The Daily Reckoning has just published a frightful exchange discussing incoming Fed chair Janet Yellen’s view of savers. I’m not surprised, but I am speechless. She’s not talking about billionaires here, but every responsible citizen who has tried to do the right thing and live within their means. The only silver lining I can see is that at least she’s honest.
‘Erik Townsend, a retired software entrepreneur turned commodities trader, was at a conference where Yellen gave a speech not long ago. He explained on Jim Puplava's Financial Sense podcast what Yellen may have in store for us:’
“She was talking in her lecture, about how if there was anything she could do to figure out a way to make interest rates negative, she would do that, because she feels that that's what we need to do to make credit as easy as possible for the people. And I asked the obvious question that none of the San Francisco liberals were asking, which is, what about savers and investors? Doesn't that punish them?”
“She said, well, we're coming to the point where we have to consider the role of people who have significant savings and their responsibility in society, that it really is selfish to be hoarding it and that we need to create incentives through government for people to spend their savings, because that's exactly what we need in order to rejuvenate the economy.”
I need a drink!