Comments on: The Bernanke Revolution

By: some_guy_in_a_cube

some_guy_in_a_cube — Sat, 11 Apr 2009 17:33:10 +0000

Bernanke is proving to be a tireless errand boy for the megabanks. I’m sure when his service to his corporate masters is complete, he will be dutifully rewarded (honoraria, medals, endowed chairs at “prestigious” universities, etc, maybe even a PBS Night at the Kennedy Center). This puff-piece by The Pinstripe Pravda is merely greasing the wheels.

By: d4winds

d4winds — Sat, 11 Apr 2009 07:51:36 +0000

The cited Post artilce is outlandish in its sycophancy to power. Bernanke bears significant responsibility for this mess.

By: dunnage

dunnage — Sat, 11 Apr 2009 02:38:32 +0000

Bernanke is doing what he said he would do. I’ll give the man that.

By: moneyneversleepsblog

moneyneversleepsblog — Fri, 10 Apr 2009 23:28:48 +0000

Isn’t Larry Summers waiting in the wings to take over for Ben? Wonder how the market would react to that…

http://moneyneversleepsblog.blogspot.com/

By: franklin411

franklin411 — Fri, 10 Apr 2009 17:33:16 +0000

Hit send too soon…I certainly didn’t foresee that Bernanke could be as flexible as he has been. Usually, academics stay rigidly bound to their theories at all costs, because they’ve built their lives around theories. Bernanke has not done that.

And he seems to have purged idiots like Poole from the Fed. Let’s hope Ben gets reappointed by the President!

By: franklin411

franklin411 — Fri, 10 Apr 2009 17:31:40 +0000

Money,
I thought Bernanke was a perfect Bush pick when he was chosen (and that’s not a compliment). The entire Neoconservative theory is that reality is irrelevant–great nations make their own realities. For instance, if you want a democratic ally in the Arab world, you simply pick a country and transform it into one. Iraq was that country. Never mind that Iraq has no democratic tradition. We’re such a powerful country we can make it into one.

Now, as I recall, there was a lot of talk about Bernanke and inflation targeting when he was chosen. This made him the perfect choice: he would be laser-locked onto inflation regardless of what was going on in the broader economy. Inflation hurts the rich and helps the poor, so Bernanke seemed to be the type who would protect the interests of the wealthy at all costs. Let’s not forget that the Fed was very divided when he took over, so possibly they thought he would be a weak Chairman who could be bullied by dimwitted inflation nutters like William “the Fool” Poole.

By: moneyneversleepsblog

moneyneversleepsblog — Fri, 10 Apr 2009 16:47:30 +0000

Say what you want about President Bush but kind of ironic that he ended up selecting Bernanke as a Fed chief given Ben’s extensive research on the role of the Fed during the Great Depression. Bernanke was nominated back in October 2005 and started in February of 2006. If only he knew what he knows now!

http://moneyneversleepsblog.blogspot.com

By: YY

YY — Fri, 10 Apr 2009 16:06:32 +0000

Since the law of unintended consequences beats the best minds, watch how the brilliant Quant. Easing of the Fed (and B of Eng) is arbitraged… (check Financial Times April 9):

Hedge Funds sell short treasuries to the Fed and turn around and buy them cheaper in open market….

Clearly the Fed is a more eager a buyer than an average buyer, so by definition there is money left on the table.
—————————————————————————-

So here is my triangle, Fed prints, China sells and Hedge fund arbitrages.
All appear winners for now.

By: Stuart

Stuart — Fri, 10 Apr 2009 16:00:12 +0000

A certain irony they chose to register in Delaware.

By: patient renter

patient renter — Fri, 10 Apr 2009 15:57:35 +0000

invoking rarely used emergency authorities

Rarely used authority? How about dreamt up authority! The man is a master of the power grab.