Thursday, March 24, 2011

Hot Air Over Monetary Policy

Erwan Mahe submits:
Wonder what qualifications are required to be a central banker these days? Some of what passes as commentary by central bankers these days is enough to drive a sane man mad! Either they truly think we are all idiots or they "truly" understand nothing about the nature of currencies today (fiat), despite having considerable responsibility for them.
However, for once, I am neither referring to the ECB and the sabre-rattling of its governors, nor to the potential candidates to Trichet's succession, who are carrying on as if they were in a race to prove who can be the most slavish to Germany's monetary obsessions and the most hawkish.
No, this time I am talking about the Fed's Mr Fisher and Mr Shirakawa and Mr Miyao of the Bank of Japan.
Mr Fisher
Dallas Fed chief Richard Fisher says that, if he had been a voting member of the FOMC (he

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