Developing an understanding of how free markets work in the absence of government manipulation (regulation, tax, permitting, etc.) and economic central planning by any group of people (central banks) is critical to understand how their actions affect the economy an markets. Monetary policy is critical to central planning. Many understand that easy monetary policy leads to inflation. But few people truly understand how monetary policy results in wealth transfer. We have long-held the view that the Federal Reserve is the primary cause of the growing wealth in the US and elsewhere.
The following is an article about the Feds contribution to wealth inequality written by Thorsten Polleit, for the Mises Insitute in August 2018. Chief Economist of Degussa and macroeconomic advisor to the P&R REAL Value fund. He is Honorary Professor at the University of Bayreuth.
It is clear to us that monetary policy is not intended, not is it able to help the people in the image that goes long with this article.
