In another act of the Federal Government punishing those who are fiscally reponsible, a new report details just how much the Federal Reserve “quantitative easing” has cost America’s savers and investors. Taking from the responsible and giving to the irresponsible, this report estimates that between 2007 and 2012 those with money saved in banks lost $360 BILLION in interest income compared to what they would have made if the Fed didn’t start printing money out of thin air.

MarketWatch – It’s a fact that’s been often noted and bemoaned: By suppressing interest rates in an effort to stimulate the economy, the Federal Reserve’s quantitative easing campaign boosted borrowers and banks at the expense of retirees and other income-oriented savers and investors. A recent report from McKinsey Global Institute MGI attaches some dollar figures to these “distributional effects,” and the sums are eye-catching: They estimate that between 2007 and 2012, U.S. households cumulatively lost $360 billion in interest income compared with what they would have earned if rates had followed their pre-recession trends. As Timothy Taylor, editor of the Journal of Economic Perspectives, points out this week on his blog Conversable Economist, this drop in interest income almost certainly had a bigger impact on households that were at or near retirement age than it did on younger people. Older families, after all, are far more likely to have amassed some savings and invested some or most of those savings conservatively, while 30- and 40-somethings are more likely to be net borrowers, carrying mortgages, student loans and the like while investing more heavily in stocks.

Read more at: Report: Fed’s QE policy cost U.S. savers $360 billion – Encore – MarketWatch.