Why the Federal Reserve Controls So Much of the Economy | WSJ

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The Wall Street Journal

The Wall Street Journal

Күн бұрын

The Federal Reserve is central to the U.S. economy today, and it’s controlled by just 12 people. Its monetary policies can lower inflation or even spark a recession. The central bank says it’s dedicated to achieving its goals set by Congress to maximize employment and maintain price stability, but some of its decisions like raising interest rates are not always popular with Americans.
WSJ explains how the Fed became the power it is today and why it plays such a major role in the country.
0:00 Economic policies
1:02 The Fed’s creation
2:59 The FOMC’s creation
4:11 Great Inflation
6:18 Great Recession
8:07 Covid-19
News Explainers
Some days the high-speed news cycle can bring more questions than answers. WSJ’s news explainers break down the day's biggest stories into bite-size pieces to help you make sense of the news.
#Fed #Economy #WSJ

Пікірлер: 341
@Mr-sweeny
@Mr-sweeny 29 күн бұрын
Our economy is like a flailing fish, fighting for its life. The normal state of the U.S. economy is actually very bad. Because of this it goes into convulsive spasms fighting to grow any way it can out of desperation. Tricks, gimmicks, rule changes try to stimulate the economy and prevent it from falling but they only bring temporary relief to people since, when you factor in inflation we are declining.
@Nernst96
@Nernst96 29 күн бұрын
People believe their currency has the worth it does because they have no other option. Even in a hyperinflationary environment, individuals must continue to use their hyperinflationary currency since they likely have minimal access to other currencies or gold/silver coins.
@PatrickLloyd-
@PatrickLloyd- 29 күн бұрын
Inflation is gradually going to become part of us and due to that fact any money you keep in cash or in a low-interest account declines in value each year. Investing is the only way to make your money grow and unless you have an exceptionally high income, investing is the only way most people will ever have enough money to retire.
@PhilipDunk
@PhilipDunk 29 күн бұрын
I've tried investing in the stock market several times but always got discouraged by fluctuations of stock value. I would be happy if you could advise me based on how you went about yours, as I am ready to go the passive income path.!!
@PatrickLloyd-
@PatrickLloyd- 29 күн бұрын
‘Amber Dawn Brummit’ is the licensed advisor I use. Just research the name. You’d find necessary details to work with a correspondence to set up an appointment.
@PhilipDunk
@PhilipDunk 29 күн бұрын
Thank you for the lead. I searched her up, and I have sent her an email. I hope she gets back to me soon.
@WestonScally7614
@WestonScally7614 9 сағат бұрын
I am at the beginning of my "investment journey", planning to put $400K into dividend stocks so that I will be making up to 15% per year in dividends. Any advice?
@Mckennie61751
@Mckennie61751 9 сағат бұрын
Look up dividend aristocrats. Pick six to ten from that list. Those companies have a track record of 25+ years of paying dividends. Also, its advisable you work with a financial advisor to help set up a well-structured portfolio.
@louis71350
@louis71350 9 сағат бұрын
Consider diversifying your portfolio with a mix of stocks and stable assets. Seeking professional advice now could provide valuable insights and strategies to navigate market uncertainties and protect your investments.
@Emmanuel90970
@Emmanuel90970 9 сағат бұрын
Partnering with a financial advisor has transformed my approach to investing. Their expertise and personalized guidance have not only helped me navigate complex financial markets but also optimized my portfolio to achieve my long-term goals efficiently.
@AddilynTuffin
@AddilynTuffin 9 сағат бұрын
This is definitely considerable! think you could suggest any professional/advisors I can connect with? I'm in dire need of proper portfolio allocation
@Emmanuel90970
@Emmanuel90970 9 сағат бұрын
*Jennifer Leigh Hickman* has always been on the top of my list..She is regarded as a genius in her area and well knowledgeable about financial markets.
@madesquire2796
@madesquire2796 9 ай бұрын
HE DID NOT SAY "MONEY PRINTER GO BRRR" 💀😂
@jessek.5899
@jessek.5899 9 ай бұрын
😂
@jesustsa1
@jesustsa1 9 ай бұрын
He didn’t! That was actual audio of a money printer 😅
@LuisLascanoValarezo
@LuisLascanoValarezo 9 ай бұрын
Printing money for artificial inflation is basically taxing people that have cash savings
@badluck5647
@badluck5647 9 ай бұрын
It has also been a great business opportunity for businesses to earn more profit. They justify price increases by pointing to inflation while the wage increase becomes inelastic by comparison.
@robertbruhcuh3634
@robertbruhcuh3634 7 ай бұрын
@@badluck5647rich people getting rich broke people getting dug deeper
@DippedInInk
@DippedInInk 5 ай бұрын
Is it?
