If The Fed Is Always Wrong How Can Its Policies Ever Be Right?
byOne of the most curiously persistent surrealisms of Washington, DC is the reflexive deference given the Federal Reserve System. The Washington elite tends to…
Federal Reserve
Snider: The FOMC Gets Slower Still
bySource: http://www.alhambrapartners.com/2015/08/18/the-fomc-gets-slower-still/ Looking back now, January was such a weird month. You had, on the one hand, the barely restrained giddiness of the mainstream…
Zero Hedge: After 6 Years Of QE, And A $4.5 Trillion Balance Sheet, St. Louis Fed Admits QE Was A Mistake
bySource: http://www.zerohedge.com/news/2015-08-19/after-6-years-qe-and-45-trillion-balance-sheet-st-louis-fed-admits-qe-was-mistake As you’re no doubt aware, the Fed is fond of using the research departments at its various branches to validate policy and…
Eugen von Böhm-Bawerk: How the FOMC got institutionally corrupt
byFrom Eugen von Böhm-Bawerk, source here: http://bawerk.net/2015/07/16/how-the-fomc-got-institutionally-corrupt/ The Humphrey-Hawkins Full Employment and Balanced Growth act signed into law by President Jimmy Carter on October…
Zero Hedge: Fed Admits Economy Can’t Function Without Bubbles
byIn short, the dot-com bust was the last chance for the Fed to pivot and liberate the American economy from the corrosive financialization it…
On To Immense Prosperity: The Brady-Cornyn Monetary Commission Proposes To Lead The Fed Out Of Uncharted Territory
byWe pixel-stained wretches of the Mass Media lately have been busy as ever transfixing you with spectacles. Meanwhile, something really important — softly outside…
Laying the Foundations
byAs the Yellen Fed inches painfully towards taking its first ‘data-dependent’ steps to raise rates (albeit with the promise that such a process will…
The US natural unemployment rate and the Fed’s interest rate policy
byIn May the US unemployment rate stood at 5.5% against the rate of 5.3% for the natural unemployment also known as the Non-Accelerating Inflation…
Bonds and banks
byThis year has seen some big losses develop in the bond markets, though prices have stabilised in recent days. The chart above is of…
How Could the Fed Protect Us from Economic Waves?
byMainstream economists tell us that the Federal Reserve protects us from economic waves, indeed from the business cycle itself. In their view, people naturally…