Great news! Of course Kermit the Frog Greenspam & Co. will raise the interest rates on Tuesday.
Thank goodness that clown is gone at the end of the year!
I wonder how much his wife has made off the Market?
It might be a half point this time.
Alan's trying to buy more bullets back for the next recession.
Interest rate management is a tricky business. After 9/11 the rates were lowered to virtually nothing in order to stimulate the economy. This along with the tax cuts worked just fine, but it is important that rates be judiciously elevated if for no other reason then to have room for them to be lowered when the next business slow down occurs. Look what happened in Japan. They lowered rates to zero and when the economy failed to pick up significant steam, they had no where to go when the need again rose to "prime the pump"