Federal Reserve pushes interest rates above 5% for first time since 2007
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Re: Federal Reserve pushes interest rates above 5% for first time since 2007
#2This whole interest rate hike exercise and its obvious effects on various markets has really made the economy seem fake to me. How can one government committee have so much arbitrary decision making power over how hundreds of millions conduct business in this country? It’s extremely demotivating.
Re: Federal Reserve pushes interest rates above 5% for first time since 2007
#3This whole interest rate hike exercise and its obvious effects on various markets has really made the economy seem fake to me. How can one government committee have so much arbitrary decision making power over how hundreds of millions conduct business in this country? It’s extremely demotivating.
It's even more of a headscratcher when you realize that the Federal Reserve is not a government committee.
Re: Federal Reserve pushes interest rates above 5% for first time since 2007
#4This whole interest rate hike exercise and its obvious effects on various markets has really made the economy seem fake to me. How can one government committee have so much arbitrary decision making power over how hundreds of millions conduct business in this country? It’s extremely demotivating.
Imagine if the US Congress or the President was in charge of these decisions.
To me, anyway, it's more calming. Haha.
Re: Federal Reserve pushes interest rates above 5% for first time since 2007
#5This whole interest rate hike exercise and its obvious effects on various markets has really made the economy seem fake to me. How can one government committee have so much arbitrary decision making power over how hundreds of millions conduct business in this country? It’s extremely demotivating.
How would you prefer to do it? Like China?
Re: Federal Reserve pushes interest rates above 5% for first time since 2007
#6This whole interest rate hike exercise and its obvious effects on various markets has really made the economy seem fake to me. How can one government committee have so much arbitrary decision making power over how hundreds of millions conduct business in this country? It’s extremely demotivating.
The arbitrary centrally-planned foundation of the economy has been clear to those paying attention on the way down, as rates were repeatedly lowered further and further over decades for one political purpose or another. What has surprised me is that the Fed did end up having the will to raise rates a decent amount.
So it seems the Fed actually has been following their technocratic mandate, just with horribly broken criteria based around consumer price inflation - horribly broken because the real price of manufactured goods should have been dropping significantly due to offshoring and technological progress, but the Fed's feedback loop created enough new money so they couldn't (hence the ever-growing asset bubble).
As a libertarian student of Austrian economics, seeing this play out is actually warming me up to Modern Monetary Theory - at least it means the newly created money gets directed to deliberate purposes (like sorely needed infrastructure), rather than just handed to banks in a mostly undirected manner while feigning austerity for everyone else.
Re: Federal Reserve pushes interest rates above 5% for first time since 2007
#7This whole interest rate hike exercise and its obvious effects on various markets has really made the economy seem fake to me. How can one government committee have so much arbitrary decision making power over how hundreds of millions conduct business in this country? It’s extremely demotivating.
All these rate hikes has made me understand how deeply manipulated the economy is. All these scary stories about the old left going to mess with the market ...
It seems to me that the FED arbitrarily can manipulate the lowest return on money invested that is possible to get away with aswell as the highest rate you can expect to get on your money by some opaque banker only interest system.
Like, how is printing money and givinging it to the poor any worse. Both are manipulation.
Re: Federal Reserve pushes interest rates above 5% for first time since 2007
#8The US have maybe a few months to completely undo their stupid sanctions on the Russians and return their money or the de-dollarizarion movement will keep gaining steam and those bank failures will look like children’s play.
There’s no way the USA can survive as a world power if they keep stupidly weaponizing the dollar and weakening its status as the world currency. How do people think we will keep our standards of living if we don’t have the world’s currency to allow us to keep our prosperity by having this massive trade deficit?
Re: Federal Reserve pushes interest rates above 5% for first time since 2007
#9This whole interest rate hike exercise and its obvious effects on various markets has really made the economy seem fake to me. How can one government committee have so much arbitrary decision making power over how hundreds of millions conduct business in this country? It’s extremely demotivating.
This whole interest rate cutting exercise and its obvious effects on various markets also really made the economy seem fake ....
The period of 10 years where rates were 0%+/- with 2-3++% inflation was the fake economy 5% rates with 5% inflation is the real world.
Re: Federal Reserve pushes interest rates above 5% for first time since 2007
#10This whole interest rate hike exercise and its obvious effects on various markets has really made the economy seem fake to me. How can one government committee have so much arbitrary decision making power over how hundreds of millions conduct business in this country? It’s extremely demotivating.
How would you prefer to do it? Like China?
Why someone has to fix it for others. Can we let people decide for themselves?