Over the last few weeks, we have discussed the Administration’s attempts to use staff selections to undermine Fed opposition to the WH’s preferred policy mix.
My only issue with your commentary is the tired old trope that the Fed is independent. it is clearly not, and since Volcker, at least, has not been. certainly, a truly independent Fed would not have monetized $5 trillion in Covid bonds if they were actual central bankers. I would argue the Fed exists to ensure the government can issue debt and everything else is handwaving
My only issue with your commentary is the tired old trope that the Fed is independent. it is clearly not, and since Volcker, at least, has not been. certainly, a truly independent Fed would not have monetized $5 trillion in Covid bonds if they were actual central bankers. I would argue the Fed exists to ensure the government can issue debt and everything else is handwaving
Totally agree Mr Fately. It was never really independent. But it is a prevalent narrative.