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If you want to get past the paygate to read this article, disable JavaScript for www.bloomberg.com. > “the message is growth is slower, yes, but the risk of re
by hashberry 7y ago
If you want to get past the paygate to read this article, disable JavaScript for www.bloomberg.com.
> “the message is growth is slower, yes, but the risk of recession is grossly overstated. As long as the Fed continues to do the right thing” by cutting rates a couple more times.
Apparently a healthy economy is one the Federal Reserve manipulates by keeping interest rates as low as possible. How long can they keep this up?
- zamadatix 7y agoOr save yourself the trouble and have an adblocker manage this kind of stuff for you if you're just looking to circumvent it anyways.
- RickJWagner 7y agoA long time, if they want. They can also print money, the second lever at their disposal. There's a fascinating video about this, from Ray Dalio. Give it a look, it's pretty interesting. https://www.youtube.com/watch?v=PHe0bXAIuk0 https://www.youtube.com/watch?v=PHe0bXAIuk0
- OscarCunningham 7y agoPrinting money and lowering intrest rates are the same lever. When they lower interest rates more people sell bonds. The Fed buys those bonds with printed money. When the Fed prints money they then buy something with it. When they buy bonds it lowers interest rates. They sometimes buy shares but that has the same effect.