Today, Warsh admitted in hindsight to a key Fed mistake that I pointed out in real time as it was being made. He said the Fed’s attempt to raise the inflation rate was a mistake; that its effort to get a little more inflation is why we ended up getting a lot more inflation.
Kevin Warsh admitted the Fed's attempt to raise inflation was a mistake, leading to higher inflation than intended.
Today, Warsh admitted in hindsight to a key Fed mistake that I pointed out in real time as it was being made. He said the Fed’s attempt to raise the inflation rate was a mistake; that its effort to get a little more inflation is why we ended up getting a lot more inflation.
Proving it’s business as usual at the Fed, Warsh repeated the false claim that the Fed should refrain from speaking about fiscal policy. Deficit spending is a major driver of the high inflation Warsh claims the Fed is trying to fight. It’s part of the Fed’s job to criticize it.
Proving it’s business as usual at the Fed, Warsh repeated the false claim that the Fed should refrain from speaking about fiscal policy. Deficit spending is a major driver of the high inflation Warsh claims the Fed is trying to fight. It’s part of the Fed’s job to criticize it.
Warsh said his definition of price stability is price increases small enough that the public doesn't complain. But acceptance of high inflation is no excuse to create it. Price stability means prices that remain stable. It’s wrong to redefine stable prices to mean rising prices.
Warsh said his definition of price stability is price increases small enough that the public doesn't complain. But acceptance of high inflation is no excuse to create it. Price stability means prices that remain stable. It’s wrong to redefine stable prices to mean rising prices.
The most frustrating part of Warsh’s testimony was his failure to hold Congress accountable for its contribution to the inflation problem. By allowing members to complain about inflation without pointing out their role in creating it, Warsh did a disservice to the nation.
The most frustrating part of Warsh’s testimony was his failure to hold Congress accountable for its contribution to the inflation problem. By allowing members to complain about inflation without pointing out their role in creating it, Warsh did a disservice to the nation.