The zero-interest- rate environment engineered by the Fed has dark moral implications that are made starkly clear in a Mises Institute essay written by Sarel Oberholster: ”It is appropriate to ask by what standards society decides that a homeowner who bought a property priced beyond his means must be subsidized by a pensioner who had saved to survive the income drought of old age? Why must a big bank have access to zero or near-zero cost of funds to carry all those losses making loans while an ordinary saver can no longer afford his child’s tuition?” Click here to access the full essay, which deserves to be widely circulated.
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