Why Central Banking Is So Hard and Why Fed Independence Matters

Why Central Banking Is So Hard and Why Fed Independence Matters

Central bankers set policy with incomplete information, unobservable targets, and constant trade-offs between growth, inflation, and employment. In this episode, we delve into how the fight for Federal Reserve independence could impact markets, interest rates, and your financial future.

Topics covered include:

  • What Federal Reserve Chair Powell said at the Fed's annual Jackson Hole Symposium
  • What is the Federal Reserve's mission statement
  • Why is it normal for U.S. presidents to disagree with the Federal Reserve's policy stance?
  • Why attacking the Fed's independence is harmful and could lead to higher interest rates and a weakening dollar
  • What causes inflation, and why is it difficult to know the correct level of interest rates


Sponsor

LinkedIn Jobs – Use this link to post your job for free on LinkedIn Jobs

Insiders Guide Email Newsletter

Get our free Investors' Checklist when you sign up for the free Money for the Rest of Us email newsletter

Our Premium Products

Asset Camp

Money for the Rest of Us Plus

Show Notes

2025 Statement on Longer-Run Goals and Monetary Policy Strategy—The Federal Reserve Board

Trump says U.S. interest rate is at least 3 points too high—Reuters

Trump warns of economic slowdown unless Fed cuts rates, triggering selloff by Howard Schneider and Ismail Shakil—Reuters

What is the neutral rate of interest? by Sam Boocker, Michael Ng, and David Wessel—Brookings

Trump Moves to Fire Fed’s Cook, Setting Up Historic Fight by Jonnelle Marte and Myles Miller—Bloomberg

Different Types of Central Bank Insolvency and the Central Role of Seignorage by R. Reis—Semantic Scholar

Powell's Econ 101: Jobs not inflation. And forget about the money supply by Howard Schneider—Reuters

Related Episodes

453: The Price of Money – 700 Years of Falling, Can Interest Rates Keep Rising?

312: What the Federal Reserve’s New Policies Mean For Your Finances

295: Federal Reserve Insolvency and Monetizing the National Debt

246: What Central Banks Don’t Know Should Concern You


See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.

Episoder(573)

Should You Investment 100% of Your Retirement in Closed-End Funds?

Should You Investment 100% of Your Retirement in Closed-End Funds?

We compare three approaches to closed-end fund investing: Opportunistic trading, the buy and hold income factory, and a systematic approach of selling closed-end funds after 5% gains.We also explore t...

26 Mar 202524min

What Trump Wants Part 2 - How Trade Deficits and Capital Flows Can Harm or Help Countries

What Trump Wants Part 2 - How Trade Deficits and Capital Flows Can Harm or Help Countries

How trade deficits are making the U.S. poorer, while in the past they have made the U.S. wealthier.Topics covered include:Two ways countries can increase their competitivenessHow savings always equals...

19 Mar 202522min

Tariffs and the Mar-a-Lago Accord: What Trump Really Wants

Tariffs and the Mar-a-Lago Accord: What Trump Really Wants

How the Trump administration is using tariffs as a negotiating tool to weaken the U.S. dollar and increase the global competitiveness of U.S. manufacturers.Topics covered include:Why U.S. stocks are f...

12 Mar 202528min

Why Japanese Stocks Could Outperform with Howard Smith - FEG Insight Bridge

Why Japanese Stocks Could Outperform with Howard Smith - FEG Insight Bridge

This week on episode 514, we share a conversation between Howard Smith of Indus Capital and Greg Dowling of FEG Investment Advisors on why Japan could surprise investors over the next decade with stro...

5 Mar 202548min

Crypto: Innovation or Insanity? Meme Coins, Hacks, and Strategic Bitcoin Reserves

Crypto: Innovation or Insanity? Meme Coins, Hacks, and Strategic Bitcoin Reserves

We consider the incongruency of a U.S. Strategic Bitcoin Reserve, the latest crypto exchange hack, and how most participants lost money on the Trump meme coin. Given all that, we review some areas whe...

26 Feb 202523min

Unlocking Hidden Returns: How Mortality Credits Boost Retirement Income

Unlocking Hidden Returns: How Mortality Credits Boost Retirement Income

How using a deferred income annuity can increase retirement income compared to an immediate annuity or a bond ladder.Topics covered include:How immediate annuities and deferred income annuities workWh...

19 Feb 202525min

What Are Sovereign Wealth Funds and Does the U.S. Need One?

What Are Sovereign Wealth Funds and Does the U.S. Need One?

The U.S. and the UK each announced they were establishing sovereign wealth funds. We explore the purposes and types of sovereign wealth funds, how they invest, and some concerns with the U.S. establis...

12 Feb 202519min

Contrarian Investing with GMO's Ben Inker - FEG Insight Bridge

Contrarian Investing with GMO's Ben Inker - FEG Insight Bridge

This week on episode 510, we share a conversation between Ben Inker of GMO and Greg Dowling of FEG Investment Advisors on contrarian investing, deep value stocks, and the rise of passive investing. Da...

5 Feb 202550min

Populært innen Business og økonomi

stopp-verden
dine-penger-pengeradet
lydartikler-fra-aftenposten
rss-penger-polser-og-politikk
e24-podden
rss-borsmorgen-okonominyhetene
pengesnakk
livet-pa-veien-med-jan-erik-larssen
utbytte
rss-politisk-preik
pengepodden-2
finansredaksjonen
morgenkaffen-med-finansavisen
tid-er-penger-en-podcast-med-peter-warren
stormkast-med-valebrokk-stordalen
rss-markedspuls-2
lederpodden
rss-pa-konto
liberal-halvtime
rss-sunn-okonomi