@programking655
@programking655 4 ай бұрын
Except that nominal interest rates adjust upwards, so no, it’s not taxing anything
@babybison2881
@babybison2881 3 ай бұрын
​@@programking655 no, he's right. It's free money for the Fed. It's not backed by anything. They artificially inflate or deflate interest rates. All in the name of making money off the average American. It's a tax no matter how you look at it.
@nicolasbenson009
@nicolasbenson009 7 ай бұрын
We Are in Unchartered Financial Waters! every day we encounter challenges that have become the new standard. Although we previously perceived it as a crisis, we now acknowledge it as the new normal and must adapt accordingly. Given the current economic difficulties that the country is experiencing in 2023, how can we enhance our earnings during this period of adjustment? I cannot let my $680,000 savings vanish after putting in so much effort to accumulate them.
@davidgarcia4576
@davidgarcia4576 3 ай бұрын
Hopefullyl youre holding some BTC
@anujmeena
@anujmeena 9 ай бұрын
I was hoping for more detailed analysis
@mmorphy4258
@mmorphy4258 2 ай бұрын
go to Edward G Griffin for that
@denovo62
@denovo62 Ай бұрын
In 9 minutes? This was a total propaganda piece. Wall Street and the Fed are two sides of the same coin and with this being a Wall Street Journal piece go figure. The presidents and Congress are beholden to the Fed not the other way around. The Fed is the real mafia and the CIA is their intelligence arm. At it's establishment in 1914 on the eve of WWI, you could say that was the official coup of the United States of America. Both world wars were their doing. And not only the oil of the middle east was their goal but esp the chemical industry of Germany that brought us into the modern petrochemical world post WWII. Plus the extinguishing of socialism in Russia and Germany that gave fire to our labor revolts in the early twentieth century. And all of this has been accomplished going forward with the establishment of the Breton Woods financial instruments like the IMF and World Bank that allowed the U.S. to convert all the colonies of Britain, France, etc into financial colonies and the takeover of their industries and raw resources thru debt ridden structural adjustment loans and CIA coups. All Wars are Banker's Wars is a short half hour doc that gives some history here. I think the other commenter above suggested another. Predator Nation is an essential book to check out, by the author/director of the best documentary out there on the subprime mortgage crisis but who also details the fifty year takeover of our economy via the financial crises that have littered every decade since Nixon took us off the gold standard and the Fed began it's rise again following the New Deal and Glass Steagall legislation during the great depression that separated wall street from banking. The savings and loan crises of the 80s, the mergers and acquisition and hostile takeover phase that followed, and all the creative, ie manipulative financial instruments that each crisis gave them more money and subsequent power to destroy the regulatory laws that kept them in check, leading to the dissolving of glass steagall end of 1990s and onward onto the subprime mortgage crisis of 2008. Frank Dodd was essentially written by them and had allowed for the rise of Black Rock and Vanguard and other private equity firms and all the qualitative easing that's ensued thus which is really about privatizing not only our economy but the rest of the world's too via all these wars which are being paid for with printed money. We don't have a real economy anymore. Wars aren't sustainable, the sickness industry isn't sustainable and most factories have been farmed out to other countries to be able to exploit their cheap labor and lax pollution laws, etc, that their ability to bring us under total control in order to bring about their next grand war will be as easy as flicking the first domino piece and it all falling into place for them. They hate riots and protests when they orchestrate these ugly wars and takeovers so they're doing everything possible to thwart every natural movement before it has a chance to turn into a real flame of an uproar.
@lakeguy65616
@lakeguy65616 9 ай бұрын
The Fed's response to a crisis is often the catalyst for a future crisis that requires Fed intervention. The process repeats ad infinitum.
@greg4367
@greg4367 9 ай бұрын
Ad infinitum, ad nauseam, never EVER learning from their mistakes.
@kaig9707
@kaig9707 9 ай бұрын
Ad infinitum… until the currency collapses.
@Acteaon
@Acteaon 9 ай бұрын
And yet we don’t reconsider something else
@teEnTYoNG
@teEnTYoNG 9 ай бұрын
​@@Acteaonlaissez-faire free banking
@_ata_3
@_ata_3 9 ай бұрын
Sure lakeguy65616
@tonicruger
@tonicruger 8 ай бұрын
Taking early notes from Warren as to the importance of sound asset diversification and risk management It can’t be overstated. I’ve been trying to grow my portfolio of $300K for sometime now, I would greatly appreciate any other suggestions.
@kurttSchuster
@kurttSchuster 8 ай бұрын
Well the bigger the risk, the bigger the reward and such impeccable decisions are better guided by professionals
@eastwood224
@eastwood224 8 ай бұрын
Yes true, I have been in touch with a financial advisor. With an initial starting reserve of $80k, my advisor chooses the entry and exit commands for my portfolio, which has grown to approximately $550k.
@Mcllwain
@Mcllwain 8 ай бұрын
I’ve been looking to switch to an advisor for a while now. Any help pointing me to who your advisor is?
