Grasping Reality on TypePad, by Brad DeLong

Live at Project Syndicate: The Fed Board Unmoored: "In December 2015, the right-wing commentator Stephen Moore, US President Donald Trump’s pick to fill a vacancy on the US Federal Reserve Board of Governors, savagely attacked then-Fed Chair Janet Yellen and her predecessor, Ben Bernanke, for maintaining loose monetary policies in the years following the 'Great Recession'.... On December 26, 2018, he savagely attacked Yellen’s successor, Jerome Powell, for raising interest rates to unwind the very approach that he had condemned three years earlier. 'If you cut engine power too far on a jetliner', he warned, 'it will stall and drop out of the sky'. Moore complained that after having 'risen by 382 points on hopes that the Fed would listen to Trump and stop cutting power', the Dow Jones Industrial Average had “plunged by 895 points” on the news of another interest-rate hike. This, he concluded, was evidence that 'the Fed’s monetary policy has come unhinged'...