![]() ![]() ![]() Silicon Valley Bank has taken its fair share of criticism for its collapse earlier this month, with many slamming its management, but the Fed also had a role to play in its downfall. “In other words, their effective preference is for class war over financial stability.” “Hard to face up to what central bankers are doing” ![]() “ivil servants that head up central banks seem willing to sacrifice private banks and global financial stability in their rush to raise rates, crush demand, discipline workers and shrink the nation’s income,” Ann Pettifor, a British economist and frequent economic adviser who predicted the 2008 global financial crash with a prescient 2006 book on mounting debt worldwide, wrote in her Substack newsletter Sunday. But while loosening job markets might help cool down the economy, it also means layoffs, joblessness, and a potential recession-an unacceptable and risky trade-off for some critics. The Fed and other central banks have underlined tight labor markets and high wages as key underlying causes behind inflation. ![]()
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