@eastwood224
@eastwood224 8 ай бұрын
There are a lot of independent advisors you might look into. But i work with Nicole Desiree Simon , and she is excellent. You could proceed with her if she satisfies your discretion. I endorse her
@Mcllwain
@Mcllwain 8 ай бұрын
Thanks for sharing, I just looked her up on the web and I would say she really has an impressive background in investing. I will write her an e-mail shortly.
@sureshnishtala2887
@sureshnishtala2887 9 ай бұрын
Very well Explained about the origins of The Federal Reserve. It started with a crises and learning at each and every crises.
@Nolsie
@Nolsie 9 ай бұрын
End the Fed.
@shellylofgren
@shellylofgren 9 ай бұрын
The market and the Fed consistently underestimate the sticky nature of inflation. The markets are still unsure if the Federal Reserve will continue to its plan to raise interest rates until inflation is under control, despite the fact that bond yields are rising while stock prices are falling. What is the greatest strategy to take advantage of the current bear market while I'm still deciding whether to sell my $401k worth of stocks?
@berkrix4312
@berkrix4312 9 ай бұрын
Even though there will probably be more pain in the future, investors should look for stocks like Royal Philips NV and Alstom SA that have been sufficiently battered down to be a bargain or get a great portfolio manager.
@theresahv
@theresahv 9 ай бұрын
That's why I'm creating more income streams that I have complete control over. These will take me places that my day job never could. The earlier you start investing your money and putting it to work, the more time compound interest has to work its magic on your portfolio. This is how I'm going to achieve early retirement and it's possible for everyone. understand , know the path needed and stay committed to the craft
@jeffery_Automotive
@jeffery_Automotive 9 ай бұрын
@@theresahv How are we going to achieve all that given that the market has being a mess most of the year seems farfetched. I keep hearing that the market is pricing in a 60% probability of a 75 hike. But isn’t it also pricing in a dovish fed that’s going to pívot relatively quickly?
@theresahv
@theresahv 9 ай бұрын
My advisor Julie Anne Hoover’is highly qualified and experienced in the financial market. She has extensive knowledge of portfolio diversity and is considered an expert in the field. I recommend researching her credentials further. She has many years of experience and is a valuable resource for anyone looking to navigate the financial market.
@jeffery_Automotive
@jeffery_Automotive 9 ай бұрын
@@theresahv Thank you for this tip , I must say, Julie Anne Hoover appears to be quite knowledgeable. After coming across her online page, I thoroughly went through her resume, educational background, and qualifications, and I must say, it was quite impressive. I reached out to her, and I have booked a session with her.
@benjaminlehman3221
@benjaminlehman3221 9 ай бұрын
Part of economics is that there are recessions and troughs. If the fed never lets things fail and prices go down then inflation will continue.
@eco-nutjob
@eco-nutjob 9 ай бұрын
No, that is part of the broken system of capitalism. The Fed is just a puppet attempting to 'control' inflation and interest rates, while realistically, these things are not controllable.
@I-Know-Best
@I-Know-Best 9 ай бұрын
What are you talking about? "If the fed never lets things fail and prices go down then inflation will continue" ??? Thats called DEFLATION
@josephlynch7655
@josephlynch7655 9 ай бұрын
Deflation is bad actually
@tomlxyz
@tomlxyz 9 ай бұрын
Recessions aren't necessary, they're just the product of the current system
@weird-guy
@weird-guy 9 ай бұрын
You want deflation? Every country has a target of 2% inflation , now that inflation is coming down most prices will not come down, governments were to slow imo to increase interest and stop “the bleeding”. My country right now has inflation of 3,4%, the only prices that come down was petrol/diesel, essential products because the government changed vat from 6% to 0%,electricity I think is predicted to come down but nothing more, mortages on loans of 150K€ increased 200€,we have a housing crisis because we need immigration but there not enough houses do to the previous financial crisis, my government right now has more money than ever before but the tax burden is the highest it ever been, but people are worst off
@FenellaMarshall
@FenellaMarshall 9 ай бұрын
The points in the video I very much agree with my advisor, in meetings with him I often hear class him say these. Even he is often on the news and mentioned many times in some interviews. People can also raise these issues with him. By his name. Dan Price CFA.
@NguyenThanh-in7gf
@NguyenThanh-in7gf 9 ай бұрын
How to find him.
@FenellaMarshall
@FenellaMarshall 9 ай бұрын
@@NguyenThanh-in7gf If you need a broker recommendation, I recommend Dan Price C FA.
@FenellaMarshall
@FenellaMarshall 9 ай бұрын
@@NguyenThanh-in7gf You can find him online and I have learned a lot from him.
@07gang80
@07gang80 9 ай бұрын
I had the pleasure of meeting the advisor, Mr. Dan Price. His expertise as an investment mentor is outstanding. With his guidance, I was able to successfully achieve my investment goals. I truly appreciate his help and support! I look forward to continuing to work with him for more investment success!
