It was a banner day to hear the increasingly tired arguments for and against the Fed’s stimulus policies from the horses’ mouths in some of the U.S.’s more scenic locales.
Minneapolis 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.”