Thursday, November 01, 2007

Econorama continued

Fed cut again. Market rallied on the 31st but dived on the first.

I've been reading widespread criticism of Bernanke; general comments are that inflation is growing and the Fed should be holding at a minimum if not actually raising interest rates.

What is missing is any comment on government fiscal policy. Administrations used to draw equal criticism to Fed Governors. Now however, it seems that only the Fed Chairman is in the hot seat, and Presidents, Secretaries of The Treasury, etc. skate.

Perhaps we've abandoned hope that elected folks can exercise any discipline, and concluded that only appointed officials have any possibility of acting in the national interest.....

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