Skip to comments.Fed shows faith in US economy
Posted on 04/30/2014 8:20:47 PM PDT by Rabin
The Federal Reserve look, dismal quarterly US "growth" and gave a mostly upbeat assessment Recent information "indicates that growth in economic activity has picked up ... "What the Fed is saying",ignore this first quarter number (AS) government reported that the economy grew at only a 0.1 percent annual "rate in a quarter", ... other recent data that has suggested activity is "bouncing" back. she said the nation may be more than two years away from what the Fed views as the new normal unemployment rate" of between 9 percent and 14 percent.
(Excerpt) Read more at buenosairesherald.com ...
Rab can but wonder.
F the Fed.; and the horse they rode in on.
The economy is being downsized to fit those who believe themselves to be worthy. The problem for many who are doing alright so far, is that they will not be among that number. There are prophecies (Prophets) about many who climb into wealth at some point in time and use false gossip to further hurt those without.
They’re lying their azz’s off...
It’s what fedgov does...Unfortunately, ya can’t believe a single word anyone in fedgov says in today’s America.
In fact anyone not aware of the decline out here in the hinterlands, is either a restrained idiot, are in on the con-job.
And believe me, there are a whole lot in on the con-job.
I have to say ‘kudos’ to Janet Yellen for reducing the bond buying. Maybe she's not the dove many made her out to be. Or maybe she never saw an accommodative monetary action she didn't like in the past, but once you sit in that Fed Chair, the enormous responsibility sobers you up pretty quick.
I understand there are other factors like additional tax revenue from energy in the Dakotas and foreign purchases, but Ms. Yellen is off to a great start the way I see it.
I hope she very publicly spanks the entire Congress and the Administration for failing to man up on fiscal policy.
“’the Fed views as the new normal unemployment rate’ of between 9 percent and 14 percent.”
Keep in mind that the way FedZilla calculates unemployment is false.
Today, one must multiply their number by 2.5x or 3x to get anywhere near a correct number.
So 9% - 14% is great depression type unemployment rates.
And this the “new normal.” Or “fundamentally changed.”
Spanked? They should have been prosecuted and imprisoned many trillions$ ago...The ugly hard reality is, they launched the economy into a black hole which there is no escape..
I hope she very publicly spanks the entire Congress and the Administration for failing to man up on fiscal policy. <<
and the last time u saw a kid scold a parent was when??
Kudos to Yellen for not believing the official unenmployment rate.
But what they are all missing is the trade policy that caused our jobs to offshore.
Early on, Yellen was a supporter of free trade. But she’s been focused on unemployment for a few years now. She’s admitted some of the FED models don’t work in the real world. I’m hoping she comes to the realization that her early views on trade were wrong.
As dragnet2 pointed out, the Fed has dug a deep hole and thrown the entire economy into it. By printing money and handing it out to politicians to spend, the Fed has discouraged long term investment in favor of short term speculation in carry trades. Nobody can trust that the dollar will be worth anything in 5 or 10 years when a long term investment matures. The Fed's theory is that the economy is driven by spending, not saving, That works better for China than it does for us.
But long term investments in innovation or new productive capacity are what the economy needs for sustainable growth, not politician's spending on non beneficial pet projects or the Fed directly propping up big banks. Both the Fed and the politicians that protect the Fed are at fault, and neither is going to spank the other, but instead continue to destroy capitalist America together.
There is no comparison between the minor problems from trade policy and the insane printing of money which mostly creates jobs in China. Politicians cannot be trusted with trade policy anyway, it is up to the American people to build and buy locally. The politicians need to lower our highest-in-the-world corporate tax (for starters). The Fed just needs to go.