Fed Dissenters Just Don't Do It Like They Used To
Once upon a time not too long ago, a Fedbasher like me had to strong-arm a hoe... sorry. Two years ago, I said to leave the Federal Reserve alone and I was serious. Richard Fisher was talking shit about people back then, which made him totally endearing (I hope you didn't think I was into the Murrays pomade) but I'm kind of disturbed by the rallying together at this point.
Not what I paid for. Maybe there is some contractual or moral obligation not to rip on the Fed chairman when the dude is swirling down the drain but I liked it better when they were bitchfighting amongst themselves.
Kocherlakota and Fisher joined Charles Plosser of the Philadelphia Fed in posing the most opposition to a FOMC decision in almost 19 years. They took issue with the FOMC’s pledge to hold interest rates near zero at least until mid-2013, preferring instead to maintain a commitment to do so for an unspecified “extended period.”
“I think very highly of Ben, admire him, appreciate his style, find him totally honest and inclusive, and also respectful of others’ principles and views,” Fisher, president of the Dallas Fed, wrote in response to an e-mail from the Wall Street Journal.
The Wall Street Journal published the statements by Fisher and Kocherlakota during the blackout period which typically follows FOMC meetings. Minneapolis Fed spokeswoman Patti Lorenzen and Alexander Johnson, a spokesman at the Dallas Fed, said the comments about Bernanke didn’t violate the blackout because they did not pertain to macroeconomic developments or monetary policy issues.
In Dissents Pose New Test for Bernanke, the Journal explains how Minneapolis Fed's Narayana Kocherlakota and Philly's Chuck Plosser handled this situation:
Narayana Kocherlakota, president of the Minneapolis Fed, echoed Mr. Fisher's praise for the "outstanding chairman," noting in a brief written response to a question from The Wall Street Journal about Mr. Bernanke's leadership that he "actively cultivates the expression of disparate views, and that dialogue leads to better monetary policy choices for the United States." He also didn't comment on the meeting, but said that while he dissented "on this occasion," he has high regard for his Fed colleagues.
The third dissenter, Charles Plosser, president of the Philadelphia Fed, declined to comment.
God forbid one of them have the balls to come out and call Bernanke a bitch in public. It's a thoughtful tactic for distancing themselves from the consequences of "until 2013" but we all saw what they did there. You can't praise your fearless leader in public to cover up trashing his policies behind closed doors to please everyone.
I, for one, am horribly disappointed.