What can Eeyore and Tigger tell us about the current state of monetary policy? A lot. At least that’s the argument that Betsey Stevenson and I make in our new column for Bloomberg View. The Fed is now engaged in the game of “forward guidance”—they’ve announced that they anticipate keeping interest rates at zero, until late 2014—and hope that it will shape the recovery.
Democrats and progressives must become more willing to engage in monetary policy conversation and make the case for keeping the Fed, for using QE and stimulus to get America out of recession, and for more robust financial regulation... Read Post
The voices of dissent within the Federal Reserve are growing louder, fueled by concerns that current monetary policy could boost inflation by keeping interest rates too low for too long in a growing economy. In recent weeks at least... Read Post
Just out: Text of a new Bernanke speech with the title "Five Questions about the Federal Reserve and Monetary Policy.": Via Bloomberg is this headline: BERNANKE SAYS FED TO KEEP RATES LOW AFTER ECONOMY STRENGTHENS. Here's the text: ... Read Post