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.
2019-04-23 19:45:00 Tuesday ET

Income and wealth concentration follows the ebbs and flows of the business cycle in America. Economic inequality not only grows among people, but it also gr
2019-04-27 16:41:00 Saturday ET

Tony Robbins suggests that one has to be able to make money during sleep hours in order to reach financial freedom. Most of our jobs and life experiences tr
2019-01-23 11:32:00 Wednesday ET

Higher public debt levels, global interest rate hikes, and subpar Chinese economic growth rates are the major risks to the world economy from 2019 to 2020.
2017-05-13 07:28:00 Saturday ET

America's Top 5 tech firms, Apple, Alphabet, Microsoft, Amazon, and Facebook have become the most valuable publicly listed companies in the world. These
2018-04-13 14:42:00 Friday ET

Mike Pompeo switches his critical role from CIA Director to State Secretary in a secret visit to North Korea with no regime change as the North Korean dicta
2025-07-01 13:35:00 Tuesday ET

In recent times, financial deglobalization and asset market fragmentation can cause profound public policy implications for trade, finance, and technology w