Not sure it's what's going to happen now, but pretty sure it contributed to the Great Depression. Many people lost their land and assets to the rich during that period in our history.
The Fed is just another typical government agency. Staffed with people creating the very problems they're supposed to prevent and arrogant enough to not realize it.
this article is complete bullshit if they think a minor adjustment by the Fed is going to cause a “Great Depression” ...
To be fair, many rich went broke, too. Some jumped out of indows.
The trade war is BS. A $30B annual tariff is hardy much of an escalation in the ‘war’. What is dangerous is all the misplaced hype about it.
Lefties and coastal import interests are making a mountain out of a molehill to drive down markets and get a Democrat elected in 2020. They’re also going to hurt the economy with the crazy talk for gun control by spurring too many people to divert personal money to firearms again.
We need more production on U.S. soil of basic tools necessities for everyday living, so we should take whatever pain and corrections along the way to get there. We won’t be buying imported items, when we’re personally out of money. And because of the pinch for private sector workers, austerity is coming. And government jobs will be cut. That’s an eventual certainty.
So people politically aligning too much with unneeded import interests had best go with the flow. Big government needs revenues from big production on U.S. soil. Can’t get blood out of balance of payments deficits caused by trade imbalances.
Ever hear of THE DUST BOWL?
Do you know how much the rules have changed regarding how people and/or companies and traders buy & sell stocks came into existence and are still there today, since the CRASH OF '29 and what was done and by whom, to make sure that the crash's aftermath didn't rebound until well after WW II ?
Is the rest of the world in the depths of a GREAT DEPRESSION, as it was in almost all of Europe, after WW I, right now?
Factual history is extremely important to know and obvious, cherry-picking one tiny part ( which in fact had far less to do with the GREAT DEPRESSION than you or the author of this stupid piece appear to know )and then extrapolating it to current times and events just does NOT wash!
And FWIW...the VERY "rich" did NOT escape the Great Depression unscathed nor did they "steal" land and assets from the "poor"!
And Trump and his team are about THE farthest thing to the RIGHT when compared to FDR and his COMMIE advisors and cabinet!
Is the Fed trying to subvert the Trump economy?
Might have contributed but was not central. What locked in the prolonged depression was the French hoarding gold. The lack of availability of gold to back up currencies in the world as the French were hoarding it was what completely froze up any possibility of avoiding the crash and recovering from it. Only after WWII when the French and British sold their gold to the US to finance the war was America able to rule over gold in ways that were fair and not destructive as a tool against other nations as the French had done it perfidiously
China and anti Trump globalists will do everything to sink the economy before election. China dumping the trillion in treasuries seems a likely prospect.
Oh...and worse than the CRASH OF ‘29, was THE CRASH OF ‘87, when the market lost 22.6% of it’s value! And NOTHING compared to ‘29, nor ‘87, nor even the insane one in 2008, has or is happening now and shan’t!
Pearl clutching?
Looking for your fainting couch?
Jeez, not this $hit again..
The time when a pig was worth more than cash, since nobody had any cash.
Country Doctors often got paid by barter.
The Creature from Jekyl Island is going to do what Creatures do, Wreak havoc and take over. That is the History of Central Banking.
“if they (the Fed) are aware that the actions they took in the 1920s triggered the Great Depression”
Not true. The Great Depression was a global phenomena, not an American one. It was caused by the collapse of the global reserve currency - the British Pound - after Socialists came to power in the UK.
The length and depth of the American Depression were definitely made worse by Fed policy of tight money/high rates though.
Not coherent enough.
There’s a lot of talk of ‘bubbles’ being caused by the Fed, and they play a role.
However, it is the misuse of the capital they freeup that causes the problems.
If the increased credit was used productively there would be no problem.
Abolish the Fed.
Of the 18,000 FED employees not one donated to the 2016 Trump campaign. The FED has no idea what the neutral interest rate is. Pretending that debt is money is an ongoing disaster for the country...
Holding money out to businesses and individuals is like holding clumps of sugar out to a stable of horses, like holding a bag of heroin out to a junkie.
The ‘Fed’ (which is nothing to do with anything federal) has one product, debt. Smith is correct that the Fed uses debt to gun and slam the markets, leaving insiders like vultures to pick the meat off the carcasses.
Time to end the Fed and return to the gold standard.
Although gold is just a yellow metal with no real intrinsic value, the Constitution does give our Treasury dominion over its production and regulation. That alone, with the extermination of the Fed will cause a flattening in the boom-bust cycles. There will be still be natural ebbs and flows but they will no longer be artificially induced.
Returning to a gold standard must be accompanied by heavy, heavy, heavy surveillance and draconian enforcement against any naked shorting of gold, against paper contracts that are not themselves backed by gold but are instead creatures of a secondary gold derivative market. Get rid of those.
Even now the short paper against gold is being withheld by Wall St sharks allowing the price to rise while their financial lapdog media outlets get in a groove with a meme about a coming crash, talking us all into a crash which should be just a mild recess.
Once sufficient enough retail sheep are herded into gold, the sharks will flood the gold derivative market with paper contracts to crash the price of gold. It’s what they do, it’s what works for them. They do the same to gold as they do the rest of the economy that comes into their target view.
Smith is right, their playbook is old and worn. They see Trump as a disruptor who must be brought down or he will bring them down.
Americans must absolutely come together to defeat the democrats in 2020 and also the bought off republicans who are with the democrats or who exude reticence to do the right thing either because they are stupid or they like Chinese money or both.
2021 can be a year when we say a unnited good-bye to the Fed, “Thanks for playing!” and return to sound money. We will all feel so much better and we know we have a President that will cushion the blows for us just as he took care of our farmers when he lowered the hammer on China.