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Boston Fed Chief Eric Rosengren Is A Man Suffering From A ‘Horrendous Lack Of Vision’
Donald Trump is highly distressed at what he on Monday described as a "horrendous lack of vision by Jay Powell and the Fed".
By "lack of vision", the president of course means the good folks conducing US monetary policy don't necessarily think it's a great idea to cut rates to zero and restart large-scale asset purchases when the economy is growing at a 2.1% annualized clip and the unemployment rate is parked at a five-decade nadir.
The reason officials think that kind of overtly pro-cyclical
Acknowledging Uncertainty
10.07.16
” …we could improve the public’s understanding of our monetary policy strategy if we provided more interpretation of those facts – namely, our assessment of how recent changes in economic and financial data have or have not changed the medium-run outlook, the risks around that outlook, and therefore the appropriate policy path. We could also strive for more consistency about the conditions we systematically assess in calibrating the stance of policy so that the public would get a better sense of the Committee’s reaction function over time.”
https://www.clevelandfed.org/en/newsroom-and-events/speeches/sp-20161007-acknowledging-uncertainty
2.1% growth rate. Zero earnings growth y/y. Trump’s econ miracle!!!