Age of Easy Money Full Documentary – Frontline PBS

Silicon Valley Bank has collapsed and federal regulators have taken control.... Of trying to theme any sort of contagion effect, impacting tech startups, leaving

Customers in limbo, raising concerns about the broader economy.

If we hadn't been driving our economy with easy money and then trying to really quickly undo that, we wouldn't be having these problems now.

Americans can rest assured that our banking system is safe.

In a special frontline investigation.

We are now facing a world of many potential outcomes.

The inside story of an age of Easy money,

Every financial function had failed and we had to restore them.

Do you think it was a radical policy?

I most certainly did think it was a radical policy.

The Fed inject money into the economy.

Fuel about recent government stimulus program. When the Fed changes to the primary engine of economic growth. It's supposed to be our democratic institutions that do that, not the central bank.

And an uncertain future.

For American families. It's not just that we're getting more calls, it's that the folks who are calling us are in greater

Distress. Correspondent James Jacoby investigates.

How remote is the possibility that there could be much higher unemployment in the next couple of years?

I mean, I wouldn't say it's remote

Now on frontline.

It really is difficult to overstate how important this story is and how much it matters.

I don't know if I can safely say that we're at the bottom because of what we're looking back at this age of Easy Money.

Federal Reserve Chairman, general Powell speaking at an annual economic summit in Jackson Hole, Wyoming is the speech.

Yep. Laura on Powell

And his colleagues at the Fed are under pressure to curb inflation.

Powell could take a harder line or he could simply play his cards close to the best.

Here We go, He's on the move.

It's gonna be a tough crowd at Jackson Hole because of the fact that he made a call simply last year that didn't age well.

Now, every year Federal Reserve holds an economic symposium at Jackson Hole, Wyoming in August. It's sort of like the Oscars of the Fed World. And you know, media comes from all around the world and the Fed Chairman gives a keynote speech that gets all the attention, all eyes on Jackson Hole this morning.

He's giving a speech, is Central Banker to the world.

So Jackson Hall plays a very important role in the Central Bank community because you're basically bringing the central bankers of the world and economists to a place to discuss critical issues. So people look to Jackson Hall to see is there a reset in monetary policy?

The economy has slowed. Yeah, yeah. We're likely in recession and perhaps going deeper into it, are they gonna keep taking us down this road? Are they gonna keep slamming the brakes on rates raising 75 basis points until we've got job cuts across the corporate sector?

Central bankers were saviors post global financial crisis. This time it was different. The mood was more, uh, you know, for the first time, uh, we're failing.

Is Powell ready to risk recession? This is the question.

Sure. Powell, the floor is yours. Please come to podium.

Jackson Hall in 2022 was quite important.

Thank you Peter. And good morning everyone.

The market we're feeling in the summer that maybe the Fed would've a pivot would stop raising rates and maybe start cutting them.