05-23-2016, 11:57 PM
(05-23-2016, 06:27 PM)Mikebert Wrote:(05-21-2016, 12:19 AM)Kinser79 Wrote: The Fed only has two leavers it can work economically, the interest rates and money printing. The interest rate is already at its minimum. That leaves money printing.Interest rate policy IS money printing.
You got it exactly right. Just like the definition of inflation is increasing the quantity of money in the economy and subsequent consumer price increases or various bubbles are the consequence.
So far the Fed hasn't gone into the twilight zone of negative interest rates but they are thinking about it.
Democracy is the theory that the common people know what they want, and deserve to get it good and hard. -- H.L. Mencken
If one rejects laissez faire on account of man's fallibility and moral weakness, one must for the same reason also reject every kind of government action. -- Ludwig von Mises
If one rejects laissez faire on account of man's fallibility and moral weakness, one must for the same reason also reject every kind of government action. -- Ludwig von Mises