the right mandate for the FED according to our politicians and special interest groups, is to create a steep yield curve to benefit the large banks (who own the FED). manipulating the business cycle to benefit the few at the expense of the many has always been the FED's mandate, that's why it was created. The puppets who work for the FED are doing their job, and doing it well. The FED doesn't need new mandates, it needs to be dissolved.
Disagree. Bernanke is doing fine. At least you acknowledge that there are no easy solutions. I give you credit for that. Beware of anyone who tries to oversimplify the predicament we are in.
I realize that's the popular thinking in the blogosphere, but that stuff is put out there by people who want to oversimplify things, so they can sell you on how smart they are, or they are genuinely clueless. Look, there is an element of truth in what they say, but they have really oversimplified things and missed the mark.
why is it the Fed is the only central bank out there with a dual mandate? why is it that all the other central banks target price stability alone? unemployment is better served through FISCAL policy, not MONETARY. read up a bit on it, mate.
ââ¬ÅIf the American people ever allow private banks to control the issuance of their currency, first by inflation and then by deflation, the banks and corporations that will grow up around them will deprive the people of all their property until their children will wake up homeless on the continent their fathers conquered.ââ¬Â Thomas Jefferson (1743-1826), 3rd US President manipulating the currency is an age old practice. We really haven't changed (progressed) much in a couple hundred years rather, I would argue we are more ignorant and stupid today.
No, he is not doing fine. He needs to split. Bernanke is a smart academic, but a miserable central banker trying to appease the wrong people and appears to be the reincarnation of Arthur Burns, inept Fed chairman incapable of dealing with 1970's stagflation. Bernanke has shown he is incapable of dealing with the current situation. I have already explained why to you once before.
I agree with "unemployment is better served through FISCAL policy, not MONETARY." entirely. Given we are in a fiscal tightening mode (with Obama raking businesses on one hand, and tea partiers going down the path of austerity in the other), shouldn't be some somewhat thankful that the central bank's monetary expansion is at least counter acting some of that? Also, of the four major central banks, economic activities is certain an objective for BOJ. ECB is not really a central bank of a country, but of a semi-sovereign union. BOE is somewhat in the middle. So the dual mandate is hardly an aberration.
"economic activities" does not mean "dual mandate". none of the banks you mentioned have dual mandates. not even the BOJ: http://www.iie.com/publications/opeds/oped.cfm?ResearchID=790 the reason the bank of japan has been so active in their "economic activities" as you call them (QE, etc) is because the country has been experiencing REAL deflation for so long. that falls under price stability.