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Can The Federal Reserve Stop A Recession?
Welcome back!
On Tuesday, August 5, the Federal Reserve voted to keep the interest rate for banks unchanged at 2 percent. Although I am by no means an expert on the economy and the role of the Federal Reserve, the actions of the Federal Reserve often remind me of that old cartoon about the conversation between Bob and Joe under the streetlight. Bob sees Joe looking at the sidewalk under the streetlight and asks:
Bob: “What are you looking for?”
Joe: “My keys.”
Bob: “Did you lose them here?”
Joe: “No, I dropped them over there.”
Bob: “Why are you looking for them here, when you dropped them over there?
Joe: “There’s no light over there.”
The goal of the Fed is to control the money supply to prevent both inflation and recession. It’s easy to think of the Federal Reserve as a giant puppet master in Washington, able to pull the strings of the economy when it goes off track. As powerful as it is, the Federal Reserve is really a one-trick pony, with one major tool.
Read the rest of the post at
Why The Federal Reserve Is Keeping Its Fingers Crossed Under The Streetlight
For Your Abundant Success,
Kalinda Rose Stevenson, Ph.D.
“The Money Mentor”
kalinda@NoMoneyLimits.com
www.NoMoneyLimits.com
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Do you know that you are the product of all the stories you have learned throughout your life? Most of us try to live with stories that don’t serve us. This is especially true with Bible stories. For a new look at old Bible stories, go to Impolite Topics: Religion, Politics, and the Bible…For Seekers. To find out why most of the Bible stories you learned about Jesus and money are not true, be sure to visit Going Broke With Jesus.
