• @MasimatutuOP
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    9
    edit-2
    8 months ago

    TL;DR: only very few; 96% of people’s share of wealth decreases.

  • davel [he/him]
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    fedilink
    English
    68 months ago

    Very Serious People complain that the money printer go brrr money is going to create inflation. And it actually has created inflation, specifically: asset price inflation, and even more specifically: price inflation of the assets owned by those same Very Serious People.

    Michael Hudson & Radhika Desai: Inflation’s Drivers

    What has really been inflated, since 2008, has not been consumer prices, but asset prices — [that is,] real estate prices, stocks and bond prices, things that the 1% hold. Wealth has been inflated much more than goods and services. [This is especially true] for real estate.

    This debt has been inflated not by government debt, not by government deficits, but by the Federal Reserve creating a $9 trillion subsidy to the banks to support real estate prices, and hence the value of bank-held mortgages and stock and bond prices.