The worst part of the financial crisis happened after a passive Fed tightening (David Beckworth)
David reiterates the point that some commenters missed in the earlier post:
What's good for the U.S. seems to be a reasonable assumption as well, for EMs (Scott Sumner)
Putting one's own house in order
Some folk aren't yet familiar with Abenomics, it seems...
Never reason from a quantity change (unless you coined the phrase)
As Benjamin Cole asked, "How many times can you go back to the well, and raise VAT taxes and lower payroll taxes?" Oh, so it's stimulus you need
Significantly, the Fed indicated that it was ignoring oil prices...
Matt O'Brien on the Fed's mistakes during 2008
Questions for conservatives include "What would 'tight' money look like?" How much longer?
Sumner's Econlog posts for the week include
Does Happiness Cause Income?
The Mysterious Rise in Youth Unemployment
Is Abenomics Working?
NGDP targeting is not a "fragile" policy
Why does "easy" monetary policy bring out the worst in people? (Marcus Nunes)
In charts - nominal level and growth are reliable indicators for FF movements.
Has evolution "given up" on Charles Plosser? http://thefaintofheart.wordpress.com/2014/03/01/2008-all-over-again/
Government has yet to be convinced that in monetary terms, we are all riding the same bus.
More tightening, please. Yeah, "that's the ticket". http://thefaintofheart.wordpress.com/2014/03/03/best-headline-of-the-decade/
Marcus compares the U.S. and Eurozone in charts: http://thefaintofheart.wordpress.com/2014/03/04/draghi-confirms-the-inflation-obsession-is-epidemic/
Benjamin Cole suggests changes for the Fed: http://thefaintofheart.wordpress.com/2014/03/04/the-fomc-board-secrecy-and-obscurantism-do-not-make-for-good-democracy/
Politics and economics are too closely connected
When supply side "collides" with demand side (Britmouse)
"...NGDP growth has picked up to 4.5% over the year to Q4..." http://uneconomical.wordpress.com/2014/02/28/uk-2013-nominal-gdp/
Global Recovery...rising oil prices! Oops...can't win for losing.
There's a new blogger in our midst - Ravi Varghese. In this post he considers deflation:
An interesting take on obliquity http://insecurityanalyst.blogspot.com/2014/03/will-real-mr-roosevelt-please-stand-up.html
Geo political risk is an aggregate supply shock (Lars Christensen) http://marketmonetarist.com/2014/02/27/a-crimean-style-aggregate-supply-shock/
I agree - a book definitely worth reading: http://marketmonetarist.com/2014/03/01/book-of-the-day-fragile-by-design/
Wauw...just wauw! http://marketmonetarist.com/2014/03/01/who-is-regulating-the-regulators/
There's nothing new in the Keynesian AS function (Nick Rowe): http://worthwhile.typepad.com/worthwhile_canadian_initi/2014/02/keynes-gt-chapter-3.html
David Glasner highlights Matthew O' Brien's article:
Krugman could have singled out inflation phobia for the problem it truly represented:
Also of interest:
Quite a jump in public assistance, for people with Master's degrees and PhD's between 2007 and 2010:
James Pethokoukis isn't happy about the "new normal" either:
Is America really going to accept a permanent economic slowdown?