2018-10-23 12:36:00 Tue ET
federal reserve monetary policy treasury dollar employment inflation interest rate exchange rate macrofinance recession systemic risk economic growth central bank fomc greenback forward guidance euro capital global financial cycle credit cycle yield curve
Former Fed Chair Paul Volcker releases his memoir, talks about American public governance, and worries about plutocracy in America. Volcker suggests that public governance entails running the government with few unproductive policy debates. As the U.S. central bank, the Federal Reserve need not adhere to an explicit 2% symmetric inflation target. The current neutral interest rate hike can continue even when inflation rises above the target range of 2%-2.5%. Volcker supports stronger supervisory powers for both the Federal Reserve and Treasury. Both regulatory agencies should continue to conduct regular macroprudential stress tests on the systemically-important financial institutions (SIFIs) once per year in the post-Dodd-Frank era. SIFIs should build up sufficient core capital buffers to safeguard against extreme losses that might arise in rare times of financial stress. Also, the Volcker rule separates commercial bank activities from proprietary investment transactions. This firewall serves as a safety valve between safe bank deposits and risky asset investments.
Volcker worries about the impact of money on the U.S. political system, and he expresses grave concerns about the recent trend that America seems to devolve into a plutocracy. In his view, U.S. democratic regulations should restrict the direct influence of crazy rich Americans over political affairs.
If any of our AYA Analytica financial health memos (FHM), blog posts, ebooks, newsletters, and notifications etc, or any other form of online content curation, involves potential copyright concerns, please feel free to contact us at service@ayafintech.network so that we can remove relevant content in response to any such request within a reasonable time frame.
2019-09-21 09:25:00 Saturday ET

President Trump praises great unity and progress at the G7 summit with respect to Sino-U.S. trade conflict resolution, global climate change, containment fo
2018-01-03 08:38:00 Wednesday ET

President Trump targets Amazon in his call for U.S. Postal Service to charge high delivery prices on the ecommerce giant. Trump picks another fight with an
2018-06-17 10:35:00 Sunday ET

In the past decades, capital market liberalization and globalization have combined to connect global financial markets to allow an ocean of money to flow th
2020-07-05 11:31:00 Sunday ET

Business entrepreneurs dare to dream, remain true and authentic to themselves, and try to make a great social impact in the world. Alex Malley (2014)
2017-08-25 13:36:00 Friday ET

The U.S. Treasury's June 2017 grand proposal for financial deregulation aims to remove several aspects of the Dodd-Frank Act 2010 such as annual macro s
2018-01-04 07:36:00 Thursday ET

The world now faces an economic inequality crisis with few policy options. Some recent U.S. Federal Reserve data suggest that both income and wealth inequal