We are all rooting for your wise perspective to get Congressional attention and influence change!
I heard another wise thinker tonight on TV, Elizabeth Warren, and am hopeful that her voice with yours will help turn this ship of state away from the iceberg!
Annie, I like your metaphor of our two seriously good economists Dr. Reich and Elizabeth Warren keeping our ship of state from hitting the iceberg, the one Powell and the Fed and corporate America are steering us toward. I can't help but wonder why Powell is doing this, then I remember he is Republican, a Trump nominee and the election is coming up soon. People, unfortunately vote on the economy even when it is being manipulated. I suspect he is hoping that what the Fed is doing will hurt enough people to vote Republican. I hope Dr. Reich, Sen. Warren, and others who have an intelligent voice will be able to set people straight before we hit the iceberg.
Inflation causes pain and the choice is who suffers. Jerome Powell as a Republican will inflict the pain on the labor force vs the corporation. Time for someone more enlightened to replace Mr. Powell and for congress to wake up to Robert Reich.
Powell seems hell-bent on using (one) old school tool in a situation where the controlling factors (covid - still affecting manufacturing & supply line challenges, Ukrainian war, price gouging throughout many industries but the gas one in particular) are things we've NEVER had to grapple with before, things that are complex, often inter-related, and occurring on an international level & in a large-scale way. We need someone with a greater capability to address these elements, someone with creativity, flexibility, open-mindedness, and NO marriage to politics, period. He is dragging us down, just when we were beginning to soar. I hope Hope HOPE Congress will listen to the Professor and Sen. Warren. (We can write and call them to request they do...)
I get your point, but I don't think the words pain or suffering apply to corporations who might be asked to limit their windfall profits to just plain old really good profits. On the other hand, inflation does cause true pain and suffering to people and families near the bottom of the rung.
This problem is nothing about socialism, communisms, liberal , conservative or capitalism, what is needed is common sense and logic.
Jerome Powell is an incompetent Trump crony, instead of raising rates slowly during the pandemic. Allowed companies profiting during the 2 years of the pandemic.
Is easy for him to say "thought times are coming and good luck" . His salary is $205,000/year and his wealth is estimated between 25 and 50 million dollars.
Easy for him to say that.
His decisions are based on old data , and evidence has pointed out over and over that his approach causes recession.
Regulation of prices will diminish inflation, improvement and incentives to transportation workers/companies to mobilize goods. The problem with transportation is there, and fortunately it was not a strike by railroad workers, that are exhausted and burned out. Increasing import tariffs will help to produce more in the country thus creating jobs.
Increasing wages will bring a level of stability, will be an incentive to companies to produce more in USA and still being profitable.
Economy of scales.
Powell is aligning with Trump and GOP mentality, how is possible that we are at the mercy of a lawyer that never took economy and business courses. Also he was described by his former boss as not too bright or competent. All these maneuvers done and plan in a mid term election
It appears that Biden nominated Powell for the re-appointment of a second 4-year term... In NOVEMBER 2021 -- when he still had not come to terms with the fact that bipartisanship was a lost cause for now. And apparently, once a fed chair is appointed, they cannot be dismissed before the end of their term. (REALLY???? What if highly counter-productive performance, etc?) (And what about the entire Board of Governors - they all supposedly contribute to the setting of monetary policy and overall operations.... IDK the backgrounds of any of them beyond Powell and whether they pull any weight, etc) ... the dejoy thing is a mystery... I hope something can be done there before that nut orders thousands of new GAS-powered fleet vehicles..
I do believe that… the current republicans seem to do anything, lie, cheat, deflection etc to assure their base will remain angry so they will vote for one of them.
Indeed, Kroger workers in half of Ohio have voted to go out, although they don't really want to, and are holding off in the hope their union won't screw 'em. (I've heard a lot of that since the '80s. I think it's - in large part - the reason a large percentage of workers have become disaffected with unions.) I could suspect the distinct possibility of wildcats.
Given that Powell's stated objective is to force unemployment, I could conjecture that high unemployment is a necessary component of breaking strikes. I remember when Ronald McReagan broke the Air Traffic Controllers' strike. In college - I worked a 1/2 time course load in with my 10 to 16/6 and sometimes 7 workload (for 10 of my 20 years of service, and two thereafter.) - I had a bit of an inside track on it, because I had an unemployed classmate who was one of the air traffic controllers fired - who was trying to retrain for another career - and I spoke with him about it. After all, I was NALC at the time - another union of federal employees. That means it was of >great< interest to me. To me, it appears the rail and logistics sector workers are in an equivalent position to the Air Traffic Controllers, even as I write this comment. Let's hope our current president doesn't become Ronald McBiden.
