What Will the Fed Do in the Next Emergency?

null Dec. 15, 2023 4:33 pm ETThe Federal Reserve building in Washington, Jan. 26. Photo: joshua roberts/ReutersThe Federal Reserve’s mission creep is well known, but Emre Kuvvet’s op-ed “Sun Shines on Fed “Doomsday Book” (Dec. 12) sheds new and troubling light on how far the Fed’s mission might go. As if it weren’t bad enough that, during quantitative easing, the Fed bought trillions of dollars in mortgage-backed securities, specifically subsidizing housing, the highly influential New York Fed bank has let it be known that it believes “gaining ownership stakes in companies” is also within the Federal Reserve Board’s powers. Government ownership of the means of production is an hallmark of socialism, by the way. In the next “emergency,” expect the Fed to buy shares in failing electric-vehicle and renewable-energy companies.Copyright ©2023 Dow Jones & Company, Inc. All Rights Reserved. 87990cbe856818d5eddac44c7b1cdeb8Sponsored OffersTurboTax: Up to $67 off online tax services with Turbo

A person who loves writing, loves novels, and loves life.Seeking objective truth, hoping for world peace, and wishing for a world without wars.

Opinion Dec 15, 2023 Add to Reading List

What Will the Fed Do in the Next Emergency?

null

Dec. 15, 2023 4:33 pm ET

The Federal Reserve building in Washington, Jan. 26. Photo: joshua roberts/Reuters

The Federal Reserve’s mission creep is well known, but Emre Kuvvet’s op-ed “Sun Shines on Fed “Doomsday Book” (Dec. 12) sheds new and troubling light on how far the Fed’s mission might go. As if it weren’t bad enough that, during quantitative easing, the Fed bought trillions of dollars in mortgage-backed securities, specifically subsidizing housing, the highly influential New York Fed bank has let it be known that it believes “gaining ownership stakes in companies” is also within the Federal Reserve Board’s powers.

Government ownership of the means of production is an hallmark of socialism, by the way. In the next “emergency,” expect the Fed to buy shares in failing electric-vehicle and renewable-energy companies.