Paul Volcker Admits the Fed Has an Unlimited Printing Press, Endorses Their Campaign for Regulatory Reform
Come get some "Volcker Shocker"
I use the word "reform" in that title loosely.
Hey! It's my favorite Republican news outlet! Is Glenn Beck done having his nervous breakdown now or is he still crying? I can't watch. FOXNews has Volcker's comments to the House Financial Services Committee tomorrow:
“Other agencies, certainly including the Treasury, have legitimate interests in regulatory policy. But I do insist that neither monetary policy nor the financial system will be well served if our central bank is deprived from interest in, and influence over, the structure and performance of the financial system.”
“Beyond its broad responsibility for monetary policy and its influence on interest rates, it is the agency that has the relevant technical experience growing out of working in the financial markets virtually every day. As potential lender of last resort, the Fed must be familiar with the condition of those to whom it lends.”
“In sum, there is no other official institution that has the breadth of institutional knowledge, the expertise, and the experience to identify market and institutional vulnerabilities. It also has the capability to act on very short notice. And the Federal Reserve after all, is the only agency that has financial resources at hand in amounts capable of emergency response.”
“I believe the experience demonstrates conclusively that the responsibilities of the Federal Reserve with respect to maintaining economic and financial stability require close attention to matters beyond the specific confines of “monetary policy”, if narrowly defined as influencing monetary aggregates and short-term interest rates.”
“None of this, to my mind, suggests a need for regulatory and supervisory authority to lie exclusively in the Federal Reserve … But equally clearly we do not want competition in laxity among regulators aligned with particular constituencies or exposed to narrow political pressures.”
“I do believe the Federal Reserve, our central bank, with the broadest economic responsibilities, with a perceived mandate for maintaining financial stability, with the strongest insulation against special political or industry pressures, must maintain a significant presence with real authority in regulatory and supervisory matters.”
Bet you guys who have been hoo-rahing his ass all this time are feeling a little bitter right about now, eh? Tried to tell you never trust a Fed fucker. Whatever.
He hangs out with the Group of 30 guys who are trying to (but not necessarily succeeding at) insert their goons in the financial system and make it as convenient as possible for their diabolical whatever-it-is-they-do. I don't want to throw around wild accusations, I hardly know them.
I would never go so far as to hail the man but this goes down in the Central Banker Hall of Fame as one hell of an acceptance speech. As if. It ain't over til the fat guy falls asleep.