Money is King

Money is King. Trump is money and money is King.

I am reminded of the kings of centuries past who fought wars amid royal extravagance and ran up debts galore. When the peasantry was asked to pay more in taxes it was met with sullen resistance that eventually became outright rebellion. Usually before things came to this point the king and his court would come up with some scheme to raise money. This often took the form of a scheme to sell the people stocks or bonds with the chance of riches for all. In the end everyone had to face the fact that there was no wealth to create out of thin air, and that the schemes were just that.

The Federal Reserve is coming out with some sort of interest rate increase today. In the past any threat to a rise in rates send shudders through financial markets. Not so much now. The King has promised prosperity for all. And all expect the Fed to drag their heels on any limits to the creation of money. All are looking forward to inflation and do not expect any institution concerned with money creation to stand in the way of everyone getting rich. We may be at the start of a fantastic time in the world and the country that may last for years and may give the illusion of properity. Inflation is a joyous event to those with debt. The prospect of debts becoming smaller is intoxicating. I wonder how the peasants will react to higher prices for goods after they realize any wage gains will not keep up with the rate of inflation. When they are dissappointed yet again there will be hell to pay. This may take some years.