@nevoobrazimiy
@nevoobrazimiy 9 ай бұрын
My God, I so love WSJ approach in these shorts!
@haythamal-dokanji9547
@haythamal-dokanji9547 8 ай бұрын
Informative and stylish presentation. Keep it up WSJ.
@Brandon-xp1ob
@Brandon-xp1ob 5 ай бұрын
It's not informative, it's propaganda
@luisespinoza2929
@luisespinoza2929 9 ай бұрын
The moment she broke script just to make the brrr sound killed me 😂
@weirdshibainu
@weirdshibainu 9 ай бұрын
"The Fed is just this poorly understood and really important institution in our country"....and the Fed likes it like that.
@Howaboutyoublow
@Howaboutyoublow 9 ай бұрын
“Business and politicians got together and decided that relying on wealthy people to do the right thing was not the best option… so we created the fed” translates to “Bankers realized it was too expensive to pay for their mistakes, so they came up with a way to steal your money indirectly instead”
@19MAD95
@19MAD95 9 ай бұрын
The perfect comment
@bolasblancas420
@bolasblancas420 8 ай бұрын
Laisser-faire no more.
@rhymerez
@rhymerez 7 ай бұрын
got together should be replaced with took a train in secret to jekyll island to craft it, then passed the legislation also in secret when most people were enjoying christmas and new years.
@libyann9385
@libyann9385 6 ай бұрын
Yes
@DippedInInk
@DippedInInk 5 ай бұрын
U actually believe that?
@marisahokefazi2949
@marisahokefazi2949 9 ай бұрын
In the 1980s and 1990s one could subscribe to newsletters from each fed bank and would be sent these wonderful informative financially Educated news letters. Then for some reason they decided to stop. That was a terrible idea because it really hurt financial literacy. The fetch of start making those news letters available again.
@riddell26
@riddell26 6 ай бұрын
You literaly paid for propaganda, and got upset that they stopped sending propaganda
@vincentstewart1843
@vincentstewart1843 2 ай бұрын
Should I give up on Trade? What should I do? How may I do better? What I'm I doing incorrectly?
@vincentstewart1843
@vincentstewart1843 2 ай бұрын
here is my problem I have been making losses trying to make trade. I thought to trade demo is just like the real..can anyone help me out or at least tell me on what to do.
@maureen...
@maureen... 2 ай бұрын
I always advice new members to have an orientation on how it works before getting involved. Trade offers more benefits than just holding.
@maureen...
@maureen... 2 ай бұрын
Kate Floretta Face book
@Mayor1248
@Mayor1248 2 ай бұрын
having a mentor is also very important when it comes to Trade, with out that, it can be very frustrating.
@Mayor1248
@Mayor1248 2 ай бұрын
you must have these things in mind 1. Have a long term mindset. 2. Be willing to take *risk*. 3. Be careful, if you're not spending to earn back, then stop spending. 4. Never claim to know - Ask questions and it's best you work with an assistant.
@chrish3305
@chrish3305 21 күн бұрын
Great overview, thanks
@teashea1
@teashea1 9 ай бұрын
very well done. effective to minimize the number of experts instead of having many. excellent.
@rustyschackleford5800
@rustyschackleford5800 9 ай бұрын
The FED doesn't control all interest rates. They can affect short term rates and manipulate the bond market, but they don't simply "raise rates." The capital markets are bigger than the FED.
@cbatchler
@cbatchler 9 ай бұрын
I get what you are saying but 90% of HELOC, commercial lines, and loans are tied to the prime rate which is fed funds +3, so when the fed changes that rate all those loans follow. That's a huge influence and everything else would be priced and correlated to that. Good old supply and demand.
@Adam_The_Archivist
@Adam_The_Archivist 9 ай бұрын
@@cbatchlerno actually most mortgages, corporate debt and to a lesser extent home mortgages are tied to the 10 yr Treasury rate. You are correct on the +3%. If you look at the current 10 year and add 3% you are at the national average of roughly 7% give or take..
@cbatchler
@cbatchler 9 ай бұрын
@@Adam_The_Archivist Not really, what you are saying is the correlation or spread of two different loan products. If that were true then why do I have a 3.25% mortgage in Oct of 2016 when the 10-year was at 1.7%? That would suggest my mortgage should be 4.7% and not 3.25%, Right? Think of it this way, on a highway the speed limit is 55 MPH but most cars are going 60, some going 65-70 and some 75 MPH. Those cars are willing to take the risk of going faster just as investors are willing to pay different rates for different products and as speed limits change so does their speed. So the loans aren't tied to the 10-year Treasury, that is just a frame of reference to compare other loan rates too. I have a commercial line of credit with Key Bank and it says the rate is 6 points plus the prime rate, it doesn't say anything about the 10-year US Treasury in its pricing model, nor have I ever seen a loan price itself to the 10 year. Hence the Fed sets the line and every one prices and moves around that line and then supply and demand sets in just like a speed limit.
