Fed’s Fischer: “QE3 was a gift to the rich”

Federal Reserve Vice President Richard Fischer has been unequivocal about the broader effects of QE.

At the London School of Economics, March 2014,  Fischer explained the Fed’s QE wealth effect goals: “It was deliberate in that we were hoping to create a wealth effect.”

The “wealth effect” created by the Fed was anything but broadly based.

Fischer: “There was a more concentrated effect. And you see it in the kind of earnings that are announced by certain private equity groups and individuals and so on.” … “the distribution of the wealth effect was heavily concentrated.”

Indeed.  Here are the illustrations of how heavily concentrated it has been –  in favor of the rich:                                                                                                                             A steep drop in Mean Net Worth for the Bottom 50% from 2007 – 2013…

Thanks to QE, a modest dip for the “Top 5%” … and now rising…

Financial Asset grew nicely for the “top 5%” grew from 2007 – 2013.

They dropped for everyone else….

.

Dallas Fed President Richard Fischer: “So that’s been one of my bigger disappointments.”

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Don’t be disappointed, Mr. Fischer.  Let’s just go ahead now and square things up.

The Leviticus 25 Plan.                                                                                          $70,000 per U.S. citizens extended through a Citizens Credit Facility.

The Plan restores economic liberty, eliminates debt at the family level,              re-ignites economic growth in America, generates healthy tax revenue growth, and pays for itself over a 10-15 year period.

It’s time to get moving, Mr. Fischer:  The Leviticus 25 Plan 2015 (600)

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