Wednesday, September 21, 2011

A Glass Half Full

João Marcus Nunes points to something positive in the Congressional leaders' letter to Bernanke:

They said Fed officials should avoid further action, “particularly without a clear articulation of the goals of such a policy, direction for success, ample data proving a case for economic action and quantifiable benefits to the American people.”

I zeroed in on their complaints about the exchange rate. Sumner accuses them of "treason," on the view that they know monetary policy would help the economy and they want a weak economy going into the election.

What "glass half empty" thoughts.

Nunes argues that this is the perfect opportunity for Bernanke to explain to Congress that he plans to raise nominal GDP. Now, that is "glass half full" thinking.


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