THIS IS NOT CAPITALISM

 

The Fed eases and markets soar.  The Fed tightens the markets drop.

This is not capitalism.

Printed Money being given away free by the Fed/Treasury to big banks who lend it for next to nothing to Hedge Funds who buy up everything and make prices rise to appaling levels while savers get nothing for the money they lend the bank. 

This is not capitalism.

Capitalism is where the Financial Elite on Wall Street help the most productive companies to have access to capital so they can expand and employ workers at fair wages.

That is Capitalism.

Capitalsim is where the Federal Reserve Bank stays completely out of the economy except during extreme crisis where they become Lender of Last Resort to make sure that fundementally sound banks don't implode because everyone wants their money back at the same time.

That is Capitalism.

When greedy mother f****s borrow more than they can ever hope to repay in order to take huge gambles in the risk markets and then lose, the Federal Reserve Bank stepping in to take over the debts is an abomination.

That is not Capitalism.

There is nothing wrong with Capitalism.

Unfortunately our economy has moved so far from capitalism that we have created a system where a Central Bank run by unelected beaurocrats with zero real world financial experience tries to direct the most complex man made system on earth with academic models that bear no relationship to the system they're supposed to be mapping.

That is not capitalism.  It is insanity.

And it has nothing to do with Politics.  You can look to blame the left or the right or this politician or that one.  But you'd be missing the whole point.

The point is that the system with an interventionist Central Bank is the definition of Socialism.  And it ends up bailing out a Financial Elite that no longer exists to direct money efficiently, but exists to suck money out of the system into its own pockets, because they know when massive bets fail, the Fed will bail them out.

That is not capitlism.  That is insanity.