Federal Reserve Actions To Address Financial And Economic Weakness

Recently, the Federal Reserve has taken many substantial actions to address financial market weakness, as well as an actual and expected very large drop in economic activity. In addition to the actions taken by the Federal Reserve, there are various actions taken at the Federal, State, and local levels. These programs are largely still being …

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Low Interest Rates And The Formation Of Asset Bubbles

The existence of asset bubbles continues to be among the most critical – and troubling – characteristics of the current-era U.S. economy.  I have written extensively on the subject for a number of reasons, including its monumental importance as well as its poorly understood nature. There are many theories as to why asset bubbles form. …

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Measuring QE’s Impact

I have written extensively about Quantitative Easing (QE) and Interventions as I believe many aspects of these practices lack recognition and understanding.   My analyses indicate that QE (also referred to as “Large-Scale Asset Purchases” (LSAPs)) in general carries an array of risks, detrimental impacts, and unintended consequences.  It has complex impacts on the economy and markets. Over time, …

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Potential Losses In The Federal Reserve’s Portfolio

I have written extensively on the issue of Quantitative Easing (QE) and Interventions as I believe many aspects of these practices lack recognition and understanding.   Quantitative Easing in general carries an array of risks, detrimental impacts, unintended consequences, and complex impacts on the economy and markets. One such set of dynamics embedded within QE that …

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Notable Statement Concerning Continued Monetary Stimulus

While I don’t necessarily agree with any or all parts of the following statement, released yesterday, from Financial Services Committee Chairman Jeb Hensarling (R-TX), I do think that it is notable, and as such should be recognized. Here is the statement, which is in response to continued monetary stimulus as announced in yesterday’s Federal Reserve FOMC Statement : …

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