@ISpitHotFiyaa
@ISpitHotFiyaa 9 ай бұрын
Historically that's true. But at this point their balance sheet is so huge that they pretty much do control the bond market. If they unloaded all their mortgage backed securities at once then long term rates would spike. Or they could drop rates to 2% by printing money and buying mortgage backed securities like they did in 2020. They don't operate according to the economics textbooks anymore. Things changed in 2008.
@tomlxyz
@tomlxyz 9 ай бұрын
They can affect much more if they wanted
@victorco.6308
@victorco.6308 9 ай бұрын
responsible and necessary decisions are not always popular
@microsoftpain
@microsoftpain 9 ай бұрын
END THE FED!
@Danny-fs1hk
@Danny-fs1hk 8 ай бұрын
This was an excellent segment. They explained the Fed in simple terms.
@prairiepatriot2162
@prairiepatriot2162 9 ай бұрын
At some point, you have to take the training wheels off and let bad economic (fiscal) policy run its course; if people had to suffer the consequences of bad election decisions, they might vote smarter. Eventually if you keep inflating a balloon (money supply) it will pop. Deficits and debt cannot be increased indefinitely without consequence. Which is more painful, recessions or a currency collapse; anyone who's lived under socialism can tell you that it is the latter.
@microsoftpain
@microsoftpain 9 ай бұрын
finally, someone with a brain. 💀
@Pyrrhic.
@Pyrrhic. 9 ай бұрын
Fun fact, when surplus trading nations like China, Saudi Arabia, and Japan invest their USD reserves in treasuries instead of converting it to their own currency, that pushes down long term or shorter interest rates, depending what maturity they buy. Feds can’t control that.
@tomlxyz
@tomlxyz 9 ай бұрын
Yes, that's mainly what keeps the US afloat. Import wares, export investments and USD debt
@Pyrrhic.
@Pyrrhic. 9 ай бұрын
@@tomlxyz it’s also to keep their own currency devalued, making their exports more attractive. Also US financial markets is arguable the best in the world to invest their profits.
@damnguen1726
@damnguen1726 8 ай бұрын
@@Pyrrhic.maybe their currencies are so devaluated that even they dont want to hold them :v
@pinkietoes
@pinkietoes 7 ай бұрын
Your claim makes no sense since Tbills are short-term government debt instruments without any interest rate, but instead purchased at a discount.
@riddell26
@riddell26 6 ай бұрын
The Feds dont even control the Federal Reserve
@mariavictoriacaringal6795
@mariavictoriacaringal6795 2 ай бұрын
How can I exchange my Federal Reserve Notes 1934-A 1000$ ? Where do I go to have it exhanged for the current rate? Thank you.
@eddieloujones2673
@eddieloujones2673 6 ай бұрын
Printing money is like reverse Robin Hood. Steal from the poor to give to the rich.
@markhirstwood4190
@markhirstwood4190 9 ай бұрын
Timiraos says 'imporduhn' (important).
@mckcpaul1
@mckcpaul1 7 ай бұрын
This video shows you that the FED after 113 years from its inception still has barely a clue of what it is actually doing, still throwing things and solutions against the wall to see if they stick, how much longer are people going to put up with dangerous cartel!
@Brandon-xp1ob
@Brandon-xp1ob 5 ай бұрын
On point. Only buerocrats can do a job so terribly for decades and still exist. I hear the central banks in Argentina and Lebanon are doing well though😂🤦
@_ata_3
@_ata_3 9 ай бұрын
How are politics and economic policies different?
@JamesFarming
@JamesFarming 8 ай бұрын
Why did the WSJ stop making videos?
@andis9076
@andis9076 9 ай бұрын
Not just US, it's the WHOLE WORLD !
@omercakmak3099
@omercakmak3099 8 ай бұрын
what is the model of the car in 6:22 ?
@DevonLadd
@DevonLadd 13 күн бұрын
Very nice
@davisoaresalves5179
@davisoaresalves5179 9 ай бұрын
The most powerful institution in the world.
@f.anvary7783
@f.anvary7783 9 ай бұрын
I can explain it in 9 seconds! Bunch of criminals who never get caught!!
@Based_Sir887
@Based_Sir887 8 ай бұрын
End the fed.
@cbbcbb6803
@cbbcbb6803 9 ай бұрын
It seems to me that the Federal Reserve actually makes (prints) money. Regular people get money by, hopefully, "earning" it. Keep in mind that economy and the financial are not the same thing as the people. The economy can be great and, at the same time, people may not be doing well at all.
@ClassicNed
@ClassicNed 8 ай бұрын
But here’s the problem! The central bank’s in Europe, have played a dominant role on members who chair the Federal Reserve.
