Preemptive easing - Paul Krugman - Op-Ed Columnist - New York Times Blog
Wow. First the markets, now the Fed's reaction. What you probably should know is that Ben Bernanke, in his capacity as a professional economist, spent a lot of time worrying about Japan's experience in the 1990s. (So did I.) What was so disturbing about Japan was the way monetary policy became ineffective; by the later 1990s the short-term interest rate was up against the ZLB -- the "zero lower bound." This is alternatively known as the "liquidity trap." And once you're there, conventional monetary policy can do no more, because interest rates can't go below zero. There was a lot of discussion of various unconventional monetary things you could do. But the best answer was not to get there in the first place. A 2004 paper co-authored by Bernanke argued that the ZLB could and should be avoided by "maintaining a sufficient inflation buffer and easing preemptively as necessary".
Wow. First the markets, now the Fed's reaction.
What you probably should know is that Ben Bernanke, in his capacity as a professional economist, spent a lot of time worrying about Japan's experience in the 1990s. (So did I.) What was so disturbing about Japan was the way monetary policy became ineffective; by the later 1990s the short-term interest rate was up against the ZLB -- the "zero lower bound." This is alternatively known as the "liquidity trap." And once you're there, conventional monetary policy can do no more, because interest rates can't go below zero.
There was a lot of discussion of various unconventional monetary things you could do. But the best answer was not to get there in the first place. A 2004 paper co-authored by Bernanke argued that the ZLB could and should be avoided by "maintaining a sufficient inflation buffer and easing preemptively as necessary".
Should be interesting...like the Chinese curse...
Bush had better add some public works projects onto that stimulus package.
Lotta people are in a lotta trouble.
But house prices never go down, right? Conservatives want live babies so they can raise them to be dead soldiers. - George Carlin
Do markets understand that Bush is not interested in easing this economic crisis? And the world will live as one
How about Metro lines to more of the suburbs -- lines that people can, you know, use when the oil isn't flowing like it is these days? Conservatives want live babies so they can raise them to be dead soldiers. - George Carlin
Drew you say that either because you don't live anywhere near National Airport, like thousands have for years and years, and therefore don't mind the unrelenting noise of jets passing overhead, or you haven't tried flying non-stop from Washington to anywhere overseas (forgoing the pain, inefficiency, and overcrowding of JFK or Atlanta). National airport can only handle small numbers of 737s and smaller sized planes due to runway and space restrictions.
Now, the need for a light rail expansion to Dulles is debatable, but it could also service the communities between there and Vienna and help reduce car traffic to and from Washington. I can swear there ain't no heaven but I pray there ain't no hell. _ Blood Sweat & Tears
I could get on with rail service beyond Vienna, but not when we've left so many suburbs inside the Beltway -- the entire Southwest portion of the Virginia suburbs, for example -- uncovered by Metro. Conservatives want live babies so they can raise them to be dead soldiers. - George Carlin
The "pain, inefficiency and overcrowding" of ATL is greatly overstated.
This is, by the way, especially the case if you're flying out of Concourse E, where the international flights go out. Conservatives want live babies so they can raise them to be dead soldiers. - George Carlin
On the other hand, I have done just about anything to avoid JFK. Each and every time I've had to stop over there enroute to or from Europe, it's been a disaster.
The noise in and around any airport is a major problem, thus the farther they can be efficiently placed from residential areas the better. I worked in Rosslyn for 15 years. Inside office buildings the noise wasn't bad, but out on the street one couldn't carry on a conversation when planes flew right over head every three - five minutes on some days. I also live in the Dulles flight path now. Fortunately, we are about 25 miles away so while the noise is there it's not like closer in. The flight path was changed to its current one (directly over our house) two years after we bought the house. I still feel for those who live under the National AP flight path.
BTW, I agree that Dulles is a lousy airport. It has been under renovation for at least the last 15 years. I was embarrassed every time I arrived there and watched the hordes of international travellers get their first experience of the nation's capital. It is getting better, so I'm told - I avoid it whenever possible now - but it's about time.
All that said, National airport is not and never will be a reasonable substitute for an international airport for Washington.
You are correct, of course, about No. Virginia being under served by metrorail. My understanding is that it all happened because the Va. suburbs didn't want to pay for the extra lines. Nevertheless, I think the line out to Dulles will be an overall plus for efficient transportation in the area. Many other large metro areas have such service from their international airports and I've found it to be a joy to use vs. taxis in most cases. I can swear there ain't no heaven but I pray there ain't no hell. _ Blood Sweat & Tears
Hartsfield-Jackson's going to become more crowded as long as Atlanta's becoming more crowded, I'm afraid, and -- assuming they don't run out of water (which, granted, seems to be an increasingly stupid assumption) -- that's not going to stop anytime soon. Atlanta's fortunate to have a lot of unused land (its greatest asset and greatest roadblock to serious urban planning) around that section of town, so the option to continue expanding the airport is at least there, unlike in New York.
I'm not sure how much say the suburbs have on Metro, though. Don't the Virginia DOT and the WMATA decide that? I agree on the whole that the line to Dulles would be a plus, but the city is leaving itself wide open to the energy crisis by not building lines into the suburbs. Conservatives want live babies so they can raise them to be dead soldiers. - George Carlin
but it appears (and I recall) local government participation. I can swear there ain't no heaven but I pray there ain't no hell. _ Blood Sweat & Tears
European Tribune: Debt Requires Growth: or Vice Versa? by ChrisCook on October 1st, 2007 We have met the enemy, and he is us — Pogo
And start again.
Not very helpful for the economy. Earth provides enough to satisfy every man's need, but not every man's greed. Gandhi
Who built Thebes of the Seven Gates? In the books are the names of kings. Did the kings carry the slabs of rock? And Babylon so many times destroyed - Who rebuilt it so many times? In gold-shining Lima Where did the construction workers live? Where did the masons go the evening the Great Wall of China Was finished? Great Rome Is full of triumphal arches. Who built them? Over whom Did the Caesars triumph? Did the oft-sung Byzantium only have Palaces for its inhabitants? Even in fabulous Atlantis When the sea swallowed it the drowning masters Shouted for their slaves. Young Alexander conquered India. He alone? Caesar defeated the Gauls. Didn't he at least have a cook with him? Philip of Spain wept when his fleet went under. Didn't anyone else weep. Frederick the Second won in the Seven Years' War. Who Else won? On every page a victory. Who cooked the victory feast? Every ten years a Great Man. Who paid the price? So many reports. So many questions.
-Bertolt Brecht "Schiller sprach zu Goethe, Steck in dem Arsch die Flöte! Goethe sagte zu Schiller, Mein Arsch ist kein Triller!"
I'd add resistance as a basic value. Resistence to crap. The capitalist demand for growth is based on expanding the amount of crap on Earth. Creating it and selling it. It has to stop. You can't be me, I'm taken
As far as damning them - hmmm. What an odd choice of words. I don't think that anyone here is doing that. paul spencer
A little tagline I often use about Finland is a quote from a Nokia exec, a few years ago - 'All we have in Finland is trees and brains'.
He's right, and both can be grown sustainably. Brains are the best resource we have - that the planet has. That is why education should be a priority investment, and teaching at all levels should be one of the most respected occupations in any society. But it is not.
Maybe that is one good explanation for why I like ET so much - we are teaching ourselves. You can't be me, I'm taken
