needle in search of a bubble

derryb

Growing wealth inequality may be a needle in search of a bubble.

"If the prices of food, shelter, and other necessities continue to surge higher without equivalent wage growth, wealth inequality will worsen. This problem represents a coming dilemma for the Fed. When the media and politicians take notice, they will pressure the Fed on their inflation stance. If the Fed is persuaded or even forced to act, bubbles driven by the latest round of excessive liquidity, are likely to deflate."

The FED is going to raise rates and asset markets will negatively respon.

Got gold?

DrBuster

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derryb

@DrBuster said:
The fix has been smaller portions for same dollars. That's not changing and is pushed. Get used to it.

Smaller portions at the same price for low income families only results in less food in the belly. It is not a fix, it is a "hidden" price inflation that increases FED policy fueled income inequality. The numbers in the OP link paint the picture for those that seek the truth.

DrBuster

Nobody said it was a fix proper, should have "fixed" it.

blitzdude

Yawn, wake me up when something gets ready to implode. Gutter can't even hold $28. LuLz!

Baley

It doesn't take much of a needle to pop a mania bubble.. sometimes the mob simply moves on, and folks gets trampled at the exits

DNADave

@DrBuster said:
Nobody said it was a fix proper, should have "fixed" it.

Got this from the bank today...

cohodk

Smells like opportunity.

Im just hoping this translates into asset deflation and not further social degradation, cuz some of y'all out there are nuts.

MsMorrisine

I read some report compiled by someone in the FED a few years after the housing crash.

The wealth gap widened in the wake of that crash.

The Fed is aware and I’m surprised the author of that quote is not aware that the politicians are already aware.

The whole “rich get richer, and the poor get poorer” things has been around and happening since I was a kid from a few years ago.

carew4me

fat, medicated and woke. This country deserves the pain that is coming.

OPA

@MsMorrisine said:
I read some report compiled by someone in the FED a few years after the housing crash.

The wealth gap widened in the wake of that crash.

The Fed is aware and I’m surprised the author of that quote is not aware that the politicians are already aware.

The whole “rich get richer, and the poor get poorer” things has been around and happening since I was a kid from a few years ago.

I think, it's been around since the "dawn of mankind," it's in our DNA

derryb

problem with income inequality is that as both the top 10% get richer and the bottom 50% get poorer, those in between seldom rise to the top 10%. They (most of us here) unfortunately get delegated to the bottom 50%. As the standard of living declines for the lower 50%, so does it for those in the middle.

This is why those not in the bottom 50% need to realize a growing income inequality is a threat to their own quality of life.

Meltdown

A quote this morning from the NY Times...
"The 25 richest Americans paid little to no federal income taxes for years, according to I.R.S. filings obtained by ProPublica."

cohodk

@derryb said:

This is why those not in the bottom 50% need to realize a growing income inequality is a threat to their own quality of life.

Agreed. Now how to fix?

blitzdude

@cohodk said:

@derryb said:

This is why those not in the bottom 50% need to realize a growing income inequality is a threat to their own quality of life.

Agreed. Now how to fix?

Implode the comex by hoarding a bunch of shiny trinkets in my bunker? Take that you banksters. lol sorry couldn't resist

drei3ree

@cohodk said:

@derryb said:

This is why those not in the bottom 50% need to realize a growing income inequality is a threat to their own quality of life.

Agreed. Now how to fix?

Fiscal Responsibility might be a good start...

Baley

@cohodk said:

@derryb said:

This is why those not in the bottom 50% need to realize a growing income inequality is a threat to their own quality of life.

Agreed. Now how to fix?

More Platitudes and Tautologies ought to do the trick. 😉