Our Politically Induced Economic Stagnation, Part of the Republi-CON War on the Middle Class

UPDATE III: The Fed responds to the Repubi-cons:

"We are particularly amused by your reference to Fed actions that 'have likely led to more fluctuations and uncertainty in our already weak economy.' We here at the Fed watched in awe this past summer as you and your congressional allies demonstrated your vast power to create 'fluctuations and uncertainty,' by threatening to default on trillions of dollars' worth of U.S. debt. That triggered the first-ever downgrade of the nation's credit rating. The stock markets tanked. Consumer and business confidence plunged. You guys rock! Fluctuations and uncertainty indeed! So we humbly express our thanks for your insights on how to wreck the economy."

Read U.S. News, What Bernanke Might Say to His GOP Critics.


UPDATE II: "Congressmen have the right to speak out on monetary policy. As long as their advice is not politically motivated. Ask yourself the following question: Would these men be pressuring the Fed to adopt a tighter monetary policy if:

1. Unemployment were over 9%.

2. Inflation had averaged 1% over the past three years.

3. George Bush were president.

Were these men criticizing monetary policy under Bush, when inflation was higher than today? I don’t recall that happening."

Read TheMoneyIllusion, The definition of treason.


UPDATE: Yesterday, a letter was sent to Bernanke, signed by Sen. Mitch McConnell, Rep. John Boehner, Sen. Jon Kyl, and Rep. Eric Cantor, "making clear that the Republican leadership in Congress is strongly opposed to any further attempts to help the economy." Read the Washington Post, Nice central bank you got here. Shame if something should happen to it.

As I said before, Republi-cons want Obama to fail, the American economy is just acceptable collateral damage to achieve that goal.

Why isn't Ben Bernanke 2011 taking the advice of Ben Bernanke 2000?

"Back then, Mr. Bernanke suggested that the Bank of Japan could get Japan’s economy moving with a variety of unconventional policies. These could include: purchases of long-term government debt (to push interest rates, and hence private borrowing costs, down); an announcement that short-term interest rates would stay near zero for an extended period, to further reduce long-term rates; an announcement that the bank was seeking moderate inflation, 'setting a target in the 3-4% range for inflation, to be maintained for a number of years,' which would encourage borrowing and discourage people from hoarding cash; and 'an attempt to achieve substantial depreciation of the yen,' that is, to reduce the yen’s value in terms of other currencies. "

As I said before, Republi-cons want Obama to fail, the American economy is just acceptable collateral damage to achieve that goal.

All part of the Republi-CON war on the middle class!