(1) The impropriety of a multimillionaire, like Jerome Powell, to state that people do not want to work because of social assistance programs. The Federal Reserve in response to questions about the low workforce participation rate includes fiscal programs that are not in “its lane“.
According to the Washington Post, covering Jerome Powell’s testimony for the Monetary Policy Report before the Senate Banking Committee, Powell “suggested that Congress work on policies to improve education, address the opioid crisis and ensure that benefits for struggling Americans don’t discourage people from working” (emphasis mine).
Comment: Maybe people are not working because of massive offshoring due to globalization.
These programs are matters for elected members of the United States’ legislature. I cannot accept critiques from a multimillionaire like Powell, who–
- is unelected,
- is a beneficiary of extensive corporate welfare, including the Fed’s Quantitative Easing programs (The Fed’s balance sheet is $4 trillion (See H.4.1 summary below.), which only benefitted Wall Street. Powell holds extensive holdings in a Vanguard index fund,
- has enough money, by himself, to take care of all needs for many families, and
- does not have any direct experience of living on the paltry amount called social assistance.
Comment: For D.C. the average Supplemental Nutrition Assistance program participant receives $130.26 per month or $1,563.12 per year. (Source: Henry J. Kaiser Family Foundation) Who would refuse a paying job to live on less than $1,600 per year?
Despite a limitless military budget and a never-ending willingness to rescue Wall Street from the effects of its irresponsible, reckless gambling (most certainly not covered by mere taxation), the focus is on eliminating programs that help (a few) people live in this expensive country. In truth, the programs should be expanded to cover the declining middle class.
Millionaires have no business commenting on this issue, since they all benefit from huge government support themselves! The Federal Open Market Committee’s members also laughed at the unemployed.
The Federal Reserve Board (Board) publishes a weekly digest of its activities on its website. The digest is called the H.2 Release and is published every Thursday. The release for the week ending March 16, 2019, is below.
H.2 Release–Actions of the Board, Its Staff, and the Federal Reserve Banks; Applications and Reports Received
|Bank Holding Companies||BB&T Corporation, Winston-Salem, North Carolina — (1) interagency notice of public meetings in Atlanta, Georgia, on May 3, 2019, and Charlotte, North Carolina, on April 25 on the proposal to acquire SunTrust Banks, Inc., Atlanta, Georgia, and its subsidiary, SunTrust Bank, and to merge SunTrust Bank with and into Branch Banking and Trust Company, Winston-Salem; and (2) extension of the public comment period through May 3, 2019.
-Approved, March 13, 2019
CenterState Bank Corporation, Winter Haven, Florida — to merge with National Commerce Corporation, Birmingham, Alabama, and thereby indirectly acquire National Bank of Commerce.
-Approved, March 11, 2019
|Forms||Forms — final Board review to extend with revision the FR Y-8, FR 2248, FR 2320, FR 2644, FR 2886b, and the following families of reports: (1) FR Y-9 (FR Y-9C, FR Y-9LP, FR Y-9SP, FR Y-9ES, and FR Y-9CS), (2) FR Y-7 (FR Y-7, FR Y-7N, and FR Y-7Q), (3) FR Y-11 (FR Y-11 and FR Y-11S), and FR 2314 (FR 2314 and FR 2314S).
-Approved, March 14, 2019
|Personnel||Division of Supervision and Regulation — appointment of Lisa Ryu as senior associate director.
-Announced, March 11, 2019
Management Division — appointment of Tara Pelitere as senior associate director and chief technology officer and Tim Markey as deputy associate director and chief of staff.
-Announced, March 13, 2019
|Regulations and Policies||Regulation KK (Swaps Margin and Swaps Push-Out) — publication for comment of a joint interim final rule to ensure that any legacy swap currently exempt from the swap margin requirements would not become subject to them if amended solely for the purpose of being transferred from an entity in the United Kingdom (UK) as a result of a non-negotiated UK withdrawal from the European Union.
-Approved, March 11, 2019
|Enforcement||The Goldman Sachs Group, Inc., New York, New York — issuance of a consent order of prohibition and an order of assessment of civil money penalty against Tim Leissner, and issuance of a notice of prohibition against Ng Chong Hwa a/k/a Roger Ng, both former institution-affiliated parties of various nonbank subsidiaries of The Goldman Sachs Group, Inc.
-Announced, March 12, 2019
Federal Reserve Board: Balance Sheet (H.4.1 Release)
The Board publishes data of factors affecting reserve balances. The digest is called the H.4.1 Release, and they are published every Thursday (or the next business day if the publication date falls on a federal holiday). The release for March 21, 2019, is below.
[Note: The blog will cover the line titled “Total Factors Supplying Reserve Funds.”]
H.4.1 Release–Factors Affecting Reserve Balances
Total factors supplying reserve funds (as of March 20, 2019): $4,010,655 (in millions of dollars). (On September 26, 2007, this amount was $900,473 (in millions of dollars)).
(See the release for further information.)