Federal Reserve

Ginger White demanded Cain withdraw his name for consideration from the Federal Reserve Board under threat of exposing intimate details of the relationship.

I don't know CNBC lives on my TV and I rarely read their stuff when I'm looking for information. That said, yesterday I found two pieces of theirs-- somewhat related-- worth passing on. Why don't we start with a specific piece of news-- Wall Street gives thumbs down on both Trump's FED picks-- and close with something a bit more general.

If you invest your tuppence wisely in the bank, safe and sound,
Soon that tuppence safely invested in the bank will compound,
And you’ll achieve that sense of conquest as your affluence expands
In the hands of the directors who invest as propriety demands.
— Mary Poppins, 1964

“If you invest your tuppence wisely in the bank, safe and sound, Soon that tuppence safely invested in the bank will compound, “And you’ll achieve that sense of conquest as your affluence expands In the hands of the directors who invest as propriety demands.” — Mary Poppins, 1964 When Mary Poppins was made into a […]

La Rinconada, 5,000 to 5,400m above sea level, corrugated iron shacks, glued to the hills of the surrounding mountains, home to some 50,000 to 70,000 mining inhabitants and competing mafia mobs that control them.  La Rinconada, in the Peruvian Andes, the world’s highest, chaotic, poisonous and illegal goldmines, some 210 km northeast of Puno, a 4-hour drive by car over partially paved, albeit potholed roads.

When Trump nominated crackpot Stephen Moore for a spot on the Fed, I was shocked. That's even a crazy move for Trump. What was I missing? I asked the smartest economist I know, Stephanie Kelton. All she would say is that "It’s not an inspired choice, to say the least. Paul McCulley would have been an inspired choice." Conservative economist Greg Mankiw was considerably more forthcoming on his thoughts about the nomination.Mankiw isn't famous because he teaches economics at Harvard, though he does.

The Obama administration worked hard to turn the economy around after Trump inherited an economy that would have been a dream for any president. He immediately set out to sabotage it and, unfortunately, his policies are finally kicking in strongly enough to wreck everything that Obama did to right the economy Bush left him-- and us. But before we get into Trump's disastrous policies, one little note: his utter and complete lack of leadership abilities are working hand in hand with bad policy to bring down the economy.

Nomi Prins tracks the acute worsening of inequality since the 2008 financial crisis.   By Nomi Prins TomDispatch.com Like a gilded coating that makes the dullest things glitter, today’s thin veneer of political populism covers a grotesque underbelly of growing inequality…Read more →

“Quantitative easing” was supposed to be an emergency measure. The Federal Reserve “eased” shrinkage in the money supply due to the 2008-09 credit crisis by pumping out trillions of dollars in new bank reserves. After the crisis, the presumption was that the Fed would “normalize” conditions by sopping up the excess reserves through “quantitative tightening” (QT) – raising interest rates and selling the securities it had bought with new reserves back into the market.

“Quantitative easing” was supposed to be an emergency measure. The Federal Reserve “eased” shrinkage in the money supply due to the 2008-09 credit crisis by pumping out trillions of dollars in new bank reserves. After the crisis, the presumption was that the Fed would “normalize” conditions by sopping up the excess reserves through “quantitative tightening” […]