The Insightful Troll

Rants and ruminations.

The Fed's Response to COVID-19

Covid-19 is turning out to be one of those events in history that will have a repercussions far into the future. Maybe this will finally expose the gross inequalities in our society. Eric Levitz writes in the Intelligencer

The coronavirus crisis is changing our world in many sorrowful respects. It has rendered our already atomized and aching society poorer, sicker, and lonelier than it was a few months ago. If this week’s bailout legislation plays out as some progressive analysts predict, the pandemic’s economic side effects will accelerate corporate concentration and income inequality.

But this disaster also offers a vital opportunity for beneficent forms of change. By accentuating the perversity of our nation’s employment-based health insurance model — which is now causing millions of workers to lose coverage in the midst of a pandemic — the crisis creates an opening for progressives to remake the politics of health reform. By spotlighting the indispensable labor that grocery store clerks and delivery drivers contribute, it could help unionists illustrate the market’s unjust undervaluation of such “low-skill” work. And by politicizing just about every aspect of our economy — which is to say, by forcing Congress to demonstrate the private sector’s dependence on the state, and to allocate scarce subsidies and credit between corporations, small businesses, and individuals — the crisis gives us a fighting chance to secure a more democratic and egalitarian form of economic governance.

Unless, ya know, we just throw up our hands, curse those clowns in Congress, and wait for Jerome Powell & Co. to restore some facsimile of the world we just lost.