Reagan’s OMB head: Wealth inequality is a problem

But Stockman says blame lays not with the tax code (indeed, he pioneered a trickle-down approach to taxes under Reagan) but with the Fed.Obama “is talking about a symptom, but he’s clueless as to the cause. The cause is not capitalism. The cause is not some entrepreneur out there trying to invent something and improve the performance of his business. The problem is in the Eccles building [home to the main office of the Fed] and in the 12 people sitting there and thinking that interest rates are some magic elixir that’ll cause this very troubled and difficult economy to revive,” Stockman said.

“It’s not true,” he said. “These people are dangerous and destructive, and they’re creating this massive income inequality that, sooner or later, is going to cause a huge political reaction.”

That said, because Stockman thinks that stocks are set to plunge, he believes that those who have their money in the market are set to lose a great deal of it.

“We’ve had two huge bubbles that collapsed already in this century,” he said. “When this third bubble collapses—and surely it will—I believe that will be the day of reckoning. The credibility of all this central-bank-dominated, Wall-Street-coddling policy will be totally repudiated, and maybe then we can clean the slate and start over.”

Full article: Reagan’s OMB head: Wealth inequality is a problem (CNBC)

One response to “Reagan’s OMB head: Wealth inequality is a problem

  1. In my life early life time the stocks and shares were for a small group that were the insiders, meaning the traders, eventually the thought that all the population could become shareholders, this instigation was for the benefit of the inside traders who could through financial advise as person to person and more important the media, operated as a sort of Ponzi scheme although this would never be admitted as being so, almost it just became forgotten it was a racket to rip off the general public, the idea of “The Market Correction” and such comments as a over heated market, are all a cover up for traders to exploit the people of their wealth, this stripping now has become a problem that those who know the game I have outlined, no credibility in finance should be given to the financial operators, it is the same as almost all media seen by some as propaganda, same as politicians, all set up for the exploitation of the public as the mugs, behind this huge scam is the equation being the mugs pay taxes for the wealth generated for the few, That is the 1%. Simply put, John Locke who thought out the possibility of overthrowing the corrupt by if necessary force, and violence, the problem now is corruption is so wide spread that it is no longer possible to overthrow a group that shows its colors as corrupt, this is because say the individual has a moral guidance over and above cultural indoctrination, this condition from within, with regard to say with anti military investment, no longer know what a finance corporation has on their portfolio, we now no longer know who is in bad faith. As we can see the rise of organizations such as ISIS, and the rest of these type of organizations rise as a back lash to what is seen as the First World being depraved and corrupt, the exploitation of resources becomes enough for these terrorist to gain strength and the ultimate use of force by the first world may well become so expensive to sustain that it would be sagacious to avoid polarity and take on board some generosity that will become more profitable to all.