In a similar spirit to Rep. Van Hollen’s plan which I covered here earlier, the President goes after wealth inequality by closing a big, bad capital gains loophole and using the revenues to help those on the wrong side of the inequality divide. Over at PostEverything.
Orange may be the new black, but in my world raising the federal funds rate is the new deficit reduction. Let me explain. I keep bumping into arguments about why, despite pressures from wages or prices, either in real life or in expectations, the Fed should pre-emptively raise the interest rate it controls in order… Read more
As Bloomberg puts it, what with the diminished oversight on derivatives in the budget bill and this new announcement by the Federal Reserve re a two-year delay in the Volcker rule, this holiday season is shaping up to be the best one yet for the financial sector. Recall that the Volcker rule is the part… Read more
As the Federal Reserve Open Market Committee meets today to decide their path for monetary policy, there’s great focus on whether they’ll change a few key words of their guidance language. Specifically, will they drop “considerable time” from the sentence wherein the telegraph their thinking about how long they’ll hold interest rates at around zero? EG,… Read more