In his final Feditorial for Central Banker, retiring Fed President Bill Poole discusses how a strong and well-capitalized banking system subject to well-designed prudential supervision has increased the economy’s resilience.
Conventional wisdom holds that if policymakers are too focused on controlling inflation, then employment, output growth and financial stability will suffer. But the conventional wisdom is wrong, according to the data.
Although this deficit has been rising steadily since the early 1990s, a “hard landing” for the U.S. economy is unlikely. One reason is that only in the United States can so many foreigners invest so much money and get such good returns.
College tuition has increased dramatically over the past decade, yet few think the quality of graduates has kept up. Decentralizing the administration and privatizing such things as housing and food service would boost productivity, as would ditching tenure and improving teaching.
It's not the total number of people that should be causing worry, but the number of retired people relative to those still working. Across the world, the ranks of retirees are swelling as the ranks of those working—and paying taxes to support retirees—are not keeping up. Something—or someone—has got to give.
To rein in inflation, Fed Chairman Paul Volcker took bold monetary policy steps and held his ground in the face of economic turmoil and harsh criticism.
Government red tape is minimal for those starting a business in this country compared with many other places around the globe. It is this relatively unfettered policy environment that allows our strong entrepreneurial spirit to flourish.
Most economists have about as much confidence in economic forecasts as they do in forecasts about the local weather.
The low and stable inflation that the Fed has relentlessly pursued over the past decade or so has buoyed virtually all demographic groups, enabling most Americans to do a lot more than just keep their heads above water.
To live independently, a person must know the basics.
Teaching students economics bolsters the success of the Federal Reserve System and the U.S., argues St. Louis Fed President William Poole.
The Russian default suddenly changed the financial landscape.