Monday, 24 July 2017

Monthly Archives December 2010

“The Fed’s Dual Mandate Is Not The Problem” – WSJ

Posted by Tom Duncan
December 28, 2010

“While some clarification of its price-stability mandate might help, the central bank is already required to keep credit growth in check. Its full legal mandate is as follows: “The Board of Governors of the Federal Reserve System and the Federal Open Market Committee shall maintain long run growth of monetary and credit aggregates commensurate with […]

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“Current course leads to inflation”

Posted by Tom Duncan
December 27, 2010

“The Federal Reserve, and the Congress, are both playing a high-stakes game of risk. Essentially, the one is betting that it can spend its way out of our recession and unemployment problems and the other is betting that it can add huge amounts of liquidity — money — to the system and cut it off […]

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“For Tough Fed Call, Even Hindsight Is Not 20/20” – WSJ

Posted by Tom Duncan
December 27, 2010

“The world has changed since the Federal Reserve decided in November to purchase an additional $600 billion of U.S. Treasury bonds to give the U.S. economy a lift. The U.S. economy looks stronger. The government is unexpectedly cutting taxes. The Fed is facing stiff political criticism at home and abroad. In part as a result […]

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“Fed’s Free Money Lures This Important Writer: Kevin Hassett”

Posted by Tom Duncan
December 27, 2010

“If I were to default on my debts, the world would see that even trained economists who spend little on their appearance can’t make ends meet. Imagine the global panic, the massive selloff, that would follow. Clearly, then, I meet the definition of systemically important. Not convinced? The Dodd-Frank financial law, in creating the Financial […]

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“New Voters May Sway Fed Actions” – NYT

Posted by Tom Duncan
December 27, 2010

“Most economists think the Fed is unlikely to drastically alter its policy direction, though some of the new members could nudge policy toward more restraint and less activism. Two of the four new voters are viewed as hawkish on inflation, meaning that they tend to be more worried about unleashing future inflation than they are […]

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“Fed’s Mysterious Policy: How will we know if it’s working?”

Posted by Tom Duncan
December 23, 2010

“Few economists expect the jobless rate to fall below 9 percent in 2011; the Fed itself projects a range between 8.9 percent and 9.1 percent. That’s why Alice Rivlin, a former Fed vice chairman, expects little from QE2. “I think it was conceived as insurance for the recovery,” she said. “I never thought this was […]

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