Peter Schiff: The SVB Bailout Is Another Nail in the Coffin of Capitalism

EXCERPT:

SCHIFF: “Well, American capitalism broke down a long time ago. And the latest bailout effort is just another nail in that coffin.”
INGRAHAM: “Well explain that for the viewers please.”
SCHIFF: “Well, you know, the reason that we are now having another financial crisis, and it would already be a lot worse if we hadn't made the mistake of backstopping all these insolvent banks. But the reason they got insolvent was because of the government. The Federal Reserve kept interest rates at zero for 12 years, quantitative easing, and during that time, banks and pretty much everybody else loaded up on low yielding debt. But in order to keep interest rates that low, the Federal Reserve had to create massive inflation. They call that quantitative easing. And the adverse consequences really started to show up last year, when we had these big elevated increases in the CPI. And so inflation was becoming such a burden on Americans that the Fed was forced into taking action.”