Dashboard for the Leading Network of Stock Market and Personal Finance Blogs

Visit Seeking Alpha

Can the Fed Be Programmed?

Posted on May 15, 2008

Where has all this Federal Reserve maestroing got us? The business cycle is not obsolete and we ve moved from bubble to bubble with little benefit from the experience. I present two scenarios for programming Fed interest rate actions. Former Federal Reserve Chairman Volcker reminded us in yesterday s Congressional hearing that the Fed is still the lender of last resort. As such, it must also have a regulatory role to manage its risk and to know what s going on. But we must clearly distinguish to difference between interest rate policy and managing liquidity.The Fed s dual mandate...

Original article link


bernanke , fed , federal reserve , inflation , the fed