Harry, great discussion, thanks. personally, I am thrilled that we are seeing uncertainty in this outcome as uncertainty reduces leverage and that is a major problem hanging over markets I believe.
As I think about what you wrote and the idea that economics is all about tradeoffs and allocating scarce resources, that is definitionally correct. I guess I wonder why that is part of the monetary policy discussion, which should, by rights, be all about money, and perhaps the quantity thereof. it worked for Volcker, right?
I remain a fan of the end of forward guidance as I want to see less certainty and less fragility that comes along with it. the Minsky moment seems much further away under those circumstances than under the previous regime.
Totally agree Andy. It's probably mostly about trying to bring gross positions down. But think about that - it's a bit like trying to defuse an unexploded munition.
Harry, great discussion, thanks. personally, I am thrilled that we are seeing uncertainty in this outcome as uncertainty reduces leverage and that is a major problem hanging over markets I believe.
As I think about what you wrote and the idea that economics is all about tradeoffs and allocating scarce resources, that is definitionally correct. I guess I wonder why that is part of the monetary policy discussion, which should, by rights, be all about money, and perhaps the quantity thereof. it worked for Volcker, right?
I remain a fan of the end of forward guidance as I want to see less certainty and less fragility that comes along with it. the Minsky moment seems much further away under those circumstances than under the previous regime.
it will be interesting to see how it evolves.
Totally agree Andy. It's probably mostly about trying to bring gross positions down. But think about that - it's a bit like trying to defuse an unexploded munition.
nobody said it would be easy