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Does the Federal Reserve have objective tools to raise and lower rates?

Posted on 12/10/18 at 3:10 pm
Posted by GumboPot
Member since Mar 2009
118490 posts
Posted on 12/10/18 at 3:10 pm
If so, are they available to the public?

Or does the Fed implement monetary policy depending on the prior night's wine selection?
Posted by PsychTiger
Member since Jul 2004
98631 posts
Posted on 12/10/18 at 3:15 pm to
Depends on whether or not it helps the politicians they like.
Posted by bamarep
Member since Nov 2013
51788 posts
Posted on 12/10/18 at 3:18 pm to
11110
Posted by GumboPot
Member since Mar 2009
118490 posts
Posted on 12/10/18 at 3:21 pm to
quote:

Depends on whether or not it helps the politicians they like.




I can see bias entering their decision making if the process is subjective.
Posted by GumboPot
Member since Mar 2009
118490 posts
Posted on 12/10/18 at 3:21 pm to
quote:

11110


I don't know what this means.
Posted by Jorts R Us
Member since Aug 2013
14786 posts
Posted on 12/10/18 at 3:22 pm to
I’ll send you the spreadsheet
Posted by bamarep
Member since Nov 2013
51788 posts
Posted on 12/10/18 at 3:24 pm to
It was an EO
Posted by Mid Iowa Tiger
Undisclosed Secure Location
Member since Feb 2008
18487 posts
Posted on 12/10/18 at 3:25 pm to
It is subjective and objective. Like anything today politics enter which is super unfortunate.

Posted by Skeezer
Member since Apr 2017
2296 posts
Posted on 12/10/18 at 3:27 pm to
The Fed is the single worst idea ever invented by American politicians and bankers.
Posted by brian_wilson
Member since Oct 2016
3581 posts
Posted on 12/10/18 at 3:27 pm to
quote:

Does the Federal Reserve have objective tools to raise and lower rates?


You can read the Fed meeting minutes. They also regularly produce documentation to their strategy and thinking.

They do tend to piss of sitting presidents though, as presidents don't want rates to go up.
Posted by duckdude
Member since Apr 2016
392 posts
Posted on 12/10/18 at 3:27 pm to
I believe during Obama's time as president I remembering hearing that it was one of the longest times in history that the intreset rate stayed at 0.25% or lower.

I guess he was just lucky or it was blatant politics?

quote:

The ZIRP era of 0 to 0.25% lasted seven years, between December 2008 and December 2015, until the Federal Open Market Committee (FOMC) finally increased its target fed funds rate. The Fed emphasized, "The stance of monetary policy remains accommodative after this increase, thereby supporting further improvement in labor market conditions and a return to 2% inflation."

https://www.investopedia.com/articles/markets/060816/us-interest-rates-why-rates-have-been-low-long-time-gs-jpm.asp
Posted by funnystuff
Member since Nov 2012
8306 posts
Posted on 12/10/18 at 3:29 pm to
The offical inflation target rate is 2%.

Is that what you were asking?
Posted by NC_Tigah
Carolinas
Member since Sep 2003
123731 posts
Posted on 12/10/18 at 3:31 pm to
quote:

It is subjective and objective. Like anything today politics enter
Yep,
and Trump's critique of rising interest rates, while fair and accurate, makes it politically difficult for the Fed to do the right thing and hold off next week's rate increase.
This post was edited on 12/10/18 at 4:17 pm
Posted by PsychTiger
Member since Jul 2004
98631 posts
Posted on 12/10/18 at 3:33 pm to
quote:

11110

I don't know what this means.


I think it's close to this: Futurama binary joke
This post was edited on 12/10/18 at 4:53 pm
Posted by NC_Tigah
Carolinas
Member since Sep 2003
123731 posts
Posted on 12/10/18 at 3:36 pm to
quote:

It was an EO
I was thinking it was binary code
Posted by wutangfinancial
Treasure Valley
Member since Sep 2015
11043 posts
Posted on 12/10/18 at 3:39 pm to
quote:

Yep,
and Trump's critique of rising interest rates, while fair and accurate, make it politically difficult for the Fed to do the right thing and hold off next week's rate increase.






Ya, the right thing to do is save the market from falling because it can't handle a 25 bps increase. Think about that a little longer. The Fed hasn't ever done "the right thing" by manipulating rates. It's just deepens and lengthens our recessions.
Posted by LSURussian
Member since Feb 2005
126817 posts
Posted on 12/10/18 at 3:40 pm to
quote:

Trump's critique of rising interest rates, while fair and accurate, make it politically difficult for the Fed to do the right thing and hold off next week's rate increase.
You got that right!
Posted by MrCarton
Paradise Valley, MT
Member since Dec 2009
20231 posts
Posted on 12/10/18 at 3:52 pm to
quote:

Does the Federal Reserve have objective tools to raise and lower rates?


If so, are they available to the public?






Posted by Placebeaux
Bobby Fischer Fan Club President
Member since Jun 2008
51852 posts
Posted on 12/10/18 at 4:07 pm to
The last thing the Fed wants is debt paid off. Debt is how they enslave countries and control them.
Posted by NC_Tigah
Carolinas
Member since Sep 2003
123731 posts
Posted on 12/10/18 at 4:15 pm to
quote:

The Fed hasn't ever done "the right thing" by manipulating rates.
quote:

wutangfinancial
wutangfinancial . . . dubious moniker.
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