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Comment by TAForObvReasons | Hacker News Reader

To be fair, the Federal Reserve is not responsible for labor law and the like. They are clearly very late in their response, but it's notable that a non-political organization felt the need to comment.

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I don't think that the person you're replying to is implying its the Fed's fault as an organization. It is the function of people in power (both politically and in the economy) since the 80s having eroded worker's abilities to push back, so it's more an indictment of the system, not individuals strictly.

The comment was massively down voted when I saw it, so I have to assume the reason was because people interpreted the comment as I laid it out. Though now it is out of the light grey

The Fed is responsible for the savings rate of the average American, which is to say, it's absolutely worthless to stick your money in the bank and watch it grow, which would help starve off what they're talking about here.

The average American has no particular reason to stick with a "savings account". They could buy equities and ETFs that are as simple as savings accounts.

You know that high interest rates for savings go in had with high inflation cash never beat's inflation.

I think "starving off" might be exactly what they have in mind.

You are responsible for your rate of savings. I am responsible for mine.

"Job Insecurity of Workers Is a Big Factor in Fed Policy"

https://web.archive.org/web/20100304170139/https://www.nytim...

The Fed has an interest, and influence, on labour conditions, if not direct legislative input.

Unemployment is the other of its dual mandates.

(Though, and crucially, not wage levels.)

The Fed is responsible for QE, including about two Trillion in purchases of Mortgage-Backed Securities [0], which has the effect of making housing more expensive than it would otherwise be. If you're a home owner or debt owner, that's good for you. If you pay rent or a mortage, that's wage suppression.

[0] https://fred.stlouisfed.org/series/MBST

I am interested in the views of those who downvote this comment. My facts are conventional, I'm guessing that my perspective is controversial.

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