Add this Page to Facebook!   Submit to Twitter   Submit to Reddit   Submit to Stumble Upon   Pin It!   Fark It!   Tell A Friend  
Printer Friendly Page Save As Favorite Save As Favorite View Article Stats
1 comment

OpEdNews Op Eds

Wall Street Philosopher King Bashes Fed Policy

By (about the author)     Permalink       (Page 1 of 3 pages)
Related Topic(s): ; ; ; ; , Add Tags Add to My Group(s)

Must Read 2   Interesting 2   Well Said 1  
View Ratings | Rate It

Headlined to H2 11/1/10
Become a Fan
  (191 fans)

opednews.com

Wall Street Philosopher King Bashes Fed Policy - Stephen Lendman

Besides less prominent investment/economic advisors, no one does it better than Jeremy Grantham, based in Boston, not Wall Street. In 1977, he co-founded Grantham, Mayo and Van Otterloo, now known as GMO. Quarterly in letters to clients, he assesses current economic and market conditions, taking a longer view as well.

His commentaries are reflective, refreshing, scholarly, sober and clear, although in recent ones (compared to the previous 15 years) he's been uncharacteristically upbeat. Not in his latest, however, titled, "Night of the Living Fed: Something Unbelievably Terrifying," below which, in billboard film promotion form, he lists the following:

"Runaway Commodities!

(Zombi) Banks Come Back to Life!

Homes Destroyed!

Families Evicted!

Currency Wars!

Starring BEN BERNANKE

and introducing JANET YELLEN (current Fed vice chairman)

with Guest Appearance as Chief Zombie ALAN GREENSPAN," the Maestro of Misery, responsible for today's mess before Bernanke took over in February 2006, exacerbating it with policies disgusting enough to make legitimate analysts blush, cry foul, or rage against ruinous practices on his watch.

Credit Grantham for the latter, at his best in his Q3 report. Noting "The Ruinous Cost of Fed Manipulation of Asset Prices," he says the following:

"If I were a benevolent dictator, I would strip the Fed of its obligation to worry about the economy (failing dismally at it)....limit(ing) its meddling to attempting to manage inflation."

Put another way, he recommends maintaining price stability alone, what few, if any, Fed chairmen accomplished since 1913 - why nearly a century later, pre-Fed dollar value declined to less than 5 cents. Moreover, it's heading lower, given Bernanke bent on weakening it, perhaps destroying it to be replaced by a Wall Street controlled global currency. They may crave it, but not US households seeing their savings destroyed.

Grantham:

"I would limit (Fed) activities to making sure that the economy had a suitable amount of liquidity to function normally - a Goldilocks formula, not too hot, not too cold, just right. "I would force it to swear off manipulating asset prices through artificially low rates and asymmetric promises of help in tough times - the Greenspan/Bernanke put."

Next Page  1  |  2  |  3

 

I was born in 1934, am a retired, progressive small businessman concerned about all the major national and world issues, committed to speak out and write about them.
Add this Page to Facebook!   Submit to Twitter   Submit to Reddit   Submit to Stumble Upon   Pin It!   Fark It!   Tell A Friend
The views expressed in this article are the sole responsibility of the author and do not necessarily reflect those of this website or its editors.

Writers Guidelines

Contact Author Contact Editor View Authors' Articles

Most Popular Articles by this Author:     (View All Most Popular Articles by this Author)

The McCain-Lieberman Police State Act

Daniel Estulin's "True Story of the Bilderberg Group" and What They May Be Planning Now

Continuity of Government: Coup d'Etat Authority in America

America Facing Depression and Bankruptcy

Lies, Damn Lies and the Murdoch Empire

Mandatory Swine Flu Vaccine Alert

Comments

The time limit for entering new comments on this article has expired.

This limit can be removed. Our paid membership program is designed to give you many benefits, such as removing this time limit. To learn more, please click here.

Comments: Expand   Shrink   Hide  
1 people are discussing this page, with 1 comments
To view all comments:
Expand Comments
(Or you can set your preferences to show all comments, always)

Lendman says the private Federal Reserve is uncons... by Mike Preston on Monday, Nov 1, 2010 at 10:56:02 AM