Fed Gov: "We Are Awesome"

From a presentation by Janet Yellin (of the San Francisco Fed) on June 30 to the Commonwealth Club of California,

“I will be the first to say that it is always difficult to get monetary policy just right. But the Fed's analytical prowess is top-notch and our forecasting record is second to none.

The same Fed that thought there was no housing bubble? Second to none? What about all those Austrian economists who identified the bubble?

But Yellen didn't stop there. She followed up with:

“The FOMC is committed to price stability and has a solid track record in achieving it.

Really? The same Fed that presided over a 90% depreciation in the purchasing power of the dollar?

And finally, she finishes up with:

“With respect to our tool kit, we certainly have the means to unwind the stimulus when the time is right.

Robert Blumen

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Robert Blumen is an independent software developer based in San Francisco, California