Posts Tagged ‘asset bubbles’

Notes From Underground: What Was Learned From The Yellen Hearing

November 17, 2013
The Senate Banking Committee’s hearing for Janet Yellen’s Fed Chair nomination taught us several things:

1. The Senators should be applauded for dealing with Ms. Yellen in a dignified manner and allowing substance to prevail over theatrics. The questions were about issues of importance, and as I wrote on reading the¬†Wednesday¬†afternoon release of her prepared testimony, heavily oriented on the issue of the Fed’s regulatory responsibility. Yellen made it clear in her response on the issue of the FED‘s policy on deflating ASSET BUBBLES that monetary policy was too blunt an instrument.