To: AndyJackson
Banks can create rampant inflation all on their lonesome without so much as a "by your leave" from the Fed. In fact, the Fed restricts them from doing so by its regulation of their balance sheets. You have the causality involved, as to what constitutes "intervention" and what does not, precisely backward. The Fed has to deliberately intervene and use its regulatory powers to restrict the operations of the banks, to prevent them from inflating as much as they like.
284 posted on
03/13/2008 3:36:44 PM PDT by
JasonC
To: JasonC
Banks can create rampant inflation all on their lonesome without so much as a "by your leave" from the Fed. In fact, the Fed restricts them from doing so by its regulation of their balance sheets.Make up your mind. Which is it?
FreeRepublic.com is powered by software copyright 2000-2008 John Robinson