Post Profile

Was the zero bound holding back the Fed during 2009-15?

Most people thought the answers was yes.  I thought it was no.  Here’s a question for the zero bound worriers.  If the zero bound was holding back the Fed during 2009-15, then what’s been holding back the Fed over the past 20 months? Inflation is still below target. Ignacio Morales set me an interesting graph […]
read more


Related Posts

Going All Natural at the Fed

Business & Finance / Economics : Macro and Other Market Musings

Has the market-clearing or 'natural' short-run interest rate been negative over the past seven years? The answer to this question would go a long ways in ending much confusion about Fed policy. If the answer is yes, then the Fed has...

'Monetary Policy Alternatives at the Zero Bound: Lessons from the 1930s'

Business & Finance / Economics : Economist's View

This paper from the SF Fed conference might be of interest (it's a bit technical in some sections): Monetary Policy Alternatives at the Zero Bound: Lessons from the 1930s U.S. February, 2013 Christopher Hanes: Abstract: In recent ye...

Why Markets Are Manic - The Fed Is Addicted To The "Easy Button"

Business & Finance : Zero Hedge

Submitted by David Stockman via Contra Corner blog, Later this week another Fed meeting will pass with the policy rate still pinned to the zero bound. The month of May will make the 77th consecutive month of ZIRP—–an outcome that wo...

Cash and the zero lower bound

Business & Finance / Economics : TheMoneyIllusion

Let’s review the (alleged) zero bound problem.  The nominal interest rate falls to zero.  The Fed injects base money, and banks choose to hold it as excess reserves.  The Fed could try to force banks to lend it out with negative int...

Pimco Borrows A Record $88 Billion To Bet On Fed's Upcoming MBS Monetization

Business & Finance : Zero Hedge

Regular readers of Zero Hedge know that in recent months tracking the portfolio and thoughts of one Bill Gross via the holdings of his flagship Total Return Fund (which just jumped by $6 billion in the past month and is just shy of ...


Copyright © 2016 Regator, LLC