As for exactly who my reporting authority here is, the WSWS is, whose links I've included above:
I've included that link, because although it takes you on a long trip down memory lane, it finally gets around to the topic of this discussion, in which you'll find they >absolutely agree< with Dr Reich's analysis and what he'll discuss in his testimony today.
=======
"The claim that the economic problems of the United States are caused by rising wages is a fraud. Wages have fallen in real terms by more than 3 percent over the past year amid the extraordinary run-up in prices. At the same time, corporate profits, the leading component of rising prices, have hit record after record."
=======
Be advised, though, it also exposes exactly how their views differ from most of us who participate in this forum - complete with it's mission statement in the concluding remarks. On the other hand, they make clear in reading them over time, the Wank-publican term "culture wars" is interchangeable with the Socialist notion of "class war." It appears the MAGA-wankers are attempting to coopt Marx! I think they do that to accuse us of being socialists any time socialists and the US left - Democrats, specifically - agree. >Know that< for the bullshit it >really is.<
Because nobody in this forum should mistakenly conclude these WSWS socialists are our allies. They identify as Trotskyites >I< - for one - recognize as "the real thing." For example, they express little use for Bernie Sanders in articles past. On the other hand, they have a tendency to report labor-related issues waaaay in advance of the mainstream news, and seem fairly accurate, given the editorial/political bias. For that they command my respect - >not< my allegiance. >Always< keep their editorial/political bias in mind when reading their articles.
In closing, I'd be interested in hearing from anyone who reads the article on their view of history, particularly those having objections to the WSWS interpretation. I just >know< there's someone out there who'll be having a "but, but, but . . " moment in reading it. I know I did. I've had several. I want to know about it - and I think everyone here should, as well, in the interest of self-defense. On the other hand, I'm satisfied they're honestly presenting in that view and mission statement what >they< consider to be "the truth."
Very interesting DZK...thanks for the links. I have long complained about Biden keeping Powell as Fed chair. Hasn't anything been learned from what Volker did? Geez.
Biden has represented the corporate state of America steadfastly throughout his political career, Claire. Why stop now that he reps everyone? Whatever else about him, he's always beamed cheerfully out of the vest pocket of Big Business.
Sigh. But considering the alternative, with choices like Bernie, Warren, and RR marginalized, the party has confronted voters diabolically. Or—I guess the word is politically.
This problem is nothing about socialism, communisms, liberal , conservative or capitalism, what is needed is common sense and logic.
Jerome Powell is an incompetent Trump crony, instead of raising rates slowly during the pandemic. Allowed companies profiting during the 2 years of the pandemic.
Is easy for him to say "thought times are coming and good luck" . His salary is $205,000/year and his wealth is estimated between 25 and 50 million dollars.
Easy for him to say that.
His decisions are based on old data , and evidence has pointed out over and over that his approach causes recession.
Regulation of prices will diminish inflation, improvement and incentives to transportation workers/companies to mobilize goods. The problem with transportation is there, and fortunately it was not a strike by railroad workers, that are exhausted and burned out. Increasing import tariffs will help to produce more in the country thus creating jobs.
Increasing wages will bring a level of stability, will be an incentive to companies to produce more in USA and still being profitable.
Economy of scales.
Powell is aligning with Trump and GOP mentality, how is possible that we are at the mercy of a lawyer that never took economy and business courses. Also he was described by his former boss as not too bright or competent. All these maneuvers done and plan in a mid term election
Good to see someone fighting the good fight, Robert---and it does have long term changes in outcome, I agree with you there strongly. You change the frame of reference not at its center, head on, but at its margins, by eroding its evidence and foundational parameters. Speaking the truth changes the shape of the 'total truth.' Rump has done this despicably to the negative, aided and abetted by the media. Progressive voices, those working for climate action, do so at the margins as well to the positive. It is an unsatisfying process for those engaged, but nontrivial in long run outcomes. Keep it up: you and your views are why we are here and what we, in turn, pass along. Propagation to the people!
SO GRATEFUL for your perspective, your missionary zeal, your clarity and your humility (that last rather more than warranted). May your words reach their mark. It's good news to start with that they invited you...SOMEONE knows.
"California’s attorney general filed an antitrust lawsuit against Amazon on Wednesday, claiming the retailer stifles competition and increases the prices that consumers pay across the internet.
"The suit is limited to California, where officials said Amazon had around 25 million customers, but if it succeeds it could have a broad impact across the country.
“If you think about Californians paying even just a little bit more for every product they purchased online over the course of a year, let alone a decade, which is what is at issue here, the collective magnitude of harm here is very far-reaching,” said Rob Bonta, California’s attorney general, during a news conference announcing the case."
