What The Rate Hike Means For Us


The silver fox may come bearing gifts this holiday season, as the Fed will (probably) increase the mother of all interest rates—the federal funds rate.federal-funds-rate-infographics1

In an attempt to save the economy from the financial crisis of 2008, the Fed dropped the federal funds rate down to effectively zero. For close to seven years, the rate has not budged. Finally, it seems like the Fed is okay with loosening the grip off the economy’s bike seat, and reigning in some of the money in circulation. Continue reading “What The Rate Hike Means For Us”

Dodd-Frank: The Butt of the GOP Economic Platforms

The Dodd-Frank Act was mentioned several times at the Republican debate by the presidential hopefuls all with the same undertone. It sucks.

Finally, we get a discussion of the economy coming from the party that claims to be on the “right is right” side of economic policy. This is what we buy kegs and host watch-parties. According to all the polls—literally, all the polls—it is the entreé in our meal of issues we give a shit about. Continue reading “Dodd-Frank: The Butt of the GOP Economic Platforms”

Is Financial Regulation the Answer?

The Good Ole Days

The financial crisis of 2008 was a scary time in the U.S. Although the early half of Gen-Y had a hard time getting a job after graduation, a large portion of millennials didn’t really suffer feelings of despair, since most were still in their teens and early 20s. We didn’t have to experience first-hand our asset values melting like soft-serve on a hot, sunny day. As for bankruptcy, job loss, and car repossessions — not our style, not our time.

In order to correct the mistakes that precipitated the financial crisis of the Great Recession, the government passed the Dodd–Frank Wall Street Reform and Consumer Protection Act, effectively appointing referees to call out the banks when they step out of bounds or commit a foul against the consumer. In the five years since the Dodd-Frank Act became law, financial stability has increased, but the effects of heavy regulation are starting to seep through the cracks. Unfortunately, those unintended consequences may hinder economic growth, which has been harder to find of late than a politically correct statement from a billionaire real estate mogul with a combover — but I’m not naming names.

Continue reading “Is Financial Regulation the Answer?”