Stop the $6T Coronavirus Corporate Coup (opens in new tab)

(mattstoller.substack.com)

17 pointsnennes6y ago6 comments

6 comments

> Authorization to bail out money market funds, multi-trillion dollar unregulated bank-like deposits for the superrich.

A puzzling characterization of money market funds.

> Authorization for the the government through the Federal Deposit Insurance Corporation to guarantee trillions of dollars of risky bank debt.

Hrm . . . normally the FDIC guarantees deposits. It's in the name. It's also congruent with the previous point. What bank debt is this referring to? Is he sure that the FDIC isn't just guaranteeing a larger limit on deposits?

oneru6y ago

Written by someone who doesn't understand how the Federal Reserve works.

irln6y ago

Not challenging your assertion, however, what doesn't he understand about how the Federal Reserve works?

jnwatson6y ago

I don't follow. Unless you're firmly on the MMR bandwagon (which is still a small minority position among economists), printing money and giving it to corporations is ultimately allocation of capital that doesn't go to other productive uses.

polotics6y ago

MMR? Do you mean Modern Monetary Theory aka. MMT?

me_me_me6y ago

And devaluing purchase power of current money.

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