Capital Account Season 1 Episode 133 Jim Rickards: the Fed Is Racing to Create Inflation Before the US Economy Implodes!

In season 1 episode 133 of Capital Account, Jim Rickards, best-selling author and economic commentator, joins host Lauren Lyster to discuss the Federal Reserve's current actions and their potential impact on the US economy.

Rickards starts by emphasizing the importance of understanding the true purpose of the Federal Reserve, which he believes is to protect the financial system rather than the economy. He argues that the Fed's current strategy of creating inflation to boost economic growth is misguided and can ultimately lead to a collapse of the entire system.

The discussion then moves on to the Fed's recent announcement of a new framework that allows for higher inflation targets and average inflation targeting. Rickards criticizes this approach, stating that it will only lead to more inflation and further degrade the value of the US dollar.

Lyster asks Rickards about the possible consequences of the Fed's actions, particularly for savers and retirees who rely on fixed incomes. Rickards responds by highlighting the dangers of negative interest rates, which he believes will ultimately push people to invest in riskier assets and lead to a crash in the markets.

The conversation then turns to the current state of the US economy and the potential impact of the ongoing pandemic. Rickards argues that the economy was in a fragile state even before the pandemic hit and that the current crisis has only exacerbated existing problems.

Overall, episode 133 of Capital Account offers a thought-provoking discussion on the Fed's monetary policies and their potential impact on the US economy. Rickards' insights provide a valuable perspective on the current economic landscape and offer important considerations for individuals looking to navigate these challenging times.