....."Finally, how is expansionary monetary policy supposed to hurt the 99 percent? Think of all the people living on fixed incomes, we’re told. But who are these people? I know the picture: retirees living on the interest on their bank account and their fixed pension check — and there are no doubt some people fitting that description. But there aren’t many of them.
The typical retired American these days relies largely on Social Security — which is indexed against inflation. He or she may get some interest income from bank deposits, but not much: ordinary Americans have fewer financial assets than the elite can easily imagine.And as for pensions: yes, some people have defined-benefit pension plans that aren’t indexed for inflation. But that’s a dwindling minority — and the effect of, say, 1 or 2 percent higher inflation isn’t going to be enormous even for this minority."
This section really pissed me off after seeing my mother's 401k statement over the holidays. Couple that with earning $1.22 of interest on $15,000 of savings for my children's college funds... (that might even be high).
All can see the direction here. It is obvious. The liberal mind wants everyone to be beholden to the federal government. Never mind the founding principles of our country.
Expand away Krugman, and don't worry, I will save anyway even though people like you find it appropriate to penalize me and my family.