…FWIW, I think the Federal Reserve is the #1 culprit behind the “pension crisis,” and the “financial crisis.” Their policies — of not restraining markets that have clearly taken on far too much risk…and then “stimulating” (via artificially suppressed interest rates) when bubbles burst — have made it nearly impossible to accurately assess risks and invest in a responsible way. Investors are basically *forced* to take on too much risk during the low interest and/or bubble years, and are led to believe that the Fed will cover them tracks when things fail……[/quote]
I think that is fair. While there are many problems with our system that could bear fixing, none are as critical as the role of the Fed. Greenspan and Bernanke did all they could to inflate unsustainable asset bubbles. Bernanke backstopped all the bailouts. By aiming to prevent the consequences of economic and financial mistakes flowing to the protagonists, he has removed accountability from our financial and economic system. The Fed allowed the current top-heavy distribution of wealth, and the concentration of power amongst a Wall Street-Washington DC axis of the elite, to continue.