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Quantitative Easing

The Great Income Divergence--Part II

Harlan Green | Posted 03.05.2014 | Business
Harlan Green

Ben Bernanke is now defending his record as Fed Chairman. He shouldn't have to, as without the Fed's easy money policies--such as QE3--the economy wo...

Calibrating 2014

Otaviano Canuto | Posted 03.04.2014 | World
Otaviano Canuto

The global economy looks poised to display better growth performance in 2014. Leading indicators are pointing upward -- or at least to stability -- in major growth poles. However, for this to translate into reality policymakers will need to be nimble enough to calibrate responses to idiosyncratic challenges.

How Left and Right Can Unite to Fight Unemployment

Justin Talbot Zorn | Posted 02.24.2014 | Business
Justin Talbot Zorn

While progressives have sought more Fed transparency , the left's preference has been to boost employment through Fed-fueled consumer demand. This could change.

Fed To Begin Tapering In January

Reuters | Posted 01.25.2014 | Business

By Jonathan Spicer and Jason Lange WASHINGTON (Reuters) - The U.S. Federal Reserve announced plans to trim its aggressive bond-buying program on We...

The Fed Isn't Ready To Stop Feeding The Economy Easy Money

AP | MARTIN CRUTSINGER | Posted 10.30.2013 | Business

WASHINGTON -- WASHINGTON (AP) — The Federal Reserve says the U.S. economy still needs support from the Fed's low interest-rate policies because it i...

What if Nobody Came to the Government Shutdown?

D. Sidney Potter | Posted 10.29.2013 | Business
D. Sidney Potter

Without the confidence that consumers can enter loan transactions without a substantially amount of risk, then both lender and consumer will become like two left footed dance partners caught in an awkward embrace.

The Truth Behind Emerging Economies: Colombia Case

Felipe Ángel | Posted 01.23.2014 | World
Felipe Ángel

America's financial and economical decisions will have an effect on emerging economies in the times to come. The reversal of flows will destabilise emerging economies, and an effort to attract investment will have to be made in order to keep the increasing growth rates in the GDP.

Quantitative Easing: Is it the Solution to all Our Economic Problems?

Emmanuel I.S. Ajuzie | Posted 01.23.2014 | Business
Emmanuel I.S. Ajuzie

The Fed has been trusted with the responsibility of keeping inflation and unemployment low. Because of the inverse relationship between the two, policy makers have not always found it easy to carry out both assignments.

Why the Fed's efforts are putting the U.S. economy at risk

Jeffrey Rubin | Posted 11.27.2013 | Business
Jeffrey Rubin

To the relief of borrowers around the world, the U.S. Federal Reserve Board is holding off on tapering its bond-buying program.

Good for Them! Fed Delays the Taper

Jared Bernstein | Posted 11.18.2013 | Business
Jared Bernstein

Not tapering yet won't make things much better more quickly, but they'll keep them from getting worse.

Majority Of Americans Won't Miss Fed Stimulus (Because They Don't Know What It Is)

Reuters | Posted 11.17.2013 | Business

(Restores dropped word "if" in the 2nd sentence of the 23rd paragraph) By Ann Saphir SAN FRANCISCO, Sept 17 (Reuters) -...

El-Erian: Fed Moves Will Affect Global Growth

Nathan Gardels | Posted 11.16.2013 | World
Nathan Gardels

Mohamed El-Erian is the CEO of the investment firm PIMCO, the world's largest bond investor. I talked to him last week about the likelihood that the U.S. Federal Reserve will soon begin tapering its asset purchases.

Fed Taper Talk Bursts Bubble

Dean Baker | Posted 11.03.2013 | Business
Dean Baker

The long and short is that the Fed did a really nice job in preemptively bursting a housing bubble before it grew large enough to do much damage. This may not have been its intention, but they deserve praise nonetheless.

