“Some People Are Prone To Suffer More”: A Tone-Deaf Jerome Powell Implodes Explaining Inflation
Submitted by QTR’s Fringe Finance
Earlier today, I published an article called “Inflation Is The Kryptonite That Will End Our Decades-Long Monetary Policy Ponzi Scheme”.
In the article, I argued that time has run out for the Fed, who is now stuck between a rock and hard place with inflation spiraling out of control and the stock market crashing. I made the point that the once willfully ignorant commonfolk were starting to wake up – and that we’d now be holding the Fed’s feet to the fire in a way we never have before in American history.
I wrote that “today, the fabric of our modern banking world is held together by a logical fallacy of a system, wherein central banks are afforded the asinine luxury of being able to print infinite amounts of ‘money’, which is then disproportionately distributed toward the ruling class, billionaires, and elites, instead of the people who need it the most.”
I backed up my argument by showing this chart, which clearly shows a widening income gap between the “haves” and the “have nots” that has gotten larger, consistently, since the late 1970’s.
I also wrote an article weeks ago called “Soaring Inflation Is Brutalizing The Lower And Middle Class” which I supplemented with a podcast explaining “why it’s important for people to wake up to the negative consequences of inflation right now, before it becomes too late.”
And, lo and behold, just hours after I published this morning’s article, Jerome Powell exemplified the arrogance and ignorance that I, and many others, have been taking exception with for years.
During the middle of Jerome Powell’s press conference today, which supplemented the release of a Fed statement at about 2:00PM EST, Rachel Siegel from the Washington Post asked the following excellent question:
“I’m wondering if you can talk to us about any metrics the Fed uses to assess how inflation affects different groups of Americans, especially lower income earners, and are you worried that the Fed underestimates or can’t effectively measure the effect of inflation on some of the most vulnerable households.”
Powell stumbled his way through the beginning of an answer:
“It’s more a matter of uh…I think the problem we’re talking about here is really that people who are living on fixed incomes, who are living paycheck to paycheck. They’re spending most or all of their…of…of…what they’re earning on food, gasoline, rent, heating their…heating, things like that. Basic necessities. So, inflation, right away…right away…forces people like that to make very difficult decisions. That’s really the point.”
So far, so good, Jerome. Sounds like a massive fucking problem for a good portion of the country, right? But then, there was this:
“I’m not aware of um, you know, inflation literally falling more on different socioeconomic groups. That’s not the point. The point is some people are just really prone to suffer more.”
But if you’re not aware of it “falling more” on different socioeconomic groups, what’s to be said for the lower class who are “really prone to suffer more?”
Today’s blog post has been published without a paywall because I believe the content to be far too important. However, if you have the means and would like to support my work by subscribing, I’d be happy to offer you 22% off for 2022:
Powell continued the final toss of his word salad before moving onto the next question:
“For people who are economically well off, inflation isn’t good, it’s bad…high inflation is bad. But they’re going to be able to continue to eat, and keep their homes and drive their cars and things like that…its…so that’s really how I think of it.”
If it’s bad for the top earners, Jerome, why does the wealth gap continue to widen?
Powell’s answer was dripping with equal parts nervousness (as I truly believe, after watching him squirm today, he knows there is no way out for the Fed) and elitism and arrogance.
I wrote at the end of this morning’s article:
And here’s a message to the bankers, elites and central planners to read carefully: we are all already on notice. We now know how the rigged game works and we plan on placing under a microscope every decision that is made from this point going forward.
We will not relinquish further civil rights and we believe that, through decades of living through this planned system that has usurped us of power and liberties unknowingly and unwillingly already, we have earned the right to criticize any and all proposed solutions that don’t act in the interest of freedom and liberty. We will do this peacefully, as I am doing today, by exercising our first amendment rights and doing our part to educate and inform those around us of what has clearly come into focus to those of us with our eyes wide open.
But hey – why worry about the country’s lower income earners, right Jerome?
You can watch Powell fumble his way through the answer here:
Thu, 01/27/2022 – 12:40