Mark Spitznagel Slams The Fed For Creating The Rich-Poor "Chasm"

[Geaux4it]

 

[bendog]

Well, imo, the question is first what is the author's gripe, or thesis.

That the federal reserves inflation policies exacerbate the welth gap significantly. He then goes on to explain why and in what fashion.

It seems to me that he opines that the fed's expansionist credit policy has fueled the concentration of wealth. And if so, he fails to support his thesis with data that wealth was less concentrated than before.

File:2008 Top1percentUSA.png - Wikipedia, the free encyclopedia

notice that right around 1970-71, the wealth gap began to climb steadily. If you search, you'll also see that debt exploded during this time period. This was when Nixon took the remaining remnants of a currency anchor away and created the flaoter fiat of today. It's not a coincidence.

Moreover, the piece ignores the growth in overall wealth.

Much of that "wealth" is an illusio of paper money, not the actual expending of energy in creation/invention/production. It's all but an illusion.

No he does not. there is currently no inflation. That's his first logical fallacy.

The wikipedia link is actually counterintuitive. There's no doubt that the progressive policies of the TR-LBJ pushed wealth from the top down to the rest of us ... in the US. However, that doesn't support the concept that the fed is the cause of the change. There's was this president named Reagan who railed against progressive taxes, and ran up what, at the time, were scandelous budget deficits. Moreover, I would argue world wealth is the figure worth talking about, rather than US wealth.

Wealth is always an illusion, and always has been. Suppose we went back to the gold standard. the price of gold is an illusion because a nation's currency is valued at the price other nations believe its money and debt can be paid off by its gold.

Perhaps we could use tulips. (-:


Money: Whence It Came, Where It Went: John Kenneth Galbraith: 9780395198438: Amazon.com: Books
Money: Whence It Came, Where It Went: John Kenneth Galbraith: 9780395198438: Amazon.com: Books

 

[Geaux4it]

While I'm not a one percenter, I'm sure that Obama would not be happy to learn my portfolio earned 10% this year without even trying. All Obama is doing is creating a wider divide both socially and financially between those who have ambitions, drive and all the other attributes of capitalism, and those dependent on the government 'plan'.

Essentially, Obama is rewarding those he attacks in public to gain votes.

It pays good indeed.

-Geaux

 

[RightDown]

Mark must have missed the last 40 years where the US has been off the gold standard and money gets its value from the full faith and credit of the USA.

It's guys like Mark Stupenagel that are holding back the evolution of our intelligence.

Yah see, it's not the 400 people owning this country paying Labor a pittance, it's jew bankers. hahahahaha

That's what Mark is referring to in the first place. Did you just want to say something moronic for the sake of looking like a moron, or what?

No that's not what he's saying. You dumb fuck.

The country has been flirting with deflationary concerns (not inflation as averred in teh article) for the last several years. No COLAs for a few of those years. Remember?

Of course you don't. You probably think I'm talking about Pepsi.

 

[bendog]

It's not just Obama who has been aiding and abetting the unnatural concentration of wealth. You guys really need to break out of your idiotic partisan paradigms.

Both legs and both arms of our system are broken, not just the left limbs. You dolts.

i don't think it's an unnatural concentration. Rather, I think the concentration is exactly what you get when you don't affect markets with things like progressive taxation and aiding education in the third world.

 

[TakeAStepBack]

No he does not. there is currently no inflation. That's his first logical fallacy.

No inflation? Of course there has been inflation.

 

[TakeAStepBack]

Mark must have missed the last 40 years where the US has been off the gold standard and money gets its value from the full faith and credit of the USA.

It's guys like Mark Stupenagel that are holding back the evolution of our intelligence.

Yah see, it's not the 400 people owning this country paying Labor a pittance, it's jew bankers. hahahahaha

That's what Mark is referring to in the first place. Did you just want to say something moronic for the sake of looking like a moron, or what?

No that's not what he's saying. You dumb fuck.

The country has been flirting with deflationary concerns (not inflation as averred in teh article) for the last several years. No COLAs for a few of those years. Remember?

Of course you don't. You probably think I'm talking about Pepsi.

cost of living adjustments imply inflation.

The country is not flirting with deflation, either.

 

[RightDown]

That's what Mark is referring to in the first place. Did you just want to say something moronic for the sake of looking like a moron, or what?

No that's not what he's saying. You dumb fuck.

The country has been flirting with deflationary concerns (not inflation as averred in teh article) for the last several years. No COLAs for a few of those years. Remember?

Of course you don't. You probably think I'm talking about Pepsi.

cost of living adjustments imply inflation.

The country is not flirting with deflation, either.

COLAs don't imply inflation. They are implemented b/c of inflation.

Yes the country was flirting with deflation. That's why there were no colas for the first couple of years of Obama's term.

Another rightwing economist strikes...misunderstanding, misinformation and misunderestimated.