Right after I posted this there was a Forbes response to the article that began the thread: How The Fed Fostered The Oil Glut And Price Drop - Wall Street Losing Patience. Funny but is sure seems to me that blaming the Fed for everything is sounding more and more like how everything got blamed on Bush. The real problem of course is as always the left's war on business.
“The lefts war on business.”
I agree.
The narrative is how the monetary policy should be this or that or whatever.
The discussion over time has devolved and has completely left out any discussion regarding getting government out of the way of business and let businesses grow. Remove the government from business, remove taxes and regulations and watch the economy grow like crazy. But this isn’t even in the discussion anymore.
The Left’s war on commerce (business is too narrow a term) is consistent with a planned economy. That’s what the Fed does. They’re always late or early.
Milton Friedman proposed a flat 3% growth rate for the money supply. That would take all the guessing and misallocation of capital out of the equation.
Sometimes 3% would be too little and sometimes too much, but you’d have certainty. Commerce faces enough uncertainty without adding political risk. Keep in mind that it is political risk - private property rights, tax codes, regs, monetary policy, etc. - that make 3rd World countries 3rd World.
Truth, honest and consistency are what make America such an economic powerhouse. The more we turn our economy over to politicians/central planners (and don’t doubt that Fed governors are not political and central planners) the less truth, honesty and consistency our economy will have.
Look at the manhours/dollar spent on reading the Fed tea leaves after every FMOC minutes release.