We have just heard from new Federal Reserve Chairperson Janet Yellen in her first official speech entitled, What the Federal Reserve is Doing to Promo...
I believe that the Fed has overreached in its monetary policy not just in response to the latest crisis, but pretty consistently over the 15-20 years. In an effort to lessen the effects of (inevitable) economic downturns, the Fed (and other central banks) has caused extreme financial distortions and dislocations.
Despite Yellen's evident caution and discomfort in expressing any specific quantitative definition of "considerable period," the stock and bond markets chose to take Yellen ultra-literally about the six months and turned suddenly and violently downward.
The moment that the Federal Reserve's FOMC meeting ended, and its comments were released, interest rates rose. Why?
"Our young women need better role models than Kim Kardashian." An African woman living in Uganda said this to me via SKYPE while I was sitting in a coffeehouse in California.
There were several parts of the speech that revealed something about where her passions lie, and how the Yellen era at the Fed is likely to differ from previous tenures.
New Fed Chairwoman Janet Yellen has a great task ahead of her. How to combat the results of the Great Moderation, as it was called, that period of l...
Growth in the U.S. is slowing, along with Asia and emerging market economies. This is occurring under the context of a continued reduction of Fed asset purchases. Meanwhile, U.S. market strategist are busy looking at the weather charts trying to find excuses.
Fed Chairwoman Janet Yellen's congressional testimony proved that she is more than qualified to steer the US economy back to health. She is the economists' economist, in a word, willing to explain the most basic economic truths in her first marathon session (seven hours) before the House Financial Services Committee.
Bill de Blasio has lifted the left and is a man to watch in 2014. I have a hunch that the next Democratic nominee for president will be watching him closely, too.
Once upon a time in a century far, far away, the U.S. economy was perceived by one and all as in a "Goldilocks" state: not too cold, not too hot, just right."
Three aspects in particular strike me as liable to become important in the coming years. First, while much of Bernanke's personal interest and expertise was on financial markets and monetary policy, Yellen's own focus has always been more on understanding labor markets frictions and outcomes.
Even more worrisome than the wild swings on Wall Street and many other stock markets has been the impact of tapering on major emerging markets.
On February 1, Janet Yellen made "Her Story" when she became the Chair of the Federal Reserve Bank, the first female to hold that position. Many firsts for women in the financial services industry preceded Yellen's appointment.
For all the Yellen-watching going on, it is important to remember that the changeover is likely to be pretty subtle, especially at first.
Janet Yellen is a professional politician in every sense. She is definitely not your old university kind of economist who can speak only in numbers and statistics.