Federal Reserve: Kings of Casino Capitalism

Every time the Federal Reserve meets, I cringe, because the whole basis of the Fed now is to support casino capitalism, which is destroying the US economy.

Today it was reported after the Fed meeting that: "The Federal Reserve moved closer to a second wave of unconventional monetary easing and said for the first time that too-low inflation, in addition to sluggish growth, would warrant taking action."

Only in an environment of casino capitalism can someone seriously believe that purchasing paper assets can somehow help an economy. An economy is based on people working to produce useful products and services, not shuffling paper between themselves. The paper economy is merely a means to an end, not an end in itself. Of course, in casino capitalism, the paper assets become the end and the solution.

The theory of course behind the Fed's actions is that by purchasing assets they drive more money into the banks, who supposedly can then provide more credit to the economy. This is a nice theory, if you don't live in the real world. In reality, when the Fed begins printing money to buy assets, banks trade around this, take the free money and pay themselves gigantic bonuses. Then we're back to where we started from. Money is drained from the system, no jobs are created, and economic misery continues.

The obvious solution is to give money to the masses directly by lowering taxes, getting rid of all the financial middlemen, like health insurance companies, and creating jobs.

Unfortunately, I don't see any reprieve anytime soon. The US has been hijacked by a bunch of rabid casino capitalists who think the basis of the entire economy are some quotes on a computer screen. The human element of the economy, the real basis of capitalism has been lost.