Saturday, March 07, 2020

Kansas City Fed Warning Redux

One more important reminder that local fiscal hawks continue warning against current emergency monetary policy as rates move toward ZERO and lower. Cheap money abounds making it just a bit more worthless . . . Read more:

Fed's use of balance sheet policies comes at a cost: George

WASHINGTON (Reuters) - The U.S. Federal Reserve's reliance on maintaining an ample balance sheet to help the economy poses risks to financial stability and the central bank's independence, Kansas City Fed Bank President Esther George said on Friday. "It remains less than clear to me that the longer-run costs of balance sheet policies have been f...


Anonymous said...

Ronnie Reagan ran his "Booming Economy" on a massive tax cut for the Wealthy, running the Mints 25 hours a day and constantly devaluating the Dollar until it all collapsed in the biggest Depression this country has ever seen (even bigger than 1929)!
Now, as The Philosopher Yogi Berra once said, "It's like deja vu all over again".

The Fed's ability to "manage the Economy" has been likened to running alongside a wagon rolling downhill and trying to steer it by kicking the front wheels.

Anonymous said...

maybe the only real news on this blog. Thanks, T.