Michael Bloomberg said this recently and he is right. If one had assets prior to 2008, particularly of the stock variety, there is a very good chance that your portfolio is looking pretty good these days. The Fed through various means has inflated markets artificially.
If however one had no assets prior to 2008, or went bust during the chaos of the Crash one is probably still struggling.
The Fed, the central planners, have made the rich much richer. (For the time being.) It wasn’t free market capitalism which did this.
(From The New York Sun)
It’s a long way to the gold standard from the remarks of Messrs. Murdoch and Bloomberg. But they are not so far away from the debate in Congress over monetary reform — and over the Centennial Monetary Commission to take a strategic look at the Federal Reserve as it begins its second century of operations. That measure has been sent to the floor of the House by the Committee on Financial Services. What a help it would be were Mr. Bloomberg or Mr. Murdoch to endorse the measure.
Not to mention the Republican candidates. Several of them have made clear in private conversation that they are sympathetic to the cause of honest money and the sound dollar. But it is a hard issue to get ahold of when inflation is not showing up in the Consumer Price Index or in the price of gold. Instead we have this phenomenon of asset inflation, with high prices of stocks and luxury real estate. It creates an illusion of prosperity that isn’t widely felt and a sense of inequality that is widely felt.