https://www.nysun.com/editorials/bidens-infrastructure-a-bridge-to-nowhere/91464/
Ever wonder what the next infrastructure project might be after President Biden gets done rebuilding the roads, bridges, and green boondoggles on which he’s going to spend our trillions? How about the United States dollar? It’s been floating around without any legal definition or link to gold for fifty years now and has lost nearly 98% of its value against the metal into which it used to be exchangeable at a fixed and statutory rate.
What puts us in mind of this are the remarks Monday of Christopher Waller. He’s the newest member of the Federal Reserve Board. He spoke at a symposium of a think tank. He announced his topic to be the virtues of the central bank’s independence. Then he tried to insist that he and his fellow governors would not be subservient to Chairman Yellen’s Treasury Department. Quoth he:
“Because of the large fiscal deficits and rising federal debt, a narrative has emerged that the Federal Reserve will succumb to pressures (1) to keep interest rates low to help service the debt and (2) to maintain asset purchases to help finance the federal government. My goal today is to definitively put that narrative to rest. It is simply wrong. Monetary policy has not and will not be conducted for these purposes.”
Nor did Governor Waller stop there. He said his colleagues and he would “continue” to act “solely” to carry out the congressional mandates of maximum employment and price stability. The Federal Open Market Committee works exclusively to “move the economy towards those goals.” Said he: “Deficit financing and debt servicing issues play no role in our policy decisions and never will.”