Sheila Bair, the former head of the Federal Deposit Insurance Corporation has come up with a way out of all our woes.
Are you concerned about growing income inequality in America? Are you resentful of all that wealth concentrated in the 1 percent? I’ve got the perfect solution, a modest proposal that involves just a small adjustment in the Federal Reserve’s easy monetary policy. Best of all, it will mean that none of us have to work for a living anymore.
For several years now, the Fed has been making money available to the financial sector at near-zero interest rates. Big banks and hedge funds, among others, have taken this cheap money and invested it in securities with high yields. This type of profit-making, called the “carry trade,” has been enormously profitable for them.
So why not let everyone participate?
Under my plan, each American household could borrow $10 million from the Fed at zero interest ...
I like Sheila's plan.
See, for a long time, I was resentful that only big banks, Goldman Sachs, and a few hedge fund managers could get free money. It just didn't seem ... I donno ... fair*.
But with this new plan, all my resentment washes away. I'll get my $10 million loan, put it in a conservative mix of stocks and bonds, and retire from the union repping business. (There won't be labor unions much longer under Sheila's plan, anyway. Just like the Wall Streeters, all of us wage slaves will have our very own supply of cash, and no need to worry about icky things like salary minimums and health coverage any more. I'll be a little sad, but I'll get over it.)
I'll be circulating a petition soon to bring Sheila's brain-wave to reality. Be sure and sign when I circulate it.
* As many of you know, I don't believe in fair. But for purposes of this post, I believe. I BELIEVE!