Peter Klein in IBDinvestors: It's Not Yellen That's The Problem, But The Fed Itself

IBDinvestors ^ | 11/05/2013 | Peter Klein

[theBuckwheat]

... The Federal Reserve is the most important economic planning agency in the world. It's charged with promoting full employment, stabilizing prices, and overseeing the financial sector. So the new chair's theoretical views, management style, and personality quirks could affect trillions of dollars of economic activity.

Is it wise to hand such extraordinary power to an elite cadre of economists and bureaucrats?

The pretenses of top-down planning have been debunked by history. Throughout the last century, every nation that adopted central planning had its economy flounder.

Even at the microeconomic level, the limits of top-down planning are increasingly obvious.

[Forrestfire]

MR.Nail, meet Mr. Hammer Head!!!!

[freedomfiter2]

Central planning always fails because it gives too much power to the planners which leads to their corruption. That’s assuming, of course, that they weren’t corrupt at the start.

[MichaelCorleone]

I disagree.

Yellen will be a huge problem. Her understanding of macroeconomic matters is woefully twisted and her worldview is one that does not belong in any leadership position, much less at the Fed.

Easy to say the Fed's the problem, but that was only when Greenspan showed up. Prior to that the Chairmanship was headed up by responsible people like William McChesney Martin and Paul Volker, among others.

Sure, the power of the Central Bank can be abused and politically manipulated (like it has been for the last 25 years or so), but so can the Executive Branch, EPA, CIA, State and Local Gov’t, local police, etc.

Finally, I see precious little blame on this Congress and this President - clear dereliction of duty - but also previous Congresses and past Presidents. If fiscal and regulatory policy were reasonable, there would be little need for strongarming the Fed as the Treasury, per the President's orders, now does.

[hosepipe]

The federal reserve is now and has always been A SCAM from the beginning..
and until it is gone always will be..

but needed to change this republic INTO a democracy...
which is also a scam...
NO democracy has ever been democratic.. NONE...

---

Democracy is the road to socialism. -Karl Marx

Democracy is indispensable to socialism. The goal of socialism is communism. -V.I. Lenin

The meaning of peace is the absence of opposition to socialism .-Karl Marx
***

**Note- Democracy is a filthy thing that has been made a sacrament... almost HOLY..
Public school has brain washed YOU, and now your children.. and grand children..

(democracy is bait and switch)..