Re:Money, Money, Money (and Investing) (2015)
by jongjong on Sunday December 25, 2022 @06:20PM
(#34132580)
This cannot be true since most of the newly printed money goes towards big corporations (e.g. via big government contracts) or through loans to individuals and companies (based on collateral). Who has collateral? It's not the poor! The other way money enters the system is through interest paid out by reserve banks on deposits... Again, it's not the poor who hold huge deposits at the Fed.
The idea that money printing helps the poor is a narrative fabricated to serve the rich and could not be further from the truth. Maybe if/when UBI is implemented, a case could be made but now there's nothing backing that narrative.
Currently, all the newly printed money only serves to subsidize the operations of the rich; allowing them to reduce their margins down to 0 which creates insane anti-competitive moats.
It is inefficient because it requires a constant injection of money because of growing inequality. People think the newly injected money is causing inequality but the reality is that the inequality is growing regardless of whether you inject money or not and injecting more money acts as a temporary pain killer.
A wealth tax deallocates money from the rich to the poor. You might call this redistribution but who is to say that the wealth hasn't been artificially redistributed to the rich?