When the Federal Reserve lowers interest rates and implements quantitative easing, their goal is to increase the money supply, spur inflation, and increase demand. In turn, asset prices rise as a deluge of new capital is suddenly bestowed upon markets.
"The problem is, 49% of people in this country don't own any assets," he said."So they don't own the assets that are being inflated by this mythical devaluation of our currency."This ultimately creates a real problem for the poor and middle class. Unlike the rich, these lower socioeconomic cohorts don't have the discretionary income necessary to invest in markets. They are then, in turn, unable to benefit from these operations.
I see what you did there... the middle class... “The Middle.” 😎
Abbiamo riassunto questa notizia in modo che tu possa leggerla velocemente. Se sei interessato alla notizia puoi leggere il testo completo qui. Leggi di più: