Topic: Monetary Policy

“Ron Paul: Financial Reform Solved Nothing”

– September 1, 2010

“Just pretending that we can continue with the same monetary policy, the same Federal Reserve system, and all these guarantees sort of concedes that we’re going to have another bubble. If we have regulations and plans for how we distribute these assets …

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“Fed leaders had varied views on August policy action”

– September 1, 2010

“Federal Reserve officials were divided at their Aug. 10 meeting over whether they should resume purchases of Treasury bonds and what impact the move could have on the nation’s economy, according to minutes released Tuesday. In the end, the Fed’s polic …

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“Spreading Hayek, Spurning Keynes”

– August 30, 2010

“To these free-market economists, government intrusion ultimately sows the seeds of the next crisis. It hampers what one famous Austrian, Joseph Schumpeter, called the process of “creative destruction.” Governments that spend money they don’t have to c …

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The Recovery is Artificial

– August 27, 2010

“The stimulus is causing an artificial rebound in the economy that cannot be maintained, says Jerry Jordan, former president of the Federal Reserve Bank of Cleveland.” Watch it here.  “The Recovery is Artificial” Jerry Jordan MoneyShow.com, August 19, …

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“Fed Off’ls at Jackson Hole Discuss Tough Policy Challenges”

– August 26, 2010

“Federal Reserve policymakers and many of the world’s other top central bankers are gathering Thursday for their annual retreat and symposium in the shadow of the Grand Tetons. They are also meeting in the shadow of looming economic and financial probl …

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Is There a Government Bond Bubble?

– August 25, 2010

“YES, there is a government bond bubble. And it’s huge. Uncle Sam and his counterparts in the EU and Japan are broke and are, almost surely, going to print vast quantities of money to cover their enormous spending obligations. The printing presses are …

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Why QE Could Trigger a Collapse of the Dollar

– August 23, 2010

“A week ago, the Federal Reserve initiated a new program of “quantitative easing” (QE), with the Fed purchasing U.S. Treasury securities and paying for those securities by creating billions of dollars in new monetary base. Treasury bond prices surged o …

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“Treasure 10-Year Yields Near 17 Month Low”

– August 19, 2010

“The Fed’s purchases today will be its second this week, after it bought $2.551 billion of notes on Aug. 17. The central bank plans to purchase about $18 billion of U.S. debt by the middle of September using the money from principal payments on its hol …

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“Fed May Reemerge as Bigger Buyer With Resumption of Treasury Purchases”

– August 17, 2010

“The Federal Reserve will likely reemerge as the biggest buyer of Treasuries when it resumes purchasing U.S. government securities today to prevent money from draining out of the financial system. JPMorgan Chase & Co. strategists estimate the Fed w …

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The Fed Can’t Solve Our Economic Woes

– August 16, 2010

A policy of low interest rates is a textbook response of monetary authorities to the economic weakness brought on by deficient aggregate demand. The policy is justified by pointing to various ways in which money can promote economic activity—including …

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“Treasury Fixing Mortgage-Finance System Juggles Limitless Bailout, Economy”

– August 16, 2010

“The U.S. Treasury Department, hosting a summit tomorrow on how to repair the mortgage-finance system, may get a blunt message from stakeholders in an industry tied to 15 percent of the country’s economy: Don’t screw it up. The system’s size and comple …

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“In a Sluggish Economic Summer, No Easy Fix Ahead”

– August 13, 2010

“Typically, the Fed can lower interest rates to encourage Americans to borrow money and spend it, invigorating the economy. But the benchmark interest rate controlled by the Fed has been almost zero for more than a year now. The Fed this week took a ne …

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