What To Do When The Economy Only Exists On Life Support?
China's hurting. As is Russia, Europe, Iran. And the US is not doing so well either. If the Fed had more credibility, it would not need to be so "macho" with rate hikes.
Patience on Jay Powell's part is called for.
I'm not sure it's a "macho" stance so much as it is a replay of Paul Volcker's shock therapy in the early 80s.
The problem is that Volcker's "success" is not that apparent when you look at the historical data.
China's hurting. As is Russia, Europe, Iran. And the US is not doing so well either. If the Fed had more credibility, it would not need to be so "macho" with rate hikes.
Patience on Jay Powell's part is called for.
I'm not sure it's a "macho" stance so much as it is a replay of Paul Volcker's shock therapy in the early 80s.
The problem is that Volcker's "success" is not that apparent when you look at the historical data.