Could the Fed Have Prevented the Financial Crisis? - InvestingChannel

Could the Fed Have Prevented the Financial Crisis?

Janet Yellen’s Congressional testimony today brought up an interesting line of questioning from Ted Cruz who said that the Fed was “passively tightening” policy in 2008 which contributed to the financial crisis.  This is a popular line of reasoning among many economists.  David Beckworth, whose work I admire greatly, posted some nice comments explaining this… Read More

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