Why The Fed Doesn't Care About The Poorest Half Of Americans (In 1 Simple Chart)

Despite her platitudes to the unemployed (here) and the poor (here), it is clear Janet Yellen’s Federal Reserve policies are aimed squarely at only one segment of the US population – the wealthy. The reason is simple… with an economy built on the back of conspicuous consumption, it’s only the top quintiles of the population’s income earners that spend-spend-spend to keep the dream alive. What’s good for the ‘wealthy’ is good for America, right?

 

 

The top 20% of income earners account for 40% of all consumer spending (and the top 40% of earners account for 60% of the spending)… so why waste time ‘helping’ the lower quintiles…

Don’t forget, Bernanke told us, it’s for Main Street…

  • BERNANKE: FED ACTIONS DIDN’T FAVOR WALL STREET OVER MAIN STREET
  • Bernanke Says US Economy Is Heading Towards Complete Recovery

Just don’t tell Obama (or the Democrats who have been told not to mention the ‘recovery’), or the record number of middle-aged people living with their parents, or the almost imperceptible rise in the employed population since QE began…

 

 

Source: Morgan Stanley




via Zero Hedge http://ift.tt/1rhC8aX Tyler Durden

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