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Politics : View from the Center and Left -- Ignore unavailable to you. Want to Upgrade?


To: Sun Tzu who wrote (378210)7/24/2018 1:34:42 PM
From: zzpat  Respond to of 542967
 
Correction not coming. It is corporate bank profits.

We can test it in the real world. Since we know inflation and interest rates soared after Volcker raised interest rates in the late 70s and early 80s, threw the economy into a recession and killed inflation and then lowered rates after the recession and after inflation was killed we can test that period of time to see what happened to bank profits. If they went up, interest rate increases are good for bank profits.

I'll provide two links, one you can access to change the data if you think it's wrong and one that shows the image.
fred.stlouisfed.org




To: Sun Tzu who wrote (378210)7/24/2018 4:00:41 PM
From: bentway  Read Replies (2) | Respond to of 542967
 
I've always wondered, why don't we socialize banking? Why does a bank get to borrow money from the government at a super low rate? Isn't it MY government? Is the value added of bank services and risk assumption really worth the extreme increase in the vig to me?