The Monetary Base Finally Moves
Lance on Sep 30 2008 | Filed under: Dollar, Economics, Federal Reserve, monetary policy
The Federal Reserve has for a long time eschewed increasing the money supply directly, and instead has manipulated credit to affect the economy and control inflation. This has led to three important things which are in my opinion at the root of this crisis.
Asset price inflation (at least initially) as opposed to broader price inflation.
A [...]
