Here's a traditional conservative's reaction:
Merkel for the Fed The German leader's welcome rebuke to central bankers. To the Red Sox winning the World Series, we can now add another miracle for the ages: A politician demanding tighter money. We refer to German Chancellor Angela Merkel, who in a Berlin speech Tuesday rebuked the world's central bankers, notably including the U.S. Federal Reserve, for being too politically accommodating. Hallelujah, sister. (...) Notwithstanding Mr. Bernanke's "comfort" with his actions so far, the world is wondering when the Fed will start to remove the flood of money it has injected into the economy during the crisis. Mr. Bernanke says not to worry, as his mentor Alan Greenspan also did yesterday. But this is cold comfort given their earlier track record. The Fed's habit is to look at backward indicators, such as the cost-of-living index and the jobless rate, rather than at currency and commodity prices that can warn of asset bubbles and inflation ahead. This is precisely the mistake both men made in 2003, as the recently released Fed transcripts from that year illustrate. The warning that Mrs. Merkel -- and China and the financial markets -- is sounding is whether the Fed will have the political courage to start removing that liquidity even if the unemployment rate is high, and before it creates another mess.
To the Red Sox winning the World Series, we can now add another miracle for the ages: A politician demanding tighter money. We refer to German Chancellor Angela Merkel, who in a Berlin speech Tuesday rebuked the world's central bankers, notably including the U.S. Federal Reserve, for being too politically accommodating. Hallelujah, sister.
(...)
Notwithstanding Mr. Bernanke's "comfort" with his actions so far, the world is wondering when the Fed will start to remove the flood of money it has injected into the economy during the crisis. Mr. Bernanke says not to worry, as his mentor Alan Greenspan also did yesterday. But this is cold comfort given their earlier track record. The Fed's habit is to look at backward indicators, such as the cost-of-living index and the jobless rate, rather than at currency and commodity prices that can warn of asset bubbles and inflation ahead. This is precisely the mistake both men made in 2003, as the recently released Fed transcripts from that year illustrate. The warning that Mrs. Merkel -- and China and the financial markets -- is sounding is whether the Fed will have the political courage to start removing that liquidity even if the unemployment rate is high, and before it creates another mess.
Thanks. It's been a long day, and I needed a good laugh.
You really can't be serious bringing the Journal in this.
Yes, those great defenders of traditional conservatism at the WSJ.
Wow. Conservatives want live babies so they can raise them to be dead soldiers. - George Carlin
Now, as someone who knows plenty of stats, you also know that this is probably the single most dishonest, laughable graph ever published in a major newspaper. "If only the Dems would quit being a bunch of commies and cut corporate tax rates by ten points, the revenue would come pouring in. Just like Norway!
The Journal supported all of the adventures of Chimp McFlightsuit and Pencil Dick. It supported the tax cuts, the wars (and their privatization through mercenaries), the attempt to waste $2tn privatizing Social Security, and on and on.
If these guys aren't neolibs, I don't know who could possibly qualify anymore.
Deficit hawks? We'd have long since collapsed if we'd followed the WSJ. Those idiots are even more out to lunch than the last administration was. Conservatives want live babies so they can raise them to be dead soldiers. - George Carlin
- Jake If you only spend 20 minutes of the rest of your life on economics, go spend them here.
You may find it useful if you ever want to do this kind of exercise again.
