Some might disagree with my view that the U.S. is a centrally-planned economy (and thus, non-capitalist; more of a social-fascist economy). But it is. A central planning board carefully rigs the three most important features of a large economy: its interest rates, its money supply, and the practices of its financial markets and banks.
Of course, that doesn’t mean our economy always co-operates with our brave central planners. And it doesn’t necessarily mean that our planners even have a clue. This chart (via ZH) shows some of their cluelessness:
It tells a story like this:
- In 2009, they
thoughtpublicly forecast that they’d have interest rates back to normal by 2011.
- In 2010, they publicly forecast that they’d be rigging up some normal rates by 2012.
- And so on, with each new year. Today, they forecast having normal rates by 2016-17.
These are some of the very people (*cough* Janet Yellen) who had no clue that the 2008 Global Financial Crisis was coming.
As to the economy: If it were recovering (for real) all these years, interest rates would indeed have been back to normal by 2010-11. But our economy hasn’t been recovering much, all these years. Just the markets. (Oh, wait.)