Political Pressures on Monetary Policy During the US Great Inflation

2012 ◽  
Vol 4 (2) ◽  
pp. 33-64 ◽  
Author(s):  
Charles L Weise
Keyword(s):  
United States ◽  
Monetary Policy ◽  
Federal Reserve ◽  
The United States ◽  
Executive Branch ◽  
The Political ◽  
Political Environment ◽  
Open Market ◽  
Federal Open Market Committee ◽  
The Us

Drawing on an analysis of Federal Open Market Committee (FOMC) documents, this paper argues that political pressures on the Federal Reserve were an important contributor to the rise in inflation in the United States in the 1970s. Members of the FOMC understood that a serious attempt to tackle inflation would generate opposition from Congress and the executive branch. Political considerations contributed to delays in monetary tightening, insufficiently aggressive anti-inflation policies, and the premature abandonment of attempts at disinflation. Empirical analysis verifies that references to the political environment at FOMC meetings are correlated with the stance of monetary policy during this period. (JEL D72, E32, E52, E58, N12)

Understanding Interest Rates and the Economy

2019 ◽  
pp. 81-110 ◽  
Author(s):  
Alan N. Rechtschaffen
Keyword(s):  
United States ◽  
Monetary Policy ◽  
Interest Rates ◽  
Federal Reserve ◽  
Balance Sheet ◽  
The United States ◽  
Federal Reserve System ◽  
Federal Open Market Committee ◽  
Reserve Banking ◽  
Reserve System

This chapter begins with a discussion of the Federal Reserve and the Federal Reserve Banking System. The Federal Reserve System was created by Congress under the Federal Reserve Act “to provide for the establishment of federal reserve banks, to furnish an elastic currency, to afford means of rediscounting commercial paper, to establish a more effective supervision of banking in the United States and for other purposes.” The Federal Reserve System comprises a central Board of Governors appointed by the president of the United States and confirmed by the Senate, and 12 regional Reserve banks. Monetary policy is set by the Federal Open Market Committee (FOMC). The remainder of the chapter covers monetary policy, quantitative easing, balance sheet normalization and the FOMC minutes.

scholarly journals The influence of central bank monetary policy announcements on cryptocurrency return volatility

2017 ◽  
Vol 14 (4) ◽  
pp. 60-72 ◽  
Author(s):  
Shaen Corbet ◽  
Grace McHugh ◽  
Andrew Meegan
Keyword(s):  
United States ◽  
Monetary Policy ◽  
Interest Rates ◽  
The United States ◽  
Open Market ◽  
Estimation Model ◽  
Federal Open Market Committee ◽  
International Currencies ◽  
Asset Class ◽  
International Monetary Policy

The emergence of Bitcoin in 2009 has received considerable attention surrounding the validity of cryptocurrencies as a viable and, in some jurisdictions, a legal currency alternative. Despite widespread concern that these cryptocurrencies are fostering the environment within which a substantial bubble can occur, it is important to analyze whether these new assets are behaving similarly to major international currencies. This paper investigates the effects of international monetary policy changes on bitcoin returns using a GARCH (1.1) estimation model. The results indicate that monetary policy decisions based on interest rates taken by the Federal Open Market Committee in the United States significantly impact upon bitcoin returns. After controlling for international effects, we find significant evidence of volatility effects driven by United States, European Union, United Kingdom and Japanese quantitative easing announcements. These results show that, despite its nature and ideals, bitcoin seems to be subject to the same economic factors as traditional fiat currencies, and is not entirely unaffected by government policies. This result has implications for investors using bitcoin as a hedging or diversification tool. In addition, we contribute to the existing debate regarding the classification of bitcoin as an asset class, by illustrating that bitcoin volatility exhibits various reactions that bear resemblance to both currency pairs and store-of-value assets.

Monetary Policy, Loan Liquidation, and Industrial Conflict: The Federal Reserve and the Open Market Operations of 1932

1984 ◽  
Vol 44 (4) ◽  
pp. 957-983 ◽  
Author(s):  
Gerald Epstein ◽  
Thomas Ferguson
Keyword(s):  
United States ◽  
Monetary Policy ◽  
Federal Reserve ◽  
Gold Standard ◽  
The United States ◽  
Open Market ◽  
Federal Reserve System ◽  
Industrial Conflict ◽  
Reserve System ◽  
Bank Profits

Early in 1932 the Federal Reserve System made a serious attempt to reverse the “Great Contraction” throught expansionary open market operations, but abandoned it a few months later. In this paper we offer an interpretation of the episode that throws new light on the Fed's behavior during the Depression. Key are the attitude of private bankers, Britain's abandonment of the gold standard, and the brief open market campaign. To protect bank profits the Fed abandoned the program which set the stage for the complete financial collapse of the United States in early 1933.

Conclusion

2017 ◽  
Author(s):  
Frédéric Grare
Keyword(s):  
United States ◽  
The United States ◽  
The Political ◽  
Slow Pace ◽  
Centre Of Gravity ◽  
The Us ◽  
The Future ◽  
Economic Interaction ◽  
The Asymmetry ◽  
The Relationship

India’s relationship with the United States remains crucial to its own objectives, but is also ambiguous. The asymmetry of power between the two countries is such that the relationship, if potentially useful, is not necessary for the United States while potentially risky for India. Moreover, the shift of the political centre of gravity of Asia — resulting from the growing rivalry between China and the US — is eroding the foundations of India’s policy in Asia, while prospects for greater economic interaction is limited by India’s slow pace of reforms. The future of India-US relations lies in their capacity to evolve a new quid pro quo in which the US will formulate its expectations in more realistic terms while India would assume a larger share of the burden of Asia’ security.

In Afghanistan: Western and Soviet Methods of Counterinsurgency

2021 ◽  
Vol 2 (2) ◽  
pp. 22-40
Author(s):  
Lasha Tchantouridze
Keyword(s):  
United States ◽  
Soviet Union ◽  
Social Issues ◽  
The United States ◽  
The Political ◽  
Limited Success ◽  
The Soviet Union ◽  
The Us ◽  
Military Mission ◽  
Lasting Change

The two-decade-long U.S.-led military mission in Afghanistan ended in August 2021 after a chaotic departure of the NATO troops. Power in Kabul transferred back to the Taliban, the political force the United States and its allies tried to defeat. In its failure to achieve a lasting change, the Western mission in Afghanistan is similar to that of the Soviet Union in the 1980s. These two missions in Afghanistan had many things in common, specifically their unsuccessful counterinsurgency efforts. However, both managed to achieve limited success in their attempts to impose their style of governance on Afghanistan as well. The current study compares and contrasts some of the crucial aspects of counterinsurgency operations conducted by the Soviet and Western forces during their respective missions, such as special forces actions, propaganda activities, and dealing with crucial social issues. Interestingly, when the Soviets withdrