Post by rentedmule on Jul 1, 2015 7:02:22 GMT -5
Good ole William Greider is at it again!
www.thenation.com/blog/211057/how-federal-reserve-could-help-give-you-raise#
"Bivens has proposed a modest solution in which the central bank could become a discreet agent in encouraging stronger wage gains. The Federal Reserve, he explains, should formally target wages as an important indicator in its complex policymaking processes.
Instead of monitoring only variables like price inflation or unemployment levels or GDP growth, Federal Reserve governors should also base their decisions on the condition of labor-market wages. If wage levels are flat or falling, as they have been for many years, that would suggest a need for looser monetary policy to stimulate the economy—lower interest rates or other government measures that could directly boost labor incomes."
Does anyone on this board really believe that the central bank has the ability to accomplish such delicate work?
www.thenation.com/blog/211057/how-federal-reserve-could-help-give-you-raise#
"Bivens has proposed a modest solution in which the central bank could become a discreet agent in encouraging stronger wage gains. The Federal Reserve, he explains, should formally target wages as an important indicator in its complex policymaking processes.
Instead of monitoring only variables like price inflation or unemployment levels or GDP growth, Federal Reserve governors should also base their decisions on the condition of labor-market wages. If wage levels are flat or falling, as they have been for many years, that would suggest a need for looser monetary policy to stimulate the economy—lower interest rates or other government measures that could directly boost labor incomes."
Does anyone on this board really believe that the central bank has the ability to accomplish such delicate work?
