Last week's blog post highlighted three episodes from the Greenspan era at the Fed - the Tequila Crisis, the LTCM Crisis and the "Citigroup Relief Act." All three of these episodes reveal the Greenspan Fed's ceaseless zeal to support Wall Street in any and all ways it could. These three interventions directly correspond with the NASDAQ's unprecedented rise from approximately 7
William McChesney Martin chaired the Federal Reserve from 1951 - 1970, and remains the longest serving Fed chair. Martin famously described the job of the Fed, or any central bank for that matter, as being no different from a chaperone who "takes away the punch bowl just as the party starts to really get going." The idea is a central bank should lean against the wind and help to check the gro
This week's blog post - along with several others to follow - will examine how today's precarious market condition is the inevitable result of over twenty-five years of the Federal Reserve's price suppression efforts and active interference in the economy.
In a recent blog post I discuss in general terms the media's role in the financial crisis and its aftermath. In particular, I discuss the notion of how the media - whether consciously or unconsciously - in crisis after crisis "appears to do little more than parrot false narratives as part of an overarching agenda of more and bigger government." (1) This quote came from a discussion o
In this week's post, I am posting the Confederacy of Dunces biography of Charles Evans and some associated commentary. Evans is a PhD economist and was appointed president of the Federal Reserve Bank of Chicago in 2007. (1) Evans is currently a non-voting member of the Fed's open market committee, (FOMC), but will become a voting member in 2019. Now that the Fed has stopped cutting intere