On Monday the White House again was forced to “calm fears” that the United States is engaging in nuclear brinkmanship. That is, White House spokeswoman Jen Psaki was forced to deny Moscow’s claim that the United States and Russia are increasingly engaged in a proxy war in Ukraine and that this could ultimately escalate in unpredictable ways.
Tomorrow the Federal Reserve’s two-week blackout period will be lifted and Chair Jerome Powell is set to address the world. Strangely enough, yet not surprisingly, some mainstream economists and Wall Street analysts agree with the Fed that everything will be fine and a recession in the near future will be avoided.
To recap, CNBC notes that:
The go-to bullish indicators highlighted by pundits these days are the high levels of sidelined mutual fund cash and the AAII investor sentiment survey hitting its highest bearish reading since 2009:
One of the stranger narratives coming out of the controversy over Disney’s “special district” in Florida is the notion that Disney’s Florida property is some sort of truly independent self-governing entity operating without government oversight.
Too much government spending and loose monetary policy lead to rising prices combined with falling economic growth rates. All Keynesian roads lead to stagflation. It is the result of economic mismanagement. Again and again, the belief has been proven wrong that central bankers could guarantee the so-called price stability and that fiscal policy could prevent economic downturns. The present crisis is one more piece of evidence that interventionist monetary and fiscal policies are disruptive. Instead of a permanent boom, the result is stagflation.
