Allow me to translate the risible claims of Jay Powell and Janet Yellen that their stimulus policies haven’t boosted wealth inequality to the moon: “Let them eat cake.”
The consensus is that asset inflation is unstoppable and forever. History begs to differ.
Yet it still comes as a great surprise to everyone when ‘doing more of what’s failed spectacularly’ ends up collapsing the whole rotten structure.
Systems and nations are designed to fail
If you don’t discern any of these dynamics in the present, what are you choosing not to see?
Is that a red flashing light on the control panel of “the man behind the curtain”?
If we have indeed begun a sustained “reversal of fortune”, it might be prudent to consider the possibility we’re only in the first inning of a sustained run of back luck.
All the tricks to hide our unaffordable cost structure have reached marginal returns. Reality is about to intrude.
Here’s looking at you, Federal Reserve–thanks for perfecting ‘legalized looting’ and neofeudalism in America.
When the top 10%’s bubble pops in 2021, the loss of illusions/delusions of security and wealth will be shattering to all those who believed artifice and illusory “wealth” were real.
So party on, because “the worst year ever” is ending and the rebound of financial markets, already the greatest in recorded history, will only become more fabulous.