NPR’s Marketplace regularly invited panelists to guess what Jay Powell was thinking in five words or less. Now that only takes 3 letters, “WTF!” (The F, of course, is for “Finance.”). After pounding Powell for not stupidly cutting rates in the face of Trump’s stupid, debt funded, inflationary spending on ICE and Space, inflationary work force deportations, inflationary tariffs, inflationary business uncertainty crippling production decisions, inflationary policy decisions to halt lower cost renewable power production and an inflationary war—and I’m sure there are others—he appoints a guy who is focused on fighting inflation with high rates.
Hmmm...is hawkish Kevin about to institute QE to combat the nasty demon inflation? With the dollar losing its purchasing power due to decades long inflating QE policy and the country facing a debt crisis this would be suicide but the Fed has a one tool toolbox. If all you have as a hammer everything looks like a nail.
A bit inside baseball, Justin, but what do you think of Warsh's preference to move away from the Fed's plentiful reserves system (and presumably back to the pre-GFC system)?
Candidly, I am cautiously optimistic, much more today than in the recent past
NPR’s Marketplace regularly invited panelists to guess what Jay Powell was thinking in five words or less. Now that only takes 3 letters, “WTF!” (The F, of course, is for “Finance.”). After pounding Powell for not stupidly cutting rates in the face of Trump’s stupid, debt funded, inflationary spending on ICE and Space, inflationary work force deportations, inflationary tariffs, inflationary business uncertainty crippling production decisions, inflationary policy decisions to halt lower cost renewable power production and an inflationary war—and I’m sure there are others—he appoints a guy who is focused on fighting inflation with high rates.
Good common sense, Justin!
Hey Justin, how about interviewing Alasdair Macleod?
Hmmm...is hawkish Kevin about to institute QE to combat the nasty demon inflation? With the dollar losing its purchasing power due to decades long inflating QE policy and the country facing a debt crisis this would be suicide but the Fed has a one tool toolbox. If all you have as a hammer everything looks like a nail.
A bit inside baseball, Justin, but what do you think of Warsh's preference to move away from the Fed's plentiful reserves system (and presumably back to the pre-GFC system)?