How the Federal Reserve's Inflation Fight Widens the Wealth Gap

When the Federal Reserve raises interest rates to cool inflation, the pain is not evenly distributed. In this episode of Inequality Conversations with Fexingo, Lucas and Luna examine how higher rates create a 'two-track economy': one where wealthy households with fixed-rate mortgages and large portfolios benefit, and another where lower-income families with variable-rate debt and no financial buffer get squeezed. They trace the mechanism through the housing market, credit card debt, and the stock market, citing data on the top 10 percent versus the bottom 50 percent. The episode offers a concrete, accessible explanation of why the Fed's blunt tool can deepen economic inequality, even when it succeeds at its primary goal. #FederalReserve #InterestRates #WealthGap #Inflation #MonetaryPolicy #HousingMarket #CreditCardDebt #StockMarket #TwoTrackEconomy #EconomicInequality #WealthDistribution #IncomeInequality #FedPolicy #HousingAffordability #DebtBurden #PortfolioEffect #FexingoBusiness #BusinessPodcast Keep every episode free: buymeacoffee.com/fexingo