What do you do when a Fed President, presumably an expert in economic analysis, monetary policy, and the importance of fiscal responsibility, advocates for more fiscal stimulus for a country nearly $20 Trillion in debt?
You should get very worried.
San Francisco Federal Reserve President John Williams has done just that this week. Oh No!
Group think has taken over in a dramatic way among monetary authorities in the U.S. and abroad. Keynesian economics has never been so bastardized. More of the same is not the answer to the economic challenges confronting America. More free money, more debt, more borrowing demand from the future is not the answer.
More stimulus is absolutely not the answer to solving America's ongoing sluggish growth outlook.
There is only one answer; let markets clear, stop the printing presses, normalize rates, end fiscal deficits and reduce debt. There is no painless solution to America’s challenges.
I'm busy working on my blog posts. Watch this space!