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Federal Reserve

Federal Reserve Maintains Out-of-Touch Predictions

Dan Celia, This week, St. Louis Federal Reserve President James Bullard indicated in a speech that President-elect Donald Trump’s economic plans are more about 2018-19, because “snapping your fingers,” he said, can’t produce instant change. The problem with most of the Fed’s presidents, and the Federal Reserve itself, is that they live in an insulated

Factory activity hits two-year high as orders surge

U.S. factory activity accelerated to a two-year high in December amid a surge in new orders and employment, suggesting some of the oil-related drag on manufacturing was fading. Other data on Tuesday showed construction spending hitting a 10-1/2-year high in November, which could provide a lift to fourth-quarter economic growth. The reports suggested president-elect Donald

Six Steps Trump Can Take Toward Better Monetary Policy

Stefan Gleason, Since Nixon severed the final link to gold in 1971, the US dollar has lost more than 80% of its purchasing power, wreaking havoc on ordinary savers, conservative investors, and households on fixed incomes. Today, inflationary monetary policy continues to be a foundational tenet of all presidential administrations as politicians and central bankers have heedlessly been

Why a Fed interest rate hike would help, not hurt Trump

Peter Morici, The Federal Reserve would do Donald Trump and his supporters a favor by raising interest rates. President Obama’s economy—the dearth of decent paying jobs in rust belt communities and stagnant living standards—helped Trump to capture the White House.   Obama boosted taxes on small businesses and investors, imposed burdensome regulations and worked against

A Book Haunted by the ‘Curse’ of Bad Monetary Ideas

Jay Lehr, Physical currency, in one form or another, has existed for innumerable years, but some people, convinced by their own hubris that they know something the collective minds of humanity have not devised, believe government can replace physical money with something better. Kenneth Rogoff is one of those people. The best and the brightest,

How Trump Can Bring Outside-the-Box Thinking to Bear on the Fed

Stefan Gleason, President-elect Donald Trump will soon have the opportunity to put his stamp on the Federal Reserve. And that is making the elite body of central bankers nervous. On the campaign trail, Trump harangued Fed chair Janet Yellen for pumping up financial markets with cheap money – accusing the Obama appointee of being politically