3 ms·

According to the article, it was published on February 26 (although archive.org didn't index it until just the other day). The Fed didn't announce new swap line

by yasp 7y ago

According to the article, it was published on February 26 (although archive.org didn't index it until just the other day). The Fed didn't announce new swap lines until three weeks later [0]. This is my first time learning of the Triffin Dilemma, so I'd be interested for you to comment on what about it is "obviously" incorrect. Wikipedia suggests this isn't a controversial notion. [0] https://www.reuters.com/article/us-health-coronavirus-fed-swaps-idUSKBN2162AX https://www.reuters.com/article/us-health-coronavirus-fed-sw...

hogFeast 7y ago
...I didn't say it was controversial. The issue is that the Triffin Dilemma really only applied pre-Bretton Woods. It has been vogue again because of China and Europe bleating about people using the dollar but the reality is that central banks are very happy to hold gold, and dollars have been in ample supply. That is it. There are technical issues with Triffin too but the most important point is that doesn't represent reality today. I am not going into the history of this but one thing that economists today assume is that Bretton Woods broke up because of the Triffin Dilemma/lack of gold...this isn't wholly accurate and Triffin expected that BW ending would cause deflation...it didn't, it caused massive inflation.