Federal Reserve Chairman Jerome Powell went on 60 Minutes last night to explain the recent policy moves the Fed has made in reaction to the economic downturn. I know railing on the Fed is probably getting old to some of you freaks who have been long time sufferers of this rag, but your Uncle Marty feels the need to really drive the point home. No one man, or in this case an institution made up of very few men, should have all the power that the Fed has.
In the tweet above I mentioned the fact that it really only takes five men (that's how many Fed governors vote on the policies that get enacted at any point) out of ~330,000,000 Americans to change US monetary policy, but in reality their decisions affect the ~7.8 BILLION people that populate this planet. These people should not be able to change world reserve currency with such ease. The changes have unintended consequences that alter the lives and trajectories of billions of people.
Here is an excerpt from last night's interview that really should
"Fair to say you simply flooded the system with money? [..] Where does it come from? Do you just print it?"
"We print it digitally. As a central bank we have the ability to CREATE money digitally."
Money is not something that should just be "created" on a whim. In a sane world, money would be an apolitical tool that helps solve the double coincidence of wants problem in a way that respects and values the time and energy expended by individuals. This tool would be chosen by the market in an organic way as humans engaged in trade discover the tool that does the job best.
By creating money on a whim, the Fed is disrespecting the time and energy that every individual on the planet expends during work. Devaluing the efforts of the past, stealing from the future by "creating" this money with debt to be paid back by our children, and paper maché'ing over systemic problems that exist today. Fighting the deflationary pressures of the technology the human mind has created to make us more efficient with hyper-inflationary monetary policy that keeps everyone on the hamster wheel. The interest on the debt we've accrued has risen to such a point that most of mankind can't even truly enjoy the fruits of human ingenuity. The world is beholden to debt. Debt CREATED by a few men in suits that work at the Federal Reserve.
Bitcoin is the answer. It may not seem obvious to some. It may sound insane to some. It may seem to simplistic for some. But the combination of the inability for anyone to create new bitcoins out of thin air, the fact that bitcoins can be divided very granularly, transported across the Earth with ease, and protected in one's mind is REVOLUTIONARY. The world no longer has to be subjected to poor decision making from a few men with perverse incentive. The ability to fix the money is here. You can vote for this new monetary system today.
Fix the money, fix the world.
Back to sweatshirt weather.