Money and Finance
- Hussman Weekly Market Comment: Superstition Ain't The Way
“The problem with QE is that it works in practice but it doesn’t work in theory.” - Ben Bernanke, Outgoing Federal Reserve Chairman, January 16, 2014 "When you believe in things that you don't understand, then you suffer. Superstition...
- Gr-neam Reflections: 03/01/2013 - Better Late Than Never
Jeremy Stein of the Federal Reserve Board of Governors recently spoke on the subject of unintended consequences of unconventional monetary policy. The Fed thus begins to admit that the observations of capital markets observers have a point. ...
- John Mauldin: Qe Infinity: Unintended Consequences
There is an intense debate going on in the first-class cabin of Economics Airlines about the direction in which our plane should be pointed. And while those of us back in the cheap seats don't get to help decide, knowing where we will land is of intense...
- No Shortcuts To Greatness - By Vitaliy Katsenelson
Nothing defined Alan Greenspan’s tenure as chairman of the Federal Reserve Bank more than his wholehearted embrace of capitalism. With early roots in his 30-year association with the novelist and philosopher Ayn Rand, that faith grew into an unconstrained...
- Hussman Weekly Market Comment: Why Quantitative Easing Is Likely To Trigger A Collapse Of The U.s. Dollar
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 on...
Money and Finance
John Mauldin: The Consequences of Easy Monetary Policy
"No very deep knowledge of economics is usually needed for grasping the immediate effects of a measure; but the task of economics is to foretell the remoter effects, and so to allow us to avoid such acts as attempt to remedy a present ill by sowing the seeds of a much greater ill for the future." – Ludwig von Mises
We heard from Bernanke today with his Jackson Hole speech. Not quite the fireworks of his speech ten years ago, but it does offer us a chance to contrast his thinking with that of another Federal Reserve official who just published a paper on the Dallas Federal Reserve website. Bernanke laid out the rationalization for his policy of ever more quantitative easing. But how effective is it? And are there unintended consequences we should be aware of? Why is it that the markets seem to positively salivate over the prospect of additional QE?
- Hussman Weekly Market Comment: Superstition Ain't The Way
“The problem with QE is that it works in practice but it doesn’t work in theory.” - Ben Bernanke, Outgoing Federal Reserve Chairman, January 16, 2014 "When you believe in things that you don't understand, then you suffer. Superstition...
- Gr-neam Reflections: 03/01/2013 - Better Late Than Never
Jeremy Stein of the Federal Reserve Board of Governors recently spoke on the subject of unintended consequences of unconventional monetary policy. The Fed thus begins to admit that the observations of capital markets observers have a point. ...
- John Mauldin: Qe Infinity: Unintended Consequences
There is an intense debate going on in the first-class cabin of Economics Airlines about the direction in which our plane should be pointed. And while those of us back in the cheap seats don't get to help decide, knowing where we will land is of intense...
- No Shortcuts To Greatness - By Vitaliy Katsenelson
Nothing defined Alan Greenspan’s tenure as chairman of the Federal Reserve Bank more than his wholehearted embrace of capitalism. With early roots in his 30-year association with the novelist and philosopher Ayn Rand, that faith grew into an unconstrained...
- Hussman Weekly Market Comment: Why Quantitative Easing Is Likely To Trigger A Collapse Of The U.s. Dollar
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 on...