Het Wolfstreet Report mikt vandaag op de onmatige stimuleringspolitiek door de Amerikaanse centrale bank (de FED) van dit moment.

The Fed will trim back its stimulus, but it’s already too late, and it’ll be too little and too slow.

---

Duur: 9:46 min.

Publicatie 22 augustus

---

Volledige transcriptie van dit Wolfstreet report

It’s mind-boggling just how many layers of stimulus were thrown out there, one layer on top of the other, $5 trillion by the federal government and $4 trillion by the Federal Reserve, all of it with follow-on effect as the trillions of dollars ricochet through the economy and the financial markets. And some of it hasn’t circulated yet and is just sitting there for now, such as some of the money sent to states and municipalities that are now floating in cash and that have redone their budgets, and they’re going to spend it eventually.

There were the many billions of dollars that big companies received. The airlines alone got around $50 billion, much of it in grants. They were supposed to use this money to keep their employees on the payroll, and they couldn’t do layoffs if they wanted to keep this money. So they offered big buyout packages to their employees, and lots of employees took that money and ran. Those were counted as voluntary departures and not as layoffs, and those folks went out and spent some of this money, and it flooded into the economy, and now the airlines are struggling to hire back employees, and they have lots of open positions.

Then there were the PPP loans. They’re forgivable, if you follow the rules, and so these loans would turn into grants, and this money was supposed to be for small companies, but even large chain restaurants and other large companies with good bank connections got their hands on it, and then smaller companies got their hands on it, and then everyone got their hands on it. Politicians and their families got it, the self-employed working from home got it, foreign fraudsters got it, everyone got it.

-/-/-/-/-/-/-/-/-/-/-/-/-

Verder lezen van deze transscriptie kan – onder de link – op Wolfstreet.

---

Enjoy reading WOLF STREET and want to support it? Using ad blockers – I totally get why – but want to support the site? You can donate. I appreciate it immensely. Click on the beer and iced-tea mug to find out how:

Would you like to be notified via email when WOLF STREET publishes a new article? Sign up here.

Eerdere afleveringen van het Wolfstreet report vindt u hier.