Las Vegas casino mogul Steve Wynn says the Fed is running a Ponzi scheme just like Bernie Madoff did. Worse, the Fed is quietly and steadily causing inflation and that hurts everyone, as they bail out the already wealthy at the expense of the rest of us.
“The demand for American bonds wasn’t as great as what it used to be. So what we did is what Bernie Madoff went to jail for: the Federal Reserve printed the money and bought the bonds from the government as if it was really an auction and there was really a buyer.”
“Everyone that works for me — every African-American, every Latino, every Catholic, every Jew, every Italian, every Mormon in this state — finds that when they take a look at their household budget, the money that they have to live on, their living standard, everything has gotten worse. It costs more for fuel. It costs more for clothing. It cost more for Wal-Mart. It costs more for healthcare. It costs more for everything there is.”
Wynn arrived in Vegas in his mid-20’s and built an empire, as chronicled in the biography Running Scared: The Life and Treacherous Times of Las Vegas Casino King Steve Wynn. He has a genuine gift for building and managing casinos and hotels and gets personally involved with the design. The bio so enraged him that he bankrupted the publisher. However the book is back in print. I read it expecting much damning information and found little except that he has some mob friends and was turned down by Scotland Yard to build a casino in Britain. And when it comes to commentary on our economic times, he’s absolutely on target and his sometimes epic rants get lots of media play, as well they should.
The Fed is basically acting on behalf of a tiny number of bankers, continually bailing them out. Currently the Federal Reserve is buying toxic slop mortgages from the banksters. This bails out the banks and gives us, the taxpayers, the bill. If we had actual rule of law, most of the banksters would be in prison. If we had actual capitalism, their banks would have been allowed to fail long ago.
Wynn says Obama failed completely at his most important task, which was to create jobs. Instead, Obama immediately focused on healthcare. Obama’s first stimulus plan was half stimulus and half pork barrel. Further, Obama broke his campaign promises to work towards a balanced budget and provide comprehensive immigration reform when he controlled both houses of Congress. Instead, he and the Fed are causing inflation, and that is starting to pound the middle and working class.
Wynn employs 20,000 people and has self-financed their health care for 45 years. He speaks the truth here.