Thursday, December 3, 2009
Fed and the Financial System
THE FED does not know when to pop "asset bubbles" and its only weapon seems to be rates. The best answer is to control the buying and selling directly, and have people exchange shares in income, whether it be a house or a business. And interest rates at zero are encouraging inflation and complaints that U. S. monetary policy might be contributing to bubbles abroad. And I reviewed Ann Pettifor's book whose prime point is saying that the creation of money should be done to further the public good rather than led banks and others draw the profits.