Federal Reserve is giving your money away and it could destroy more than your wallet
Breitbart economics and finance editor John Carney offers his outlook ahead of the 2024 presidential election on 'The Bottom Line.'
Federal Reserve Chair Jerome Powell spoke May 1, trying to project an image of calm optimism. But, very much like the Wizard of Oz, the Fed doesn't want you to pay attention to the real issue behind the curtain: Fed officials are enabling profligate government spending that is driving our economic woes – including the new, weaker-than-expected jobs report and uptick in unemployment.
To put it bluntly, the Federal Reserve has lost its way. Officials don’t know why inflation has jumped back up this year or what will happen in the coming months. They left their interest rate target unchanged because of this uncertainty. While Powell mentioned «uncertainty» in his remarks, it would be more honest if Fed officials admitted that they really don’t know what’s going on.
The Fed has enabled reckless government borrowing – which has shackled us and our children with a mountain of debt that becomes more costly every year. The Federal Reserve began increasing its balance sheet after the 2008 financial crisis, meaning they increased the money supply to make borrowing cheaper and easier. This enabled the government to spend like a drunken sailor and suffer no consequences. In that time, the federal debt grew to an unbelievable $23 trillion!
FED HOLDS RATES STEADY AS INFLATION CASTS DOUBT ON FUTURE CUTS
Normally, when governments borrow insane sums of money, interest rates rise and make additional borrowing inordinately expensive. The only reason the Biden administration has been able to add over $6 trillion to the national debt is because the Federal Reserve creates so much liquidity with its
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