Attention

The opinions expressed by columnists are their own and do not represent our advertisers

Thursday, August 20, 2015

Federal Reserve Directly Responsible for Recessions, Depressions

The US Federal Reserve is playing with the idea of raising interest rates, possibly as early as September this year.

After a six-year period of virtually zero interest rates, a ramping up of borrowing costs will certainly have tremendous consequences. It will be like taking away the punch bowl on which all the party fun rests.

Low Central Bank Rates have been Fueling Asset Price Inflation

The current situation has, of course, a history to it. Around the middle of the 1990s, the Fed’s easy monetary policy — that of Chairman Alan Greenspan — ushered in the “New Economy” boom. Generous credit and money expansion resulted in a pumping up of asset prices, in particular stock prices and their valuations.

More

1 comment:

Anonymous said...

Audit the FED. Hurry before the crash (about 30 days from now).