The Fed Is Finally Seeing The Magnitude Of The Mess It Created.

Discussion in 'Economics' started by themickey, Sep 24, 2022.

  1. themickey

    themickey

    What is to us is unavoidable, outside of our control is the pandemic and madman Putin's games which have created supply chain issues.
    What is avoidable and in our control is the Fed who tinker around and use global humans as guinnea pigs while they experiment with interest rate shenanagans.
    Allowing 'accountants' to run the business is a huge error. The fed are a bunch of puffy faced nerds with no life experience, they rarely see the sun, most couldn't even ride a bicycle.
     
    Last edited: Sep 24, 2022
    #21     Sep 24, 2022
  2. SunTrader

    SunTrader

    + 1

    The Fed is the worlds# 1 employer of PHD Economists all of whom likely never stepped inside a grocery store, bought a second-hand car, rode in coach or collected an unemployment check.

    IOW completely out of touch with the common man.
     
    #22     Sep 24, 2022
    nitrene, ElCubano and NoahA like this.
  3. I think the FED would need to have a seat on the board of those big companies and banks (they'd act like a fly on the wall type of role).
    economy is a complex machine that has time-dependent variables (demands, supplies, consumptions, employment, capex, productivity, imports/exports, farming activities, retails, home constructions, ...). I think they'd need to have to process a lot of data to have a feel for the true reality of the environment (economy in this case) in order to come up with a sensible decision for inflation and interest rate ... or else they'd be in the position of reacting to problems rather than anticipating them.
     
    #23     Sep 24, 2022
  4. NoahA

    NoahA

    But they act as if they can control everything. The cycle of life will always take the life in the end. Do you ever see a doctor claiming that they will have a 100% success rate in keeping the patient alive? The way to good health is to eat right and exercise.

    The way the Fed approaches the economy is to micro manage every stage of it. Its like hooking a healthy patient up to every machine, feeding them nothing but prepared mush via a tube, doing the breathing via a ventilator, using an air mattress to prevent pressure sores, and the list goes on. All the Fed needs to do is be hands off, let the person run around get exercise, eat good food, and provide some medical care in case they break a leg.

    The correct way is to acknowledge that you don't know everything, that you can't control everything, that you understand the limits of scare resources, and that you allow people to make their own choices. But the Fed does the exact opposite. The way it just pumps more money into the system, borrowed money, printed money, all the while ignoring the more harm this does, is that actual harm. Its not a cycle of life. Its no different than a patient with no brain activity being kept alive on a ventilator, with no hope of recovery, and yet billing $10k per day for the ICU bed for the privilege of a relative being able to visit that essentially dead person.
     
    #24     Sep 25, 2022
    themickey and stochastix like this.
  5. SunTrader

    SunTrader

    The Fed is an enabler of the excesses (left and right) of the federal government.
     
    #25     Sep 25, 2022
  6. M.W.

    M.W.

    Do you seriously believe that? Then you suffer from derangement syndrome. Did it ever occur to you that economic corrections must ALWAYS happen after the fact by definition? Or do you perhaps like to rent out your crystal ball to the Fed?

     
    #26     Sep 25, 2022
  7. piezoe

    piezoe

    And don't forget puffy faced and falling off their bicycles. :D
     
    #27     Sep 25, 2022
  8. piezoe

    piezoe

    Since they are a part of the government, I guess that would have to be true, just like the Forrest Service is "an enabler off the excesses of the government". This is just a guess on my part, but when they are not busy enabling excesses they are probably on coffee break, right?
     
    #28     Sep 25, 2022
  9. I knew studying Path Dependence on the Economy would pay off someday
     
    #29     Sep 25, 2022
  10. jason84

    jason84

    Icahn believes "the party's over" and that rates should have gone up 1.00%, not 0.75.
     
    #30     Sep 25, 2022