And again, we seniors are caught. We haven’t contributed to the price increases of the manufacturers and distributors, nor have we seen massive increases in our pensions. Stuck in this, what to do? We just eat less, do less, live less.
As a senior myself, I will never forgive Republicans for their covid stance of risking lives, especially those of older people, to "keep the economy open".
Sharon, you are right about our not having caused this inflation, but are suffering because of it. It is important, though to make sure the blame is placed accurately so the situation can be corrected. As long as workers are blamed, nothing will change and we will move steadily into recession, which seems to be what the Fed and Chairman Powell are hoping for. I heard an estimate last week that they want an unemployment rate of about 7.5 % in order to stop the inflation. That is insane because unemployment rates that high cause a lot of suffering and let bosses dictate what happens to workers and how much they will be paid. It sounds to me like a corporate attempt to keep their huge profits pouring in and their CEO salaries at an astronomical rate, even if we end up in a recession. That should not be acceptable to anyone.
No country is safe from revolution where the richest make more in an hour than the working poor make in a year. The very existence of a hereditary oligarchy is a treponema spirochete in our body politic. Under Eisenhower, the last good Republican President, the top tax bracket paid around 91%. Eisenhower had worked with people from every walk of life in his wartime experience. Reagan, who, like John Wayne, spent the war playing bedroom hopscotch in Hollywood, had no understanding of the arc of personal income, except to envy the rich and hold the poor in contempt.
Correct Leynia, what’s seldom spoken, nor written about, is the 1910 Jekyll island coup by the nations Uber-wealthiest that led to the “Fed” in 1934, and sadly, our serfdom!
Campbell, we're supposed to be meditating and puttering aimlessly around, maybe watching some faux news, trying to remember if we took our meds today. We've had our chance, and we blew it. We're just excess, waiting to go to that great compost heap in the sky. Where's the damn emoji thingys? i want a smiley face.
Coupled with skyrocketing property taxes, that are forcing us out of the homes our children grew up in. What this false inflation agenda, really comes down to is corporate greed, along with a more fascist leadership.
Thank you - living on a fixed income with this inflation is devastating hardship for millions of people. Raising interest rates is horrible for credit card balances and will devastate the economy over the long run. Banks for too long have been given carte blanc treatment and billionaires must pay their share of taxes.
Elaine, it seems that Conservatives are OK with damaging our economy. They had nearly free rein during COVID and now want to keep their huge profits coming in with no oversight. Blaming workers and unions works so well for Republicans despite the fact that workers' rights and better wages help them too. I guess those workers will be able to blame Biden and Democrats if they can't buy the things they want and need rather than blaming corporations who care nothing for them and will get every penny they can from them. I suspect Powell and crew are hoping our economy will be in worse shape by November so the economy issues will blot out the loss of basic rights for Republicans and get them to the polls to vote in the folks who are OK with wrecking the economy AND taking away their rights. They will lose both ways. We do need to stop the insanity and hold corporations accountable with a windfall profits tax that is pretty high, then get that money to ordinary people.
The Republicans are at this point what an earlier age would call “pure evil.” They are not only wrecking our economy and taking away our rights (under totally false pretenses—as if THESE goons are sincere Christians or sincerely “pro-life”), but are baldly advocating for increased oil drilling and against the clear science of climate change—totally ok with destroying the entire world, which may be a slight hyperbole but considering the US’s (I know, dubious) role of a leader of the free world…I think it’s true. They know our economy will be exponentially screwed thanks to squandering oil profits now. They literally don’t care!
Corporations and their paid puppets, I mean politicians, ONLY care about the MONEY/PROFIT. PERIOD. These people/entities are NOT PATRIOTS. Powell, who appears to be another corporate pawn should have been replaced over one year ago with someone much more enlightened. Doing the same thing over and over again and expecting a different result is insane. KNOWINGLY Powell demonstrates he just wants to give more and more profit to corporations who, by the way, are NOT people (though the CEOs and other corporate executives are busy looking to purchase their third yacht, etc. Meanwhile the people who have created this wealth for them are used and consumed in this new world of "modern day slavery". This has the look of ORGANIZED CRIME when CEOs earn over 1,000 times their average employees pay. When I was younger and I used to see this fleecing (Discredit Reagan for reducing tax brackets for the highest earners which, if you are in the 99%, have been seeing the result of this by the gradual DEFUNDING OF OUR GOVERNMENT, with the degradation of YOUR communities.), I used to say, "The rich want more". Now I am saying, "The rich want the rest". God speed to you Mr. Reich and I do hope that these politicians listen and have the COURAGE TO ACT.
