http://taxesandbudget-blog.ncpa.org/monetary-policy-is-not-interest-rate-policy/ Insights on Taxes, Economic Policy, Federal Budget | NCPA Fri, 12 Mar 2010 17:57:23 -0600 http://wordpress.org/?v=2.8.4 hourly 1 http://taxesandbudget-blog.ncpa.org/monetary-policy-is-not-interest-rate-policy/comment-page-1/#comment-10571 John Booke Wed, 12 Aug 2009 00:41:47 +0000 http://taxesandbudget-blog.ncpa.org/?p=1169#comment-10571 Bob is the Fed rate really "zero?" Lately doesn't it shift around .15 to .25% on a daily basis? Anyway how is the rate "distortionary?" The Fed Funds futures prices don't seem to be pricing in a higher rate. You have said in the past that even at this very low Fed rate banks are not lending very much money. And it seems like businesses and consumers aren't interested in borrowing even at the "zero" rate. Are you saying that we need to move "quantitative easing" off the table at this time? Should the Fed be talking about that? How will the currency markets react if the Fed even hints at such a notion? Bob is the Fed rate really “zero?” Lately doesn’t it shift around .15 to .25% on a daily basis? Anyway how is the rate “distortionary?” The Fed Funds futures prices don’t seem to be pricing in a higher rate. You have said in the past that even at this very low Fed rate banks are not lending very much money. And it seems like businesses and consumers aren’t interested in borrowing even at the “zero” rate. Are you saying that we need to move “quantitative easing” off the table at this time? Should the Fed be talking about that? How will the currency markets react if the Fed even hints at such a notion?

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