This is a strong indicator that the actions taken by The Fed actually did have some positive effect at combating the recession. Although, I definitely would agree with the author that their still is a lot to be done if we are going to climb out.
I agree. What we might see is a very very slow recovery. Markets are not horrible, home prices are a smudge higher at the end of the day the focus needs to be on jobs. The theory is that "jobs will come later, jobs are a lagging indicator--just get the economy going. Unfortunately that hasn't been working. Some things we should do to increase employment are: 1. Go back to new-deal programs (hiring the unemployed with temporary jobs) 2. Help state and local governments hire back people because they cannot borrow like the Federal Government we NEED revenue sharing with state and local governments...
I think what is more important is a balanced budget act that keep the government from running up such a huge deficit. Wasting cash on malarkey like wars and boondoggle hole filling jobs should be the least of our worries. Once the inflation catches up it will destroy the dollar. This will certainly happen if we continue to pump out so much money and easy credit.
This is a strong indicator that the actions taken by The Fed actually did have some positive effect at combating the recession. Although, I definitely would agree with the author that their still is a lot to be done if we are going to climb out.
ReplyDeleteI agree. What we might see is a very very slow recovery. Markets are not horrible, home prices are a smudge higher at the end of the day the focus needs to be on jobs. The theory is that "jobs will come later, jobs are a lagging indicator--just get the economy going. Unfortunately that hasn't been working. Some things we should do to increase employment are: 1. Go back to new-deal programs (hiring the unemployed with temporary jobs) 2. Help state and local governments hire back people because they cannot borrow like the Federal Government we NEED revenue sharing with state and local governments...
ReplyDeleteI think what is more important is a balanced budget act that keep the government from running up such a huge deficit. Wasting cash on malarkey like wars and boondoggle hole filling jobs should be the least of our worries. Once the inflation catches up it will destroy the dollar. This will certainly happen if we continue to pump out so much money and easy credit.
ReplyDelete