I feel like it would be interesting to get some of these guys on an hour-long, get-intimate, interview program. I just can’t believe in the existence of such horrible people! They must have more dimensions, and lots of handy self-delusions (which, to be fair, I am not free of myself, but…)…I feel that a neutral but skilled, probing interviewer could help us really see this seemingly impossible reality clearer…or is it all about some kind of faith that capitalism is the natural way of things, something perfectly fair, patriotic, “Darwinian”? If only Darwin had highlighted the cooperative survival behaviors of many species…but oh wait, do they believe in Science?
Thank you, Robert. You speak for all of us who watch in disgust as Fed chair enables the tax dodging billionaire to screw us over ……. AGAIN!!! Robber Barons own Jerome Powell and pull his puppet strings to have him dance to their tune.
James, yes, the puppet masters are working hard to damage our economy so Republicans will have an issue to vote on in November. They have nothing else. They will continue to lie to their base and hope voices like Dr. Reich's are not heard or presented in a way they will be believed. One way to expose what is really going on is to get a windfall profits tax. If those corporations aren't really raking in huge profits, they won't have to pay anything, so what are they worried about! Of course, they have been the main actors in this inflation fiasco, and everyone would know. Can't have that!
Poor Joe Biden. He was suckered into picking Powell as chair. Joe's thinking at the time was that one could still work with the mythical "reasonable republican".
I couldn't agree more. We shouldn't expect the Fed to change course, but why should Democrats be blamed for disrupted supply chains due to a global pandemic and corporate price gouging? ...particularly by republicans who have are unwilling to do anything to address the problem?
Mark, of course, Republicans have nothing to run on, so have to create a crisis that will scare their base into voting for people who will take away their rights. Yep, it's nuts, but I, sadly, do believe Powell and his crew and the billionaires who "own" him are working to orchestrate such a political and economic disaster. I am still upset that Biden kept Powell in office, a Trump nominee who was primed to do as much damage in the Biden administration as he could. It seems to me he should just stop and see what happens before raising interest rates again, but that won't work fast enough to bring about the collapse of several industries, like housing and construction in general, a very visible entity. Then, there's farming that will also be hurt. Go Powell. You are doing just what you are expected to do by your puppet masters.
I completely agree! This Double Major Magna Cum Laude Grad in Acciunting and Business Admin is sick to death of so many monopolies in food chain and consumer goods...and the gouging taking place. Wundfall profits tax will shut that crao down! And give our govt enough funds to help the many people struggling just to put food on tables for themselves and their families! Way to go!
Mark, A windfall profits tax would remove much of the incentive for corporations to raise prices higher than their costs to increase their profit margins, for the simple reason that it would eliminate much of the profit margin. It would also expose to consumers the windfall profits being sought by the corporation.
I am curious about this too. What can be put in place in order to prevent this from happening? Or perhaps I am not familiar with how windfall profits are defined. My thought is that BIG corporations always seem to find a way…
We are all rooting for your wise perspective to get Congressional attention and influence change!
I heard another wise thinker tonight on TV, Elizabeth Warren, and am hopeful that her voice with yours will help turn this ship of state away from the iceberg!
Annie, I like your metaphor of our two seriously good economists Dr. Reich and Elizabeth Warren keeping our ship of state from hitting the iceberg, the one Powell and the Fed and corporate America are steering us toward. I can't help but wonder why Powell is doing this, then I remember he is Republican, a Trump nominee and the election is coming up soon. People, unfortunately vote on the economy even when it is being manipulated. I suspect he is hoping that what the Fed is doing will hurt enough people to vote Republican. I hope Dr. Reich, Sen. Warren, and others who have an intelligent voice will be able to set people straight before we hit the iceberg.
Inflation causes pain and the choice is who suffers. Jerome Powell as a Republican will inflict the pain on the labor force vs the corporation. Time for someone more enlightened to replace Mr. Powell and for congress to wake up to Robert Reich.
Powell seems hell-bent on using (one) old school tool in a situation where the controlling factors (covid - still affecting manufacturing & supply line challenges, Ukrainian war, price gouging throughout many industries but the gas one in particular) are things we've NEVER had to grapple with before, things that are complex, often inter-related, and occurring on an international level & in a large-scale way. We need someone with a greater capability to address these elements, someone with creativity, flexibility, open-mindedness, and NO marriage to politics, period. He is dragging us down, just when we were beginning to soar. I hope Hope HOPE Congress will listen to the Professor and Sen. Warren. (We can write and call them to request they do...)
I get your point, but I don't think the words pain or suffering apply to corporations who might be asked to limit their windfall profits to just plain old really good profits. On the other hand, inflation does cause true pain and suffering to people and families near the bottom of the rung.
