The Federal Reserve plans to do everything in its power to spur economic growth except for the things that need to be done, all of which are outside of the Fed’s power. So the latest meeting of the Fed governors was a joke.
Income has been redistributed from the 99 to the 1 percent at record levels for the last several decades. For example, 1 percent now steal nearly 30 percent of total US income compared to about 7 percent thirty-two years ago. The 1 percent also received 93 percent of total US income growth for the last two years. That means the 99 percent have less and less money to burn, severely reducing the demand for goods and services, forcing US businesses to hoard almost $6 trillion because of the lack of demand. By the way, that’s money they’ve stolen via legislation from the 99 percent. Do you see a series of connections here?
One other point needs to be made; trickle down economics never worked. It was a scam. It was only intended to redistribute income from the 99 to the 1 percent. The folks at the Fed, and in the Federal government, have no intention of doing anything about these issues. That means whatever actions the Fed can take to spur economic growth are doomed to failure, even if the actions might result in some minor short term gains.
Click on the link below to see the actions the Fed intends to take.
Federal Reserve Prepared to Take Action on Economy–The Guardian UK
