The Fed wants you to be afraid.
The central banking system of the United States is the Federal Reserve System, aka the Fed. According to Investopedia, a central bank acts as the regulatory authority of a country’s monetary policy. It is the sole provider and printer of notes and coins in circulation.
The Fed’s current chairperson is Trump appointee, Jerome Powell
The board of governors runs the Fed. The Fed’s current chairperson is Jerome Powell, an alumnus of Princeton appointed by Trump in 2018. The vice-chair is Richard Clarida, an alumnus of Harvard, also appointed by Trump in 2018.
The Fed has the money to keep you safe, it chose not to
Because their job is to keep us scared, and that kind of money would have put your mind at ease. Why do you need to be afraid?
One of the Fed’s purposes it to keep unemployment rates low, but this is bad for a bondholder. When unemployment rates become low, labor costs start to rise, because they have to pay people more to get good employees. You have competition. Competition is only for poor people. That would be you, people who think they are middle class.
The Fed’s job is to keep you afraid
Another one of the Fed’s jobs is moderating long term interest rates. As the unemployment rate drop, interest rates begin to rise. This is bad for bondholders because their interest rates tend to be lower, though their bonds are so large they still make money if the inflation rate rises above their interest rates they lose money. Their profits get eaten with inflation. As a result, the Feds look for an optimum unemployment rate that is low enough, so you don’t have social unrest, but high enough, so the workers are frightened enough to work for low pay to have a job. They call it maximizing employment; I call it behavior modification.
It helps to maximize employment by behavior modification
Maximizing employment means some people will always have to be underemployed and unemployed. This is required to encourage particular kind of behavior and mindset for the employed —for now.
Who are usually the unemployed, underemployed, Ph.D. driving Uber, in urban areas often Black people. Having a visually different, small, marginalized demographic example of what will happen if you get out of line is sadistic genius. This is why you are thankful to have anything during a pandemic. This is why you feel that the government has no obligation to do anything, but make rich people money.
Full employment lowers profits
Our systems and institutions and embedded with selfishness.