Or maybe Prez is gonna take a page from Moscow Mitch and sabotage the Economy for the next (Progressive Dem!) Prez. He seems happy enough, sabotaging most everything else.

We've gone full Calvinist- the wealthy are preordained with Divine success, and the poor are predestined to failure as a sign of God's judgement.

@4 Stephanie Kelton and the rest of Modern monetary theory would disagree with you, MMT is the idea that you can use deficit spending to boost the economy from the bottom up, the multiplier effect is more pronounced when you give it to popes, we’ve already proven that you can’t do it from the top down. Thanks Obama.

Correction *poors

Interest rates have been too low for too long. It allows people too take on too much risk, which is why we have record high debt. Now banks are starting to hold their money in treasuries instead of lending it to other banks because risk keeps creeping higher. We're going to have to raise eventually, better to do it before the interest outgrows our slowing GDP.

raise rates*

@12 I get that the there's a difference between the long term and short term interest rates but long rates tend to follow short rates. My understanding is that the repo market is suffering liquidity shortage because the banks who have historically been active in the repo market are becoming less so (because of the risk of a repo market rate spike). Instead, banks now prefer treasuries. Higher interest rates will make treasuries less attractive.