BY TOBIAS BURNS
Following the latest rescues of big banks at the same time the Federal Reserve is warning of a recession that could put more than a million Americans out of work, economists, historians and market commentators are drawing comparisons to previous eras of global capitalism when the government and the banking sector were more officially entwined.
As the Fed responds to the current wave of profit-led inflation by punishing not firms and their managers but workers and employees through the labor market, some are even saying that the age of capitalism is dwindling.
“We all came together,” a tie-less JP Morgan CEO Jamie Dimon told CNN last week, referring to his bank’s ostensibly civic-minded bailout of rival bank First Republic at the behest of Treasury Secretary Janet Yellen.