Fiscal reform needed as pension time bomb ticks away
America’s summer of fiscal discontent is coming to a close on a downbeat note. The California legislature is preparing to wind up its session having stirred up a lot of controversy but done almost nothing to address the state’s ongoing pension crisis. The burgeoning shortfall now adds up to $139 billion in the CalPERS fund Read More →
Fed rate increase should help take risk out of financial markets
The Federal Reserve’s decision to slowly begin the process of normalizing interest rates may not have all that much to do with the economy or inflation. The economy isn’t really overheated and any threat of inflation remains far off in the future. Parsing the Fedspeak of the Dec. 16 announcement that regulators are “reasonably confident” Read More →
Special Comment from the Editor: Jan. 2 rally could singal turning point
A curious aspect to the history of modern finance is the presence of substantial turning points. Often these are moments whose significance is not fully recognized until years, perhaps decades have passed. But it’s also true that these turning points sometimes happen under extreme political or economic pressure—pressure that forces a substantial policy change. Decisions Read More →
Fed economist forecasts 2.5% growth this year
Zimmerman: Inflation is expected to be at around 1.5 percent in 2012 and 2013.
U.S. should set inflation target, Fed economist says at UCSB
Setting the federal funds interest rate target at zero is a trap, and one the Federal Reserve would be better off avoiding, St. Louis Federal Reserve Economist Bill Gavin said at an Oct. 27 appearance at UC Santa Barbara. Warning of the dangers of the so-called “zero lower bound,” when the federal funds rate is Read More →