Thank you very much Robert
I am with your expertise and advice.
This problem is nothing about socialism, communisms, liberal , conservative or capitalism, what is needed is common sense and logic.
Jerome Powell is an incompetent Trump crony, instead of raising rates slowly during the pandemic. Allowed companies profiting during the 2 years of the pandemic.
Is easy for him to say "thought times are coming and good luck" . His salary is $205,000/year and his wealth is estimated between 25 and 50 million dollars.
Easy for him to say that.
His decisions are based on old data , and evidence has pointed out over and over that his approach causes recession.
Regulation of prices will diminish inflation, improvement and incentives to transportation workers/companies to mobilize goods. The problem with transportation is there, and fortunately it was not a strike by railroad workers, that are exhausted and burned out. Increasing import tariffs will help to produce more in the country thus creating jobs.
Increasing wages will bring a level of stability, will be an incentive to companies to produce more in USA and still being profitable.
Economy of scales.
Powell is aligning with Trump and GOP mentality, how is possible that we are at the mercy of a lawyer that never took economy and business courses. Also he was described by his former boss as not too bright or competent. All these maneuvers done and plan in a mid term election
Why in the world did Biden keep him on? Did he not realize that he would impose his repugnician point of view in his decisions?
Shows you are unfamiliar with Biden's views.
Very big mistake. I am one of those who questioned him not replacing DeJoy and Powell as soon as he was in office.
Me too!!!!!!!!!!
He is delusional and also needs to go.
it will be a bigly mistake if he announces rerunning for president
He (and Biden) are the perfect Republicans for the present. Still not seeing it?
It appears that Biden nominated Powell for the re-appointment of a second 4-year term... In NOVEMBER 2021 -- when he still had not come to terms with the fact that bipartisanship was a lost cause for now. And apparently, once a fed chair is appointed, they cannot be dismissed before the end of their term. (REALLY???? What if highly counter-productive performance, etc?) (And what about the entire Board of Governors - they all supposedly contribute to the setting of monetary policy and overall operations.... IDK the backgrounds of any of them beyond Powell and whether they pull any weight, etc) ... the dejoy thing is a mystery... I hope something can be done there before that nut orders thousands of new GAS-powered fleet vehicles..
The political mind. What steams, what schemes, all the time ..
Once again. He loves the Republicans. Can you understand that now?
He is listening to Larry Summers who wants us to have a recession.
Because Republicans like Biden and Summers know no poor or middle-class people.
And a recession is where they make lots of extra money.
I believe both Biden and Summers are democrats. My comment meant that Powell listens to Summers.
But they make decisions like Republicans most of the time.
And yes, Powell also.
BULLSEYE
Jerome Powell wants to crash the country to boost himself and the top 1%
I do believe that… the current republicans seem to do anything, lie, cheat, deflection etc to assure their base will remain angry so they will vote for one of them.
Profound, Ruth!
The Titanic knew about the icebergs and were turning. It takes a long time to change course.
Nonetheless it would be a great idea to slow down and start turning.
In case - at first blush - you might think this discussion is off-topic, please be patient. I'll get to the relevance once I've established context.
I'm including this article because it's consistent with what I heard on BBC this morning: https://www.wsws.org/en/articles/2022/09/22/baaz-s22.html?pk_campaign=newsletter&pk_kwd=wsws
It makes sense with respect to what I >haven't< been hearing said anywhere else: https://www.wsws.org/en/articles/2022/09/22/rail-s22.html?pk_campaign=newsletter&pk_kwd=wsws
Indeed, Kroger workers in half of Ohio have voted to go out, although they don't really want to, and are holding off in the hope their union won't screw 'em. (I've heard a lot of that since the '80s. I think it's - in large part - the reason a large percentage of workers have become disaffected with unions.) I could suspect the distinct possibility of wildcats.
Given that Powell's stated objective is to force unemployment, I could conjecture that high unemployment is a necessary component of breaking strikes. I remember when Ronald McReagan broke the Air Traffic Controllers' strike. In college - I worked a 1/2 time course load in with my 10 to 16/6 and sometimes 7 workload (for 10 of my 20 years of service, and two thereafter.) - I had a bit of an inside track on it, because I had an unemployed classmate who was one of the air traffic controllers fired - who was trying to retrain for another career - and I spoke with him about it. After all, I was NALC at the time - another union of federal employees. That means it was of >great< interest to me. To me, it appears the rail and logistics sector workers are in an equivalent position to the Air Traffic Controllers, even as I write this comment. Let's hope our current president doesn't become Ronald McBiden.
