How is Federal Reserve Chairman Ben Bernanke helping your bank account? It’s not pretty, I know. Here we have a guy who is from the Ivy halls of academia controlling the value of the dollars you earned busting your butt in the private sector. The money you saved rather than spent on lavish vacations or new cars is rotting away thanks to him. Just look at how gold prices have moved up. Gold is priced in dollars per ounce, so when it goes up there is a relative devaluation of the dollar. In other words, it’s inflationary.
You know darn well your dollar is worth less and less. You fill up your car with gas and buy food to survive. They’re not getting cheaper. It would be nice if you got some quantitative easing at the register, but you don’t. Quantitative easing is helping Wall Street.
Look at my chart on the velocity of money. It’s at a more than five-decade low. At some point it will pick up. And when it does, inflation could spike. You can thank a complicit Federal Reserve for that. They should be protecting the value of your dollar to reward you for years of sacrifice. Instead, you’re the sacrificial lamb.
Latest posts by E.J. Smith (see all)
- Beat the IRS: Roth IRAs for Your Kids and Grandkids - July 17, 2019
- The FIRE Movement by the Numbers - July 16, 2019
- Captain’s Log from Your Survival Guy’s Fourth of July Weekend - July 15, 2019