Readers Write

PHIL SKINNER / PSKINNER@AJC.COM
PHIL SKINNER / PSKINNER@AJC.COM

Seniors hurt by actions of the feds, Federal Reserve

Under 12 U.S.C. Section 225a, the Federal Reserve Bank is supposed to seek three objectives: low unemployment, stable prices and moderate long-term interest rates. For many years, the Fed has decided moderate long-term interest rates do not apply. Now it wishes to interpret stable prices as meaning the average over many years, knowing the past several years have seen little inflation. Translated: It expects significant inflation. While Democrats rush to redistribute wealth through another $3 trillion “stimulus,” it should be noted much of the harm will be experienced by middle-class seniors who aren’t financially savvy. They are invested in instruments like CDs. They are not experiencing the market increases brought on by the money the Fed is now printing — action that boosts the stock market to the benefit of the wealthy, exacerbating the wealth gap. Seniors will take the inflation hit worse than others. Financial recklessness from 2012 to 2019 is behind the low Fed rates (and thus, low CD rates). Those rates need to stay low to prevent civil unrest had they risen to a normal level.

ALLEN BUCKLEY, ATLANTA

Congress should act to help clean energy, farmers

The article, “BP cuts dividend as virus hastens moves to curb oil output” (Business, Aug. 5), bridges the gap between the viral breakout and long-term threat of fossil dependence. It is doubly encouraging to witness the coming of age for “net-zero strateg(ies).” I am an advocate for more clean power because scientists are telling us if we keep pumping carbon from fossil sources into our atmosphere, we will see increased storms and species threatened on land and in the seas. The horrible explosion in Beirut also reminds us that human negligence has disastrous consequences. It is heartening to realize big business is planning wisely for the future. Even Congress is waking up despite these troubled times. Our leaders are realizing energy companies deserve assistance, as do farmers. The Growing Climate Solutions Act in Congress is preparing agri-business for a clean energy future. Let’s ask Sens. Loeffler and Perdue to support it.

BOB JAMES, ATLANTA