The Fed Isn’t What John Cochrane Wants It to Be, Never Was

The Fed’s mandates are rooted in endless fallacy, most prominently the discredited Phillips Curve which says economic growth causes prices to rise. Please keep this in mind as monetary policy grandees pen high-toned pieces musing about what the next Fed Chairman should think about, and do. 

All it takes to see the foolishness of everything central-bank related is to contemplate the Fed’s “price stability” mandate. While thinking about it, perhaps Google “I, Pencil” to see the myriad global inputs that go into the making of something so prosaic. 

Read the full article on Forbes.