Economy
Related: About this forumDruckenmiller: Fed robbing poor to pay rich
In an interview on "Squawk Box," the founder of Duquesne Capital said the Fed's policy of quantitative easing was inflating stocks and other assets held by wealthy investors like himself. But the price of making the rich richer will be paid by future generations.
"This is fantastic for every rich person," he said Thursday, a day after the Fed's stunning decision to delay tightening its monetary policy. "This is the biggest redistribution of wealth from the middle class and the poor to the rich ever."
"Who owns assetsthe rich, the billionaires. You think Warren Buffett hates this stuff? You think I hate this stuff? I had a very good day yesterday."
Druckenmiller, whose net worth is estimated at more than $2 billion, said that the implication of the Fed's policy is that the rich will spend their wealth and create jobsessentially betting on "trickle-down economics."
"I mean, maybe this trickle-down monetary policy that gives money to billionaires and hopefully we go spend it is going to work," he said. "But it hasn't worked for five years."
http://www.cnbc.com/id/101046937 (14-15 minutes into the clip I believe)
upi402
(16,854 posts)I'll keep holding my breath....
Good thoughts on a sad reality from Druckenmiller.
From your linked article;
"A study by the Bank of England found that its quantitative easing policiesakin to the Fed'swere mainly helping the wealthy. It found that 40 percent of the gains from easing went to the top 5 percent of British households"
Actually, I'm surprised this stuff gets out at all. I mean even the "liberal" media says zip about climate change, let alone this issue.
pscot
(21,024 posts)mortgage rates go up and the building business will be hurt. Home buyers will suffer and rich bondholders will cheer. This stuff is complicated.
golfguru
(4,987 posts)Bush and now Obama has appointed Wall Street banking connected people to run Fed and Secretary of Treasury.
Why would you even expect them to not benefit
their buddies and colleagues in Wall Street banking?
/typos fixed in edit.