MI072: Why Warren Buffett Might Be Wrong with Matthew Piepenburg (Investing Podcast)
The Intrinsic Value Podcast - The Investor’s Podcast Network
00:00
The Federal Reserve's Emergency Powers Clause
The Federal Reserve Act has a little emergency powers clause, which basically allows them to continue to buy and buy more credit instruments. I think the Fed has basically killed capitalism. What we really do have right now is a Fed supported securities market. It's basically Wall Street socialism. At some point, when you have too much debt, you destroy any potential for economic growth. When your government debt hits a ratio or once it crosses a 90% ratio of debt to GDP, you lose a third of growth.
Transcript
Play full episode
