my question: How do you recover a pension plan that has to overcome terrible monetary policy and leveraged risk taking (gambling) on Wall Street that imploded all our financial markets to begin with, when we double down on this same monetary policy that sends a message to the financial markets that they will be rewarded for their gambling habits? Wall Street controls our nation’s politics and our Central Bankers ensure that the game will remain rigged for those with the current power — those who control the money!