The Fed’s tampering with market signals undermines the process of wealth generation, thereby exerting an upward pressure on the time preference interest rate and the market interest rate.
For all of the talk about "our democracy," there is a better way to protect the lives and property of people than just electing politicians. It is called sound money.
When inflation hits, we see higher overall prices for everyone. But inflation hits lower-income people the hardest, and they bear the brunt of this tax.
Forget Biden's claim that his government is "fighting inflation." His government is creating inflation, and in so doing robbing people of their savings and earnings.
Keynesians believe that if government spends more, it creates wealth in the process because it is "creating demand." But only wealth generation can create demand for goods.
When Paul Volcker was Fed chairman forty years ago, he did what was necessary to bring down inflation. Unfortunately, the current Fed leadership at best is engaging in Volcker Lite.
