Submitted by Dominique Dassault via GlobalSlant.com, [6]
No Contemporary Thinking At The Fed
[7]
The picture of this very old telephone reminds of our “esteemed” Federal Reserve. They really seem incapable of any modern thought. Their parallels to, and fears of, the Great Depression [Former Chair Bernanke], seem to drive 2009-2015 monetary policy. It reminds me of incredibly stale thinking... sort of like their incredibly stale personalities. I suppose it’s a good match for them but not for the citizens of the world subjected to their currently ineffective and intellectually lazy policies... rooted in very ancient [just like most of them] history. Currency debasement goes back thousands of years i.e. the Romans debased their currency by lowering the content of silver in their coins.
Of course plenty can be learned from history. Frankly, I love history. But, remember, things do change…like the economy. Every cycle is akin to a fingerprint…completely unique…and requires unique solutions along with some “tried and true” ideas. Yet the policies of Bernanke and his mini-me [Yellen] seem almost entirely based on Bernanke’s obsession [and PhD thesis] with the “Depression”.
Now I am not going to list all of the differences in the economies of the 1930’s with the early 21st century. But just look at that picture up above and now think about the iPhone 6. Obviously…much different along with so many other things. And the changes are obviously MASSIVE.
Unfortunately, the members of The Fed just cannot determine why the current economy [the present dilemma is low wages and low inflation] is not accelerating like the old textbooks and intellectual “papers”, they frequently reference, say they should... given their unwavering commitment to both currency debasement and financial asset purchases. Frequently they point to the “tight” monetary policies of the mid to late 1930’s as an inhibitor to that period’s economic growth and, therefore, the exact opposite ought to be today’s remedy. That may be true…or not…but should that really be the driving force behind their easy money policies of 2009-2014…as it seems to be? They have to rationalize it somehow and this “dated” policy point seems to be the convenient “ration”.
My response to them is…Really….That’s All You Have. The 1930’s as a model for today’s economy along with Roman-esque currency dilution. All of your Ivy League educations and these are your ONLY real solutions. If the infamously innovative Howard Hughes or Steve Jobs were in that room, orchestrating the discussion for economically dynamic thinking, I suppose they would both “blow their tops” and start firing people yesterday. Thanks for your service but we require MODERN thought too. On your way out the door please leave your “Treo” phones and VCR’s in the recycling bin. You know what that is …RIGHT? The big blue container that looks like an over-sized trash can. FYI…It’ll accept your empty bottles of “Geritol” too.
RING…RING…RING…The Fed is accepting CONTEMPORARY AND GROUND-BREAKING IDEAS TO ATTACK OUR ECONOMIC MALAISE. Please leave your ideas on the answering machine…OH F _ _ K…I mean voice-mail, text, “page” or blog. Thank you.
