Education and Training Better Than Massive Bond Buying
"More needs to be done to strengthen the recovery. Too many Americans still can't find a job and worry how they'll pay their bills and provide for their family." - Janet Yellen, nominee to [...]
Why the Fed has Disappointed and May Continue to do so
Economists debate whether the Federal Reserve has the tools to fix today's unemployment problems. They express frustration that, after four years of super-low interest rates and the Fed's extraordinary money-pumping, we still suffer from [...]
Why Fed Should Change Aim to a New Possibility: Deflation
Recent data show that the U.S. economy has lost momentum. As a consequence, the debate within the Federal Reserve is intensifying over the best way to prevent a double dip into a recession, coupled [...]
A Simple Choice Not to ‘Swap Horses When Crossing Streams’
"I was not going to be the Federal Reserve chairman who presided over the second Great Depression." -- Ben Bernanke President Barack Obama decided to reappoint Ben Bernanke to a second term as chairman [...]
Ed Hymen Predicts Federal Reserve will reduce Federal Funds to 4% over next 5 Quarters
In the past, I have never commented on the prediction of economists; however, given the turbulence of the stock market, I thought I would try to summarize Mr. Hymen’s thoughts. Mr. Hymen over the [...]
Monetary Crisis Tests Federal Reserve Chairman’s Toolbox
In today’s Wall Street Journal, David Wessel pointed out that the Federal Reserve which was created in 1913 was equipped to prevent and respond to commercial banking panics. The problem in the current crisis [...]
Commercial Paper Federal Reserve Reduction in Discount Rate Eases Logjam in Corporate Borrowing
The action by the Federal Reserve to not only lower the Discount Rate but also to encourage commercial banks to borrow from the Federal Reserve eased pressure on a crucial part of the financial [...]