People talk about him in this light and I was curious to know why.
I just started reading Inside the House of Money and he made some "controversial" decisions here and there but I was trying to understand exactly what he did and his logic behind it.
Does anyone think he was a good fed chairman?
He caused the tech stock bubble, and housing bubble with his loose money policies despite his opinion of "irrational exuberance". He was the disciple of Ayn Rand, and betrayed all of his principles for money and power. Now the fed is going to be forced to engage in quantitative easing forever, resulting in a loss decade for American zombie banks just like Japanese zombie banks. Any BB bank that says they didn't need the bailout money and paid it back is lying, their completely dependent on quantitative easing for their survival. All of the Bureau of Labor Statistics numbers are lies based on hedonic adjustments for political reasons, most guys don't know how the old numbers were properly calculated in the 1970's-1980's, with the methodology modified in the 1990's. Any attempts of "tapering" from Janet Yellen are going to be quickly reversed with more QE, when the economy goes back into recession. If they fully proceed with "tapering" they are going to start doing cypress style "bail ins" of pensions and bank accounts in America, either way it is not going to be good.
Most hot shots on Wallstreet would have gone bankrupt due to the derivatives daisy chain in 2008, but were saved by TARP, operation twist, Zirp, and quantitative easing from 2009-2013. They are going getting to get killed later on though, never believe "This time it's different". That's why he is considered a bad Fed chairman in a nutshell, because he caused most of our current problems =).
Apart from all the other funny silly stuff in the post, I sure hope this here is a typo: "He was the disciple of Ayn Rand, and betrayed all of HIS principles for money and power"
Follow up: Would anyone also know a good book that gives a good macroeconomic history of the different fed chairmen and the different rate environments over the periods?
Something like a "History of Interest Rates" maybe but more updated and with some analysis would be nice.
Thanks.
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