- Says more monetary easing won’t be effective, would be a mistake.
- Also worried further easing may create wrong impression that fed is ‘politically pliant’
- If Fed eases further, ‘getting out’ could become more difficult.
- Questions effect of pushing out rate hike guidance beyond 2014 as FOMC members will have changed by then.
- Further easing could help economy via short-lived ‘wealth effect’, other transmission channels blocked.
- Says inflation is ‘not the issue in short, medium term, sees it steady at just below 2 %.
- U.S. economy weak, job growth is ‘not enough’.
- U.S. economy, ‘ready to rock and roll, ‘is being throttled by lack of action on fiscal policy.
- Friday’s jobs report was clear signal to Congress to ‘get act together’ on fiscal policy.
- Businesses reluctant to hire without knowing what taxes and government spending will be.
Guess that we don’t need a little uncertainty in these uncertain times , do we ?
