Should The Fed Become a “Social Wealth Fund?”

By Karen Shaw Petrou

On November 30, the New York Times ran an op-ed arguing that the Fed could make a big economic-equality difference by becoming, in essence, a giant equity holder on behalf of the nation’s least wealthy.  This concept takes Milton Friedman’s idea of “helicopter money” one step farther, creating “helicopter equity” in hopes of improving long-term wealth accumulation instead of the consumption for which Mr. Friedman wanted his dollars dropped from the sky.  From a progressive-policy perspective, turning the Fed into a giant, redistributive mutual fund has considerable appeal.  Continue reading “Should The Fed Become a “Social Wealth Fund?””

Is America Really Richer?

By Karen Shaw Petrou and Matthew Shaw

On September 21, the Federal Reserve released its quarterly study of American’s net worth.  As with the Fed’s earlier study on U.S. economic happiness, the release trumpeted the good news revealed in the latest aggregate data.  For net worth, this means a new record in the second quarter, with national household net worth hitting an unprecedented $96.2 trillion.  But, the Fed’s data do not go farther to show which Americans own how much of this giant sum.  We do.
Continue reading “Is America Really Richer?”