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The Federal Reserve and Wall Street Have Corrupted The U.S. Economy

"The Fed's policies over the last decades have stoked the world of Wall Street," says Leonard. "It has pumped trillions of dollars into the banking system and thereby inflated these markets for stocks, for bonds. And that drives income inequality."

... Now, that money is not a neutral force. When the Fed creates new dollars, it doesn’t create them in the checking account of normal people, right? It creates new dollars — specifically and by design, it creates new dollars on Wall Street in the bank accounts of 24 select institutions. And they’re the folks you’d suspect: you know, JPMorgan, Goldman Sachs, Wells Fargo. That’s where the Fed is creating these new dollars. So the Fed’s policies over the last decades have stoked the world of Wall Street. It has pumped trillions of dollars into the banking system, and thereby it’s inflated these markets for stocks, for bonds. And that drives income inequality, because, you know, just the tiny 1% at the top of our wealth ladder controls 40% of all the assets, whereas the bottom half of Americans, you know, those of us who earn a living by getting a paycheck rather than by owning assets — the bottom half of Americans only own about 5% of all the assets. So the Fed’s policies have enriched the very rich, the biggest of the big banks, while leaving the middle class behind. - Democracy Now!