The Federal Reserve issued a report this week warning about overvalued asset prices and the possibility of a wave of credit defaults due to the extreme levels of debt in the economy.
What it didn’t mention is the fact that it created the very problems it is warning about.
This is just like government – create a problem, warn about the problem, and then claim it will solve the problem. But the problems never get solved.
And before somebody emails me, I know that the Fed isn’t technically a government entity – strictly speaking. But in effect, it is.
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