Patsy, ..***OT***
Re:.Too many people are affected by the FMOC (negatively) and anyway, WHOSE money is it they are controlling???????????
Perhaps you might change your opinion when viewing some facts. Since Greenspan has been head of the Federal Reserve Board (late '87), the U.S. has enjoyed declining inflation, interest rates and unemployment as evidenced by the chart shown below.
stls.frb.org
Also, given that the Fed has the responsibility to keep inflation low and at the same time maintain general price stability and low unemployment, I think they have done a remarkable job as evidenced by the ultimate barometer, the stock market.
bigcharts.com
If you want to learn more about the Fed's responsibilities and day to day operations, an excellent site is listed below.
ny.frb.org
The Federal Reserve creates and executes monetary policy to influence monetary and credit conditions in the economy and thereby contributes to the nation's economic goal of non-inflationary growth. Although the Fed uses three major tools to implement policy, the most important is open market operations.
Finally, two months ago Kudlow was nominating Greenspan for the Nobel Peace Prize and discussed this more than once. He has recently changed his view since two things happened:
1. AG discussed the feasibility of including asset prices and rate of change of asset prices in the overall econometric model in order to better anticipate emergency operations in an Aug. speech at Jackson Hole.
2. The media picked up on this idea and wrongly interpreted it as an indication that the Fed wants to influence asset prices.
It appears that since Larry does more and more public columns, he wants to take the view that appeals to the most. He basically has sound judgement but is pretty far off base about his 'no inflation' views and reasoning about Fed motivations imho.
Cheers,
Lee |