A Fantasy Fed Chair Who Can Save the Planet

Mike Sandler | Posted 10.29.2013 | Business
Mike Sandler

The next Fed Chair will need to be more than another insider bureaucrat. She will need to be an action hero who can kill zombies (i.e. Milton Friedman clones) and save the planet.

Emerging Markets Sell-Off: What's Next?

Otaviano Canuto | Posted 10.28.2013 | World
Otaviano Canuto

The last weeks of summer have been marked by renewed pressure of capital outflows and exchange rate devaluations in several systemically relevant emerging markets. This is just the latest round of a global portfolio rebalancing that has been in motion since May 22.

Is Another Emerging Market Crisis Brewing?

Nick Beecroft | Posted 10.22.2013 | Business
Nick Beecroft

Should we worry about potential contagion to weak eurozone peripheral countries? I don't think so, as the current account balances of Greece, Italy, Portugal, and Spain have all virtually improved to zero, compared to India's 4.8 percent deficit.

Tiptoeing Through the Tulips

Michael Farr | Posted 08.01.2013 | Business
Michael Farr

The next few weeks are critical in determining whether or not the economy is on a self-sustaining path.

Managing Expectations--The Fed's Two-Edged Sword

Harlan Green | Posted 09.01.2013 | Business
Harlan Green

It does look like the results of Fed Chairman Bernanke's push for greater transparency in Federal Reserve policy deliberations are coming home to roos...

Philippine Stocks Dip: Taming Irrational Exuberance

Richard Javad Heydarian | Posted 08.25.2013 | Business
Richard Javad Heydarian

Enjoying an upward trend in recent years, the Philippine Stock Exchange (PSE) has, in recent months, begun to display bubble-like properties, raising alarm bells among investors and market watchers.

Quantitative Easing: An Addiction That Makes Cold Turkey Inevitable, but Timing Will Be Key

Michael Kay | Posted 08.24.2013 | Business
Michael Kay

Commentary and debates from some of the most talented brains in economics reveal a myriad of differing opinions surrounding orthodox and unorthodox monetary policy, but one fact we can be certain about -- QE cannot last forever.

An Eventful Week for Mortgage Rates

Richard Barrington | Posted 08.21.2013 | Business
Richard Barrington

There were three especially noteworthy events concerning mortgages during the week of June 17. All of them point to a mortgage environment very much in a state of change.

By Pivoting Away From Stimulus, Is The Federal Reserve Making the Same Mistake as Congress?

Jared Bernstein | Posted 08.21.2013 | Business
Jared Bernstein

Ben Bernanke has been saying that the economy's getting a bit better, so interest rates are going up. And at some point, sooner than later, he and his buds at the Federal Reserve are going to start adding a bit less juice to the punch bowl. I don't really know what to make of the markets and I suspect they're just going to be volatile for a while. But it's the real economy I'm worried about, and I used to have a friend in Bernanke when it came to that. Now, I'm not so sure. Fed policy always has costs and benefits and deep monetary stimulus is no free lunch. But as long as the broader economy remains in the residual gravitational pull of the great recession, the benefits of the Fed's aggressive actions outweigh the costs. I get that they're planning their pivot, which isn't the same as pivoting. But they're doing so too soon.

Fed Driven

Michael Farr | Posted 06.20.2013 | Business
Michael Farr

As the government's role as economic hall monitor is debated and global markets and foreign economies adjust to their own challenges, our focus is on investing in the old-fashioned companies with strong balance sheets, increasing earnings, strong cash flow, and seasoned management teams.

Market Calls the Fed's Bluff

Michael Pento | Posted 08.19.2013 | Business
Michael Pento

The Fed has recently expressed a desire to begin winding down its Quantitative Easing program in the next few months. This would be the first step towards the eventual raising of interest rates.

Elizabeth Warren's QE for Students: Populist Demagoguery or Economic Breakthrough?

Ellen Brown | Posted 08.17.2013 | Business
Ellen Brown

Investing in our young people has worked before and can work again; and if Congress orders the Fed to fund this investment in our collective futures by "quantitative easing," it need cost the taxpayers nothing at all.