It is interesting that the founder and leader of the market monetarists declared in January 2020 that the world was about to enter a "golden age" of low inflation for the Federal Reserve.
Most people—and especially most economists—not only are ignorant of what money actually is, but how and why it became part of our economy in the first place.
Fed chairman Jerome Powell recently claimed they were "targeting" the "neutral" interest rate. The Fed cannot set or even know that rate, for it doesn't come from government authorities.
Ryan McMaken and Tho Bishop take a look back at previous statements by current members of the Fed.
While the usual characters praise central banks for supposedly bringing economic stability, Dr. Shostak explains that their presence makes things unstable because they break the relationship between saving and lending.
The Fed is, effectively, a car driving at night, very fast, with no headlights. That is a real threat, probably to an unprecedented degree.
If you’re in trouble, you stop spending on frivolous stuff and you save. It applies on a personal level; it applies on a national level. But the fiat world just flips all of this on its head.
Bob provides a running refutation of Stephanie Kelton's recent TED talk on Modern Monetary Theory (MMT).
