Friday, June 27, 2014

Social Opposition to the Fed

It's time we stop
Hey, what's that sound?
Everybody look what's going down
--Buffalo Springfield

Is it possible that the Fed's radical inflationary actions will be hamstrung by public opinion? Thru its actions, the Fed is facilitating the greatest wealth transfer in the history of the world. What if the public catches on? What if the public demands a stop to polices that skew wealth in an unnatural manner?

Many statists face a dilemma. They endorse government force to 'fix' problems. Yet they see wealth skewing more to the rich as a result of government policy. Moreover, prices are rising in many categories as purchasing power is destroyed. Yet, to demand an end to inflationary Fed policy would be to admit that government force is making things worse instead of better.

Such a thought is surely difficult for many statists to process.

However, as $trillions are printed and supplied to the privileged--who in turn exchange that cash for real economic resources produced by others--perhaps the cognitive dissonance grows to the point where the public mind breaks thru its mental block and recognizes the truth.

If it did, then the Fed's current policies and perhaps the institution itself would be history.

1 comment:

dgeorge12358 said...

Would you mind repeating the question one more time?
~Elizabeth Coleman, Inspector General of Federal Reserve