Six years after QE started, and just about the time when we for the first time said that the primary consequence of QE would be unprecedented wealth and class inequality (in addition to fiat collapse, even if that particular bridge has not yet been crossed), even the central banks themselves - the very institutions that unleashed QE - are now admitting that the record wealth disparity in the world - surpassing that of the Great Depression and even pre-French revolution France - is caused by "monetary policy", i.e., QE.
Case in point, during the Keynote speech by Yves Mersch, ECB executive [...]
In Goldman Sachs' view, there are three very different near-term paths that economies and markets can now follow, and that imply very different outcomes for financial markets:
Through the looking glass: Scenarios for a post-crisis world
Seven years after the start of the financial crisis, economic and financial conditions remain far from normal. In the ‘Wonderland' of near-zero interest rates, many of the traditional relationships that have governed the way in which markets and cycles evolve have broken; the value of historical analysis has weakened.
There are three main paths from here, in our view: a ‘secular stagnation' scenario, a [...]
There's something we 'regular' citizens wrestle with that the elites never seem to: a sense of moral duty.
For example, following the collapse of the housing bubble, many people struggled with mortgages they could no longer afford to pay, fearing the shame of default. Many believed defaulting was wrong somehow; that it was their moral obligation to pay their mortgages, no matter how dire their personal situation. And of course, the mortgages lenders did their utmost to reinforce this perception.
In a perfect world, we would honor our debts and obligations, every one of us. [...]