Saturday, April 20, 2024

The Fed Raises Interest Rates Again, And Banks Drool

This week a group of rich bankers that I would assume all have men who speak no English drive them to the Federal Reserve decided to raise the interest rates again. They claim that they are fighting the war on inflation which still makes no sense.

You see, I’m the Average Man and I see it just how the basic person sees it – and when it comes to the economy I learned in middle school that people have to spend money – and need things to spend that scratch on – to keep it going.

In a nutshell, if I remember correctly people buy stuff, which employs the people that sell it to them and then in turn makes a profit which leads to a salary and then the entire system repeats itself. I guess the best analogy I could use to describe this fragile economic system would be thinking of photosynthesis. So when you make things expensive because there aren’t enough things, nobody can afford to buy them or they buy less to save money. Then businesses lose money because they aren’t selling enough things, and they have to fire people and so on and so on. 

My thought process is, shouldn’t the goal be to make things cheaper? Not expensive to the point where nobody can afford to buy anything which in reality would just grow more debt because people would turn to using credit which lets not forget comes with an interest rate. 

Let us not forget that the interest rate is what makes a bank or a credit card money. Take the average home loan for example, think about how much of your payment goes towards interest versus principle. I mean, it’s clear that the only people who want an interest rate hike are the banks.

Oh yeah, let’s also remember that big banks also fund campaigns for politicians. The way that Biden is running Americans into the ground the democrats are going to need a lot of political campaign funding if they have a chance at winning. 

And never once have you heard lately from anybody in this regime who runs the show about the need to make more things for folks to buy. More things = cheaper things, you know. But maybe they don’t know.

And why are they running the show, again?

The interest rate hike is pretty much the loophole to avoiding another 2008 economic downfall. Maybe.

During that time banks were just giving anyone a loan without doing their due diligence to make sure that person could actually pay it. That’s the way the government wanted it, if you remember right.

Jump to 2022 and banks have to go through more steps to give out a loan which slows up the process and makes them less profit. It’s clear that banks aren’t giving out as many loans these days because as the middle and lower class get dug deeper into economic depression they can’t afford a loan. It then makes sense to just up-charge the people that can afford a loan. The question however still remains why are interest rates going up again?

Well I have a few Average Man theories…

Theory 1 – It’s clear that Biden’s mental health is on the decline trying to shake hands with imaginary people and mumbling off his speeches like a drunk soccer fan at the pub. Biden wants to run again in 2024, but to take on Trump he’s going to need a lot of funding from his Wall Street contributors to construct a robot version of him that will have stronger mental abilities. 

I’m not really joking about this. Here, look…

Theory 2 – Hilary Clinton gets tons of funding from Wall Street and needs money for a new Netflix reality dating special she’s doing with the Obama’s. It’s titled “Bill’s saxophone of love.” 

Theory 3 – Banks need the money because executives can’t afford the Wall Street essentials such as Rolex’s, Cocaine, Strippers, bottles of 1974 Merlot, and more cocaine.