![The (((stock market))) is an incredible thing [640x763 - 53KB]](https://pic8.co/sh/TpO5KH.jpg){kind=link}
Uhhhh. Yet another example of correlation != causation; and the causation is known and the author (and subby) are being willfully ignorant..
Poor economic conditions shove the stock market down and also reduce companies' income resulting in layoffs. That's the big news right now and everyone's being misdirected as to the cause.
Meanwhile Elon Musk is busy badmouthing the Federal Reserve for raising rates. Arguments about the existence of the Fed aside, the Fed is doing what they're supposed to in raising rates, absorbing excess cash from the economy. The source of that excess cash is fairly obvious. Further, if the Fed doesn't raise rates it will result in more cash being dumped by the Fed, because that's how the Fed keeps rates low. Sucks for the price of $TSLA but fuck 'em and fuck Musk.
Interest rates should be set by free trade, not by a conglomerate of the country's biggest banks.
I agree; but unless you're going all out on getting rid of the Fed, just saying "they shouldn't raise rates" is just buying into their game.
Interest rates should naturally find themselves higher than inflation. Why? Because it should cost money to borrow money. If it doesn't you have every incentive to 'grow' wealth by playing financial games instead of by innovating and producing. When you have an economy built on tricks it's going to be bubble after bubble. If your economy is built on innovation and production it's unstoppable.
(post is archived)