As for exactly who my reporting authority here is, the WSWS is, whose links I've included above:
https://www.wsws.org/en/articles/2022/09/22/ncad-s22.html?pk_campaign=newsletter&pk_kwd=wsws
I've included that link, because although it takes you on a long trip down memory lane, it finally gets around to the topic of this discussion, in which you'll find they >absolutely agree< with Dr Reich's analysis and what he'll discuss in his testimony today.
=======
"The claim that the economic problems of the United States are caused by rising wages is a fraud. Wages have fallen in real terms by more than 3 percent over the past year amid the extraordinary run-up in prices. At the same time, corporate profits, the leading component of rising prices, have hit record after record."
=======
Be advised, though, it also exposes exactly how their views differ from most of us who participate in this forum - complete with it's mission statement in the concluding remarks. On the other hand, they make clear in reading them over time, the Wank-publican term "culture wars" is interchangeable with the Socialist notion of "class war." It appears the MAGA-wankers are attempting to coopt Marx! I think they do that to accuse us of being socialists any time socialists and the US left - Democrats, specifically - agree. >Know that< for the bullshit it >really is.<
Because nobody in this forum should mistakenly conclude these WSWS socialists are our allies. They identify as Trotskyites >I< - for one - recognize as "the real thing." For example, they express little use for Bernie Sanders in articles past. On the other hand, they have a tendency to report labor-related issues waaaay in advance of the mainstream news, and seem fairly accurate, given the editorial/political bias. For that they command my respect - >not< my allegiance. >Always< keep their editorial/political bias in mind when reading their articles.
In closing, I'd be interested in hearing from anyone who reads the article on their view of history, particularly those having objections to the WSWS interpretation. I just >know< there's someone out there who'll be having a "but, but, but . . " moment in reading it. I know I did. I've had several. I want to know about it - and I think everyone here should, as well, in the interest of self-defense. On the other hand, I'm satisfied they're honestly presenting in that view and mission statement what >they< consider to be "the truth."
Very interesting DZK...thanks for the links. I have long complained about Biden keeping Powell as Fed chair. Hasn't anything been learned from what Volker did? Geez.
Biden has represented the corporate state of America steadfastly throughout his political career, Claire. Why stop now that he reps everyone? Whatever else about him, he's always beamed cheerfully out of the vest pocket of Big Business.
Completely agree. I KNOW! I'm completely discouraged about Democratic leadership in this country today, they are totally owned by the ruling class.
Sigh. But considering the alternative, with choices like Bernie, Warren, and RR marginalized, the party has confronted voters diabolically. Or—I guess the word is politically.
You are absolutely right.
Thank you for your comment
Thank you very much Robert
I am with your expertise and advice.
This problem is nothing about socialism, communisms, liberal , conservative or capitalism, what is needed is common sense and logic.
Jerome Powell is an incompetent Trump crony, instead of raising rates slowly during the pandemic. Allowed companies profiting during the 2 years of the pandemic.
Is easy for him to say "thought times are coming and good luck" . His salary is $205,000/year and his wealth is estimated between 25 and 50 million dollars.
Easy for him to say that.
His decisions are based on old data , and evidence has pointed out over and over that his approach causes recession.
Regulation of prices will diminish inflation, improvement and incentives to transportation workers/companies to mobilize goods. The problem with transportation is there, and fortunately it was not a strike by railroad workers, that are exhausted and burned out. Increasing import tariffs will help to produce more in the country thus creating jobs.
Increasing wages will bring a level of stability, will be an incentive to companies to produce more in USA and still being profitable.
Economy of scales.
Powell is aligning with Trump and GOP mentality, how is possible that we are at the mercy of a lawyer that never took economy and business courses. Also he was described by his former boss as not too bright or competent. All these maneuvers done and plan in a mid term election
Good to see someone fighting the good fight, Robert---and it does have long term changes in outcome, I agree with you there strongly. You change the frame of reference not at its center, head on, but at its margins, by eroding its evidence and foundational parameters. Speaking the truth changes the shape of the 'total truth.' Rump has done this despicably to the negative, aided and abetted by the media. Progressive voices, those working for climate action, do so at the margins as well to the positive. It is an unsatisfying process for those engaged, but nontrivial in long run outcomes. Keep it up: you and your views are why we are here and what we, in turn, pass along. Propagation to the people!
SO GRATEFUL for your perspective, your missionary zeal, your clarity and your humility (that last rather more than warranted). May your words reach their mark. It's good news to start with that they invited you...SOMEONE knows.
Kathryn, good point! Congress did invite Dr. Reich. Now we need to get the media to report his comments as the critical information they are.
Yes we do!
God-speed fine sir as your take on this topic is the correct way to proceed. I sure hope they listen!
Go California.
