It works to create "boom-bust cycles" that benefit the rich because only the rich are positioned to profit whether markets are booming or busting.
Here's the deal...
First, The 1% makes money "running markets up."
And then they make money "running markets down."
The bottom line is this: the rich profit even more by booming AND busting.
Take Trump as an example.
Devious Donald has always been clear about his love for bad markets because, in his particular market, the collapse of real estate value provides opportunity to "buy low," knowing full well that "when the market turns" he'll be able to "sell high."
When the rich use "the free market" to arrange "boom-bust cycles," they literally make out like bandits because they are robbing the value that gets lost in down markets.
Only the rich have enough money to buy ravaged assets whose value is depleted during plunging markets.
You, on the other hand, lose everything you've got.
During "economic busts" The 1% scavenge the ruins.
And you, my friend, are left holding the (empty) bag.
Between 2007 and 2010, the net worth of American families plummeted 40%