@LhotseMS
@LhotseMS 3 ай бұрын
I love how they just glance over “but bank don’t keep that much money” - maybe the fractional reserve system is the issue?
@pwp8737
@pwp8737 9 ай бұрын
Hmm...so oligarchs decided to socialize the risks of banking and privatize the profits. Aint capitalism grand?
@zayseeu8337
@zayseeu8337 8 ай бұрын
how can i work there
@alberthoffman5297
@alberthoffman5297 5 ай бұрын
I think this comment section needs to attend a mandatory economics class
@infocrypt
@infocrypt 7 ай бұрын
Cancel federal reserve. The only way to stop money printing.
@lakeguy65616
@lakeguy65616 9 ай бұрын
The problem is since 1977, the Fed is tasked with a dual mandate; full employment & price stability. Full employment creates inflation and low inflation requires some level of unemployment. Return the Fed to a single task of price stability. I'd go one step further, Iimit the Fed's ability to grow the money supply to growth in GDP. The Fed's policies created today's inflation.
@greg4367
@greg4367 9 ай бұрын
That isn't the problem, it's the cover story.
@gund89123
@gund89123 9 ай бұрын
US has not seen high inflation in decades. Inflation we see today is most because of COVID disruptions, federal government spending on PPP loans & writing checks to people during COVID, & supply chain disruptions.
@lakeguy65616
@lakeguy65616 9 ай бұрын
@@gund89123 Inflation is a monetary phenomenon where too much money is chasing too few goods and services. And its almost always a consequence of government action.
@teEnTYoNG
@teEnTYoNG 9 ай бұрын
Even better would be to get the government out of the system. Under free banking in the us we had near zero inflation and laissez-faire banking is much more stable. Central planning is terrible as the fed has shown.
@lakeguy65616
@lakeguy65616 9 ай бұрын
@@teEnTYoNG either you didn't watch or didn't understand the video
@Hokua888
@Hokua888 9 ай бұрын
Yea.
@claudiobv01
@claudiobv01 8 ай бұрын
Why the fed controls so much the economy?? 😂😂 that’s a good one!
@boitumelosekgothe
@boitumelosekgothe 9 ай бұрын
@Wendoverproductions I think you can do a better job producing a video on this topic of central banks.
@AK36677
@AK36677 8 ай бұрын
END THE FED!!!!
@sunalwaysshinesonTVs
@sunalwaysshinesonTVs 9 ай бұрын
Wait? What's there to explain? Regan told me running the American economy is like running a household budget -easy peesy.
@loukramer152
@loukramer152 9 ай бұрын
The fed may have taken the punch bowl away, but the WSJ reporting drank the Koolaid anyway!
@vinesthemonkey
@vinesthemonkey Ай бұрын
the issue at the start was FRACTIONAL RESERVE BANKING
@chaiszcash4206
@chaiszcash4206 2 ай бұрын
This video was BOMB 💣 boom lol
@masterstacks2030
@masterstacks2030 9 ай бұрын
END THE FED
@jakemcgrath9708
@jakemcgrath9708 9 ай бұрын
“Tell him that we’re gonna lock him up in the federal reserve!”
@usasylee3919
@usasylee3919 9 ай бұрын
Bernanke planted a time bomb. You can't stop it :(
@Pyrrhic.
@Pyrrhic. 9 ай бұрын
It started with Greenspan to be honest
@raybod1775
@raybod1775 8 ай бұрын
Nobody created as much money as the current Fed.
@BUBBLETEABOY
@BUBBLETEABOY 9 ай бұрын
Money Machine goes brrrr
@fieldboy7507
@fieldboy7507 7 күн бұрын
THE CRAZZY PART IS THAT WE ARE LIVING IN THE HYPER INFLATION N ITS ONLY GONNA GET MORE WORSE FROM NOW ON
@michaelyoon9355
@michaelyoon9355 5 ай бұрын
Printing money recklessly without having an answer for declining real income growth for the vast majority of people is irresponsible.
@AnthonyJohnson-gr3xj
@AnthonyJohnson-gr3xj 9 ай бұрын
Shout out STL
@clandestine2162
@clandestine2162 8 ай бұрын
Fed reserve controls dollars,.thats why other currencies connot take on dollar,and it is widely use.even countries with huge economy struggles to create a new banking system that wil surpass the old payment system
@michaelglendinning1738
@michaelglendinning1738 7 ай бұрын
Money that is real can be not real, and money that is not real can be real. That pisses me off!!!!!!!
@1ovejuju
@1ovejuju 9 ай бұрын
Someone about to make that "Money go brrr" into a tiktok sound
@hans6304
@hans6304 9 ай бұрын
Very rich institution.
@nonyabuiz2023
@nonyabuiz2023 2 ай бұрын
Why is Interest paid on fiat currency?
@masterstacks2030
@masterstacks2030 9 ай бұрын
The 70s inflation was from the depeg from gold
@Lazaven
@Lazaven 2 ай бұрын
So we’re not gonna talk about Jeckle island?