"California’s attorney general filed an antitrust lawsuit against Amazon on Wednesday, claiming the retailer stifles competition and increases the prices that consumers pay across the internet.
"The suit is limited to California, where officials said Amazon had around 25 million customers, but if it succeeds it could have a broad impact across the country.
“If you think about Californians paying even just a little bit more for every product they purchased online over the course of a year, let alone a decade, which is what is at issue here, the collective magnitude of harm here is very far-reaching,” said Rob Bonta, California’s attorney general, during a news conference announcing the case."
https://www.nytimes.com/2022/09/14/technology/california-files-antitrust-lawsuit-against-amazon.html
And again, we seniors are caught. We haven’t contributed to the price increases of the manufacturers and distributors, nor have we seen massive increases in our pensions. Stuck in this, what to do? We just eat less, do less, live less.
As a senior myself, I will never forgive Republicans for their covid stance of risking lives, especially those of older people, to "keep the economy open".
Sharon, you are right about our not having caused this inflation, but are suffering because of it. It is important, though to make sure the blame is placed accurately so the situation can be corrected. As long as workers are blamed, nothing will change and we will move steadily into recession, which seems to be what the Fed and Chairman Powell are hoping for. I heard an estimate last week that they want an unemployment rate of about 7.5 % in order to stop the inflation. That is insane because unemployment rates that high cause a lot of suffering and let bosses dictate what happens to workers and how much they will be paid. It sounds to me like a corporate attempt to keep their huge profits pouring in and their CEO salaries at an astronomical rate, even if we end up in a recession. That should not be acceptable to anyone.
No country is safe from revolution where the richest make more in an hour than the working poor make in a year. The very existence of a hereditary oligarchy is a treponema spirochete in our body politic. Under Eisenhower, the last good Republican President, the top tax bracket paid around 91%. Eisenhower had worked with people from every walk of life in his wartime experience. Reagan, who, like John Wayne, spent the war playing bedroom hopscotch in Hollywood, had no understanding of the arc of personal income, except to envy the rich and hold the poor in contempt.
Correct Leynia, what’s seldom spoken, nor written about, is the 1910 Jekyll island coup by the nations Uber-wealthiest that led to the “Fed” in 1934, and sadly, our serfdom!
Campbell, we're supposed to be meditating and puttering aimlessly around, maybe watching some faux news, trying to remember if we took our meds today. We've had our chance, and we blew it. We're just excess, waiting to go to that great compost heap in the sky. Where's the damn emoji thingys? i want a smiley face.
".... we're supposed to be meditating and puttering ..." 🤬 that! And, for good measure, 😄
Your music must be interesting.
Coupled with skyrocketing property taxes, that are forcing us out of the homes our children grew up in. What this false inflation agenda, really comes down to is corporate greed, along with a more fascist leadership.
yup! It's gonna force us out of our home if it doesn't stop soon.
Thank you - living on a fixed income with this inflation is devastating hardship for millions of people. Raising interest rates is horrible for credit card balances and will devastate the economy over the long run. Banks for too long have been given carte blanc treatment and billionaires must pay their share of taxes.
Elaine, it seems that Conservatives are OK with damaging our economy. They had nearly free rein during COVID and now want to keep their huge profits coming in with no oversight. Blaming workers and unions works so well for Republicans despite the fact that workers' rights and better wages help them too. I guess those workers will be able to blame Biden and Democrats if they can't buy the things they want and need rather than blaming corporations who care nothing for them and will get every penny they can from them. I suspect Powell and crew are hoping our economy will be in worse shape by November so the economy issues will blot out the loss of basic rights for Republicans and get them to the polls to vote in the folks who are OK with wrecking the economy AND taking away their rights. They will lose both ways. We do need to stop the insanity and hold corporations accountable with a windfall profits tax that is pretty high, then get that money to ordinary people.
The Republicans are at this point what an earlier age would call “pure evil.” They are not only wrecking our economy and taking away our rights (under totally false pretenses—as if THESE goons are sincere Christians or sincerely “pro-life”), but are baldly advocating for increased oil drilling and against the clear science of climate change—totally ok with destroying the entire world, which may be a slight hyperbole but considering the US’s (I know, dubious) role of a leader of the free world…I think it’s true. They know our economy will be exponentially screwed thanks to squandering oil profits now. They literally don’t care!
