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November 18, 2004

Taking away the punch bowl when the party is really getting going?

That is the classic view of the role of the central bank. It extends beyond using monetary policy to prevent "overheating" and price inflation. Most central bank regulate the banking system, and si…

December 8, 2004

Politics and Government
Damaged Snow

If you were John Snow, would you stay knowing that you were at best the President’s second choice?Do DC’s conservative activists really value tax cuts more than financial stability? And does their op…

January 2, 2005

Budget, Debt, and Deficits
Social Security Crisis in 2018? Ridiculous

Take a look at this Washington Post article by Jonathan Weisman, which the big blogs have justly pounced on. The initial framing of Weisman’s article is just way, way off. Social security in no way…

May 23, 2005

China
Five myths (or half truths) about China and the renminbi

China’s exchange rate peg has attracted a lot of attention recently, in the market, among the public and in the press. (also here, here and many other places)Alas, too much of the commentary seems t…

May 27, 2005

United States
Bretton Woods Two and Trade Politics

The interest rate on the 10 year Treasury note is somewhere between 4.0-4.1% -- and the US seems to be having no trouble financing its current account (or its budget) deficit right now. The risk of…