Topic: Monetary Policy

Economic Education, Inflation, Monetary Policy

Economics is Not Easy

– July 20, 2023

” Since everyone looks to prices for accurate information about relative scarcity, having prices that are being inflated artificially is misleading, and results in multiple different economic actors all trying to expand at once.” ~ Michael Munger

Central Banking, Currency, Inflation, Monetary Policy

Fed Up with Tightening?

– July 19, 2023

“Provided the recent monthly inflation figures give us an accurate forecast, the real federal funds rate is significantly above the natural rate. This indicates monetary policy is restrictive.” ~ Alexander W. Salter

Central Banking, Inflation, Monetary Policy

Disinflation is Welcome, but the Fed’s Job Isn’t Done

– July 12, 2023

“The Fed may not need to tighten any further, depending on how markets continue to react to its recent policy changes. But this is no time for complacency.’ ~ Alexander W. Salter

Economic Trends, Inflation, Monetary Policy

The Inverted Yield Curve and Next US Recession

– July 8, 2023

“When will the start of the next recession be recognized? On average since 1980 the NBER has waited eight months before assigning a starting date (and fifteen months to assign ending dates), so if the next recession were to begin in early 2024 it might be publicized by August.”

Currency, Monetary Policy, Sound Money Project

Are GOP Presidential Contenders Prepared to Take On the Fed?

– June 5, 2023

“There’s no time to lose. Aspiring Republicans must get serious about fixing the Fed.” ~ Alexander W. Salter

Financial Markets, Monetary Policy, Sound Money Project

Waller Offers Common Sense View on Financial Risks of Climate Change

– May 29, 2023

“Climate-related innovation does not seem to pose a unique risk to the financial system. And lenders have a long history of adapting to technological innovation.” ~ Bryan Cutsinger

Government, Inflation, Monetary Policy, Regulation

We Are Measuring Inflation All Wrong: Non-Housing Inflation is Very Low

– May 28, 2023

“Lagged OER and rent overstated inflation by more than two percentage points over the past ten months – raising it to 3.3 percent from 0.6 percent.” ~ Alan Reynolds

Inflation, Monetary Policy, Sound Money, Sound Money Project

Has the Disinflation Process Stalled?

– May 26, 2023

“Fed officials may worry that the disinflation process has stalled. For this reason, the latest data likely increases uncertainty about the future course of monetary policy.” ~ William J. Luther

Economic Trends, Inflation, Monetary Policy, Sound Money Project

What’s Next for the Fed?

– May 22, 2023

“A wide range of outcomes are still possible for 2023, ranging from stagflation to a ‘soft landing.'” ~ Thomas L. Hogan

Financial Markets, Inflation, Monetary Policy, Sound Money Project

Three Proposals for Price Stability

– May 20, 2023

“As a ‘dark horse’ candidate, Ramaswamy has a greater burden of proof before the electorate. He needs to prove his policy proposals are a cut above his rivals’.” ~ Alexander W. Salter

Central Banking, Fiscal Policy, Inflation, Monetary Policy, Sound Money

How Congress Should Reform the Fed

– May 18, 2023

“Congress should narrow the Fed’s regulatory concerns to maintaining adequate bank capital. It should also consider abolishing the discount window entirely.” ~ Alexander William Salter

Central Banking, Economic Trends, Inflation, Monetary Policy, Sound Money

Can the Fed Continue to Fight Inflation without Risking a Financial Crisis?

– May 18, 2023

“In principle, the Fed has the ability to provide liquidity to the banking system while simultaneously reducing the incentives banks have to make loans.” ~ Bryan Cutsinger