It is not driving the economy. That's the problem that is being addressed by the continuing printing of money to issue bonds. The banks have every incentive to lend, but they don't. Why? You can see that the banks have a rather simple calculation.

Make money via:

* Lend small amounts to people at a relatively low rate who have an unqualified risk value due to covid and justify the administration of that loan that might get written off at 50% value. Profit, hopefully.

* Buy some sub 1% bonds. Profit a little.

* Buy equities (like mortgages) that are the most reliable (of the other unreliable lending) payoffs. Profit...until people start losing their housing and properties all at once. The govt helps indemnify against this a bit, but in the end of the day you get your inflated property if the little people can't tough it out.

* Buy stocks (like their own) because of the massive debt bubble inflating tech and financial stock portfolios that grow as the massive bond purchases prop it up (every company tries to diversify by buying a couple million here and there). Profit.

* others that are not lending related...

> (3) We're witnessing one of the greatest wealth transfers in the history of our country,

Yes, for the reasons listed. Small banks are doomed. Even credit unions are combining.

> 4) ...resulting in massive dislocation of where dollars flow to residential and commercial real estate.

I'm not sure why you were so vague. Residential real estate has been inflated and commercial real estate has cratered.

These trends will continue as long as there are covid fears and lockdowns. The economy is already so damaged, it will not recover in our lifetime and will likely result in an alternative currency...that is also strictly controlled by the central banks, of course.

YMMV