Corporations and their paid puppets, I mean politicians, ONLY care about the MONEY/PROFIT. PERIOD. These people/entities are NOT PATRIOTS. Powell, who appears to be another corporate pawn should have been replaced over one year ago with someone much more enlightened. Doing the same thing over and over again and expecting a different result is insane. KNOWINGLY Powell demonstrates he just wants to give more and more profit to corporations who, by the way, are NOT people (though the CEOs and other corporate executives are busy looking to purchase their third yacht, etc. Meanwhile the people who have created this wealth for them are used and consumed in this new world of "modern day slavery". This has the look of ORGANIZED CRIME when CEOs earn over 1,000 times their average employees pay. When I was younger and I used to see this fleecing (Discredit Reagan for reducing tax brackets for the highest earners which, if you are in the 99%, have been seeing the result of this by the gradual DEFUNDING OF OUR GOVERNMENT, with the degradation of YOUR communities.), I used to say, "The rich want more". Now I am saying, "The rich want the rest". God speed to you Mr. Reich and I do hope that these politicians listen and have the COURAGE TO ACT.
I feel like it would be interesting to get some of these guys on an hour-long, get-intimate, interview program. I just can’t believe in the existence of such horrible people! They must have more dimensions, and lots of handy self-delusions (which, to be fair, I am not free of myself, but…)…I feel that a neutral but skilled, probing interviewer could help us really see this seemingly impossible reality clearer…or is it all about some kind of faith that capitalism is the natural way of things, something perfectly fair, patriotic, “Darwinian”? If only Darwin had highlighted the cooperative survival behaviors of many species…but oh wait, do they believe in Science?
So true, I hear u
Thank you for caring and fighting for all of us. I pray they listen to you🙏🏻🙏🏻🙏🏻🙏🏻.
Like Lisa, I hope Dems pay attention. Republicans are a lost cause for the foreseeable future. I’m interested to see your thoughts after you testify.
Thank you, Robert. You speak for all of us who watch in disgust as Fed chair enables the tax dodging billionaire to screw us over ……. AGAIN!!! Robber Barons own Jerome Powell and pull his puppet strings to have him dance to their tune.
James, yes, the puppet masters are working hard to damage our economy so Republicans will have an issue to vote on in November. They have nothing else. They will continue to lie to their base and hope voices like Dr. Reich's are not heard or presented in a way they will be believed. One way to expose what is really going on is to get a windfall profits tax. If those corporations aren't really raking in huge profits, they won't have to pay anything, so what are they worried about! Of course, they have been the main actors in this inflation fiasco, and everyone would know. Can't have that!
Poor Joe Biden. He was suckered into picking Powell as chair. Joe's thinking at the time was that one could still work with the mythical "reasonable republican".
Yeah…is there no way to reverse this decision?
Ask Joe Biden, I did:
info@contact.joebiden.com
I couldn't agree more. We shouldn't expect the Fed to change course, but why should Democrats be blamed for disrupted supply chains due to a global pandemic and corporate price gouging? ...particularly by republicans who have are unwilling to do anything to address the problem?
Mark, of course, Republicans have nothing to run on, so have to create a crisis that will scare their base into voting for people who will take away their rights. Yep, it's nuts, but I, sadly, do believe Powell and his crew and the billionaires who "own" him are working to orchestrate such a political and economic disaster. I am still upset that Biden kept Powell in office, a Trump nominee who was primed to do as much damage in the Biden administration as he could. It seems to me he should just stop and see what happens before raising interest rates again, but that won't work fast enough to bring about the collapse of several industries, like housing and construction in general, a very visible entity. Then, there's farming that will also be hurt. Go Powell. You are doing just what you are expected to do by your puppet masters.
Thank you for your engagement , I read many of your posts and totally agree . I am as furious as you are.
They’re part of the problem.
They are the problems
Praying that your clear voice is heard and leads to corrective action!
10000% behind you!!
I just joined your paid subscribers. Rarely get a chance to invest in something so valuable.
Thank you for proffering a sensible solution. If only the legislators would listen. As you say, it may get some thinking in new ways.
Thank you!
I completely agree! This Double Major Magna Cum Laude Grad in Acciunting and Business Admin is sick to death of so many monopolies in food chain and consumer goods...and the gouging taking place. Wundfall profits tax will shut that crao down! And give our govt enough funds to help the many people struggling just to put food on tables for themselves and their families! Way to go!
How do taxes on windfall profits help the consumer? Can the supplier or seller pass along the cost of the tax downstream, eventually, to the consumer?
Mark, A windfall profits tax would remove much of the incentive for corporations to raise prices higher than their costs to increase their profit margins, for the simple reason that it would eliminate much of the profit margin. It would also expose to consumers the windfall profits being sought by the corporation.
I am curious about this too. What can be put in place in order to prevent this from happening? Or perhaps I am not familiar with how windfall profits are defined. My thought is that BIG corporations always seem to find a way…
Robin, can we send you to Congress?
Wishing that ears are open to reason.