Finally the mainstream media is beginning to get the problems with the Federal Reserve.
The Fed claims it can generate a “recovery.” It cannot. The Fed’s devaluation of our currency is the very reason why the economy is a disaster.
According to the NY Times the average net worth for Middle class Americans in 2010 was 6% lower adjusted for inflation than their average net worth in 1989.
As the Times notes, these folks are “more educated and worked more hours, on average, and had children at a later age” than their 1989 counterparts. But none of these compensated for the fact that costs of living have skyrocketed between then and now.
As the articles notes, housing costs 56% more than in 1989, our of pocket healthcare expenses rose 155%, college expenses are up in the double digits.
The Fed is responsible for the Dollar devaluation that caused this. The Fed is the one that eviscerated the Middle Class. Its policies have lowered the quality of life for Americans. Period. End of story.
The fact that we’re now relying on these same folks to somehow fix the problems they created by endorsing even more aggressive versions of the very policies that created these problems is a dead end.
Sure, stocks will rise, but adjusted for inflation, Gold was a better investment since we left the Gold standard in 1968. Indeed, the only time stocks outperformed Gold from 1968 onward was during the Tech Bubble.
And the Fed wants us to pile into stocks now while it’s boosting inflation?
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