@vaughnbay
@vaughnbay 9 ай бұрын
There are massive winners and massive losers for every FED action. Interesting how the FED never talks about the losers. What a biased video.
@nathanaeltekalign2508
@nathanaeltekalign2508 3 ай бұрын
The Federal Reserve confuses monetary inflation with non-monetary inflation. Monetary inflation is caused by an increase in the money supply. The inflation of the 1970s was monetary inflation because the Nixon Shock happened during 1971. The inflation that happened during 2022. Non-monetary inflation was caused by supply chain issues that would have gone away even if interest rates were never raised in the first place. Therefore, interest rate increases were inappropriate during 2022, even if they appropriate during 1978. Also, the Federal Reserve should focus on the rate that the money supply increase rather than the inflation rate.
@abgzulkifli
@abgzulkifli 9 ай бұрын
You didn't say who help Federal Reserve dns
@aroundandround
@aroundandround 7 ай бұрын
The job of FOMC is fun; no one has any real idea what the economy will do in response to their actions but they keep winging it.
@davidwalsh9807
@davidwalsh9807 9 ай бұрын
FEDNOW ramping up
@ranickhaan
@ranickhaan Ай бұрын
This only confirms government is never the answer.
@69pepe420
@69pepe420 9 ай бұрын
BITCOIN
@TonyFarley-gi2cv
@TonyFarley-gi2cv 7 ай бұрын
So federal I see out there there's some young children that have graduated high school and college but as a young child they're still not allowed to work and most of these colleges well I'm not sure most of them but some of them are book type now as a young child work experience comes in mind so do you think it'd be a cool idea to send some of them to like MIT or some of these engineer bill structures and because they're younger and child means our stuff can't be gone through you can theoretical stuff and put it in with some of them to learn into that or seeing what they bring to the table by other ones that want to participate with them as a kid
@ryan_dasan
@ryan_dasan 2 күн бұрын
Hey there! I've been pondering about something, and I was hoping you could help me out. So, as you know, we have a mixed system government with a federal reserve. But here's what's been on my mind - doesn't that make us partially communist? I've asked some people about this, and they've mentioned something about the central bank being Marxist. I'm not entirely sure what that means. Can you shed some light on this for me?
@remsee1608
@remsee1608 9 ай бұрын
Its a way for them to steal your money
@raybod1775
@raybod1775 8 ай бұрын
The Constitution says only Congress can coin money. The Federal Reserve should have been created under the Department of Treasury.
@fanniinnanetguy653
@fanniinnanetguy653 8 ай бұрын
It's actually the department of treasury that coins the money
@riddell26
@riddell26 6 ай бұрын
​@@fanniinnanetguy653The Treasurey has nothing more to do with it outside of filling out loan requests to the Federal Reserve which is a private bank that operates outside of rhe government for profit. That profit is the interest on every single dollar that has every entered circulation physicaly or within digital accounts.
@jwong478.
@jwong478. 9 ай бұрын
That fiat money system😅
@zacharyparis
@zacharyparis 9 ай бұрын
It’s built to fail. A debt based system is not sustainable.
@vinsage8979
@vinsage8979 7 ай бұрын
the fed reserve has no reserves
@oas8766
@oas8766 8 ай бұрын
"prrr in 2020" lol they print 10 billion a month!!!! in 2020 they printed 5 TRILLION in a few months!!!
@PatNeedhamUSA
@PatNeedhamUSA 9 ай бұрын
END THE FED /s
@sunalwaysshinesonTVs
@sunalwaysshinesonTVs 9 ай бұрын
The Fed: socialism for the rich, rugged individualism for the rest of us.
@hamzamahmood9565
@hamzamahmood9565 9 ай бұрын
So Republicans?
@THYCR3AT0R
@THYCR3AT0R 7 ай бұрын
So in gen-z terms the USD is the exact same as crypto and the bubble is being torn apart be cause of greedy rug pullers, got it.
@caesarhuang7662
@caesarhuang7662 9 ай бұрын
Aka the largest bank cartel
@alaaa1794
@alaaa1794 9 ай бұрын
This helps the global economy
@harshdeepsandhu6958
@harshdeepsandhu6958 9 ай бұрын
Not a good video, doesn't really answer exactly how the federal manages the money supply. Needed more details
@lilsabin
@lilsabin 9 ай бұрын
Loool , funny part s that more than half of the people who ll watch this will still NOT UNDERSTAND
@Adam_The_Archivist
@Adam_The_Archivist 9 ай бұрын
To say that the Fed is not accountable to voters is incorrect, they are accountable by the people we elect appointing them to do what is right for the overall economy without the interference of politics. We hold our elected officials for the decisions they make, to allow experts in economics and finance do the job! Politicians are people who, I’ll be generous here since I do not want to offend anyone, not experts in anything other than fundraising and popularity contests. It is nice to see though people with humility say “Hey I don’t know really about this, let us use our responsibility as elected officials to get the right people in place to do the best job!” I know that this is a novel idea today but hey!! 🤷‍♂️
@skycaptain95
@skycaptain95 7 ай бұрын
Actually it's a private bank
@Adam_The_Archivist
@Adam_The_Archivist 7 ай бұрын
@@skycaptain95 The answer is both. While the Board of Governors is an independent government agency, the Federal Reserve Banks are set up like private corporations. Member banks hold stock in the Federal Reserve Banks and earn dividends. So the Public part are the governors appointed by congress whom are elected officials! Simple google search informs all!!👍
@cfllfc9278
@cfllfc9278 9 ай бұрын
Speaking of the feds.... How did we go from throwing tea in the harbor to armed IRS agents ?
@kqiesaw.9385
@kqiesaw.9385 9 ай бұрын
BACK THE BLUE. Let the IRS do their jobs. I have nothing to hide. Nothing to fear. Are you guilty?
@KingPhoey
@KingPhoey 9 ай бұрын
Taxation without representation is different than taxation with representation.
@greg4367
@greg4367 9 ай бұрын
@@KingPhoey I, for one, do not feel particulary represented by any part of out government. Do you?
@cookiesmack6442
@cookiesmack6442 9 ай бұрын
@@greg4367yes because you can vote
@gund89123
@gund89123 9 ай бұрын
Who’s going to pay for military? Who’s going to invest in infrastructure? Who’s going to bail out states with low revenue? Most states would file for bankruptcy if they don’t receive federal funds.
@ashfaqueali555
@ashfaqueali555 2 ай бұрын
The Party has Just warming up
@yomajo
@yomajo 9 ай бұрын
Jakkyl island or a lie. And i hear nothing about the island...
@franco521
@franco521 9 ай бұрын
The Fed monetizes the debt of the US government by issuing Federal Reserve Notes. Why not cut out the middle man (the Fed) and save hundreds of billions of dollars in operational expenses and let the US Treasury issue *United States Notes* just like it did from the early days of the civil war till the 1960s?
@prairiepatriot2162
@prairiepatriot2162 9 ай бұрын
I agree, but they won't do that because in the current state of affairs Treasuries would plummet and interest rates would be much higher. If the Fed weren't there to buy these bonds then the federal govt., and states would actually have to practice fiscal discipline; nobody wants that.
@SineEyed
@SineEyed 9 ай бұрын
Because the US gov went bankrupt to the collective entity we now call the Fed back in 1912. Then US gov entered into an agreement with the Fed which remains in effect to this day. Even if the debt was paid in full - which I'm not sure will ever be possible - US gov will be right back where it was in 1933: having zero capitol by which to conduct its affairs. At which point I'm sure the Fed would be more than happy to renew the contract with US gov to begin renting Federal Reserve Notes into circulation once more..
@raybod1775
@raybod1775 8 ай бұрын
Doesn’t matter in reality. Any profits from the Fed get turned over to the Treasury so in reality the federal government borrows money from the Fed for free. Fed also does what it’s told otherwise Congress would write a new law to end the Fed.
@infini.tesimo
@infini.tesimo 9 ай бұрын
I love how you conveniently did NOT talk about the most important year where so many things happened that changed how things are done forever in 1933. A big one is HJR-192 and how that is still in effect. You guys have an agenda by not saying that out loud because when figure out that there is no money out here and they are the original creditors, the whole fragile system as is falls apart.
@MikaJarvi86
@MikaJarvi86 5 ай бұрын
When he says we did it. He does not mean we central bankers. He means we jews.
@benjaminlehman3221
@benjaminlehman3221 9 ай бұрын
The Fed should have NEVER printed that money like they did. No stimulus checks. 20% of all money in circulation in 2020 was printed that year. There is too much money in system
@louistran016
@louistran016 9 ай бұрын
hindsight is always 20%, how do you react to 30% drop in economic downturn, 50% drop in international trade and travel, and people die left and right in just a few months?
@gund89123
@gund89123 9 ай бұрын
Government shouldn’t have spent so much on PPP loans & writing checks to people during COVID.
@benjaminlehman3221
@benjaminlehman3221 9 ай бұрын
@@gund89123 correct I agree
@benjaminlehman3221
@benjaminlehman3221 9 ай бұрын
@@louistran016 you mean hindsight is 20/20? Well anywho I would have not shut down the economy AT ALL. Only added masks and distancing, encourage remote work, and work hard to make a vaccine.
@benjaminlehman3221
@benjaminlehman3221 9 ай бұрын
@@louistran016 if we didn’t shut down the economy and never printed money we didn’t have the economy wouldn’t be in the shape it is now. But yes. Hindsight is 20/20. No one knew the best idea
@malachiashley528
@malachiashley528 9 ай бұрын
BRRRRRRRR
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