• 17 Feb 2010 at 12:20 PM

Minneapolis Fed Chief: Look How Far We’ve Come

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Picture 164.pngMinneapolis Fed President is taking a stab at those would like to see the Fed stripped of its bank oversight powers, saying that while the Fed made “significant mistakes,” just go ahead with your plan, and it’ll be the Great Recession 2.0. Sure, they didn’t see the crisis coming, but hey, “the Romans used to cut up birds to make their economic forecasts” and the Fed’s methods have improved “somewhat.” So stop bitching people.
In a speech yesterday, Narayana Kocherlakota (pictured) reiterated that Congress and Washington need to put their shit together to address financial regulation – a sentiment that seems to be rampant these days, what with the outbursts of Volcker and Bayh to name a few. “These proposals have generated a great deal of uncertainty, for the capricious winds of politics seem to change them on a near-daily basis.”


He also addressed the CRE problem (catastrophe?) that could trigger massive bank failures, which in turn, would trigger decreased lending. The job situation is not looking too good either and looking “at data on job flows is even more disturbing.”
Great. So back to his first point, the situation is bleak but t improvements in the economic situation are “attributable in large part to actions taken by the Fed as it was able to undertake these actions because of expertise and information that it had acquired as a supervisor of the nation’s banks.”

My conclusion is that stripping the Federal Reserve of its supervisory role would needlessly put a Great Depression on the menu of possibilities for our country.

Comments (9)

  1. 1
    Posted by guest | February 17, 2010 at 12:40 PM

    that bitch needs a shave

  2. 2
    Posted by guest | February 17, 2010 at 12:42 PM

    http://en.wikipedia.org/wiki/Pat_(Saturday_Night_Live)

  3. 3
    Posted by guest | February 17, 2010 at 1:42 PM

    That looks like Volcker’s hand reaching up and choking him.

  4. 4
    Posted by HAM05 | February 17, 2010 at 1:55 PM

    stubble makes the neckfat sexy

  5. 5
    Posted by guest | February 17, 2010 at 4:30 PM

    Who cares? The only thing weaker than the Minneapolis Fed is the DB server. Zing!
    - impatient DB fan

  6. 6
    Posted by guest | February 17, 2010 at 4:33 PM

    Well will Joe the Plumber be finished working on the DB servers?
    Sarah P.

  7. 7
    Posted by guest | February 17, 2010 at 4:34 PM

    Well will Joe the Plumber be finished working on the DB servers?
    Sarah P.

  8. 8
    Posted by guest | February 17, 2010 at 4:37 PM

    Aside from cutting up birds to make their economic forecasts, what have the Romans ever done for us?

  9. 9
    Posted by Raymond Babbit | February 17, 2010 at 4:43 PM

    I shood be dun wit duh server-thingys any time nao.
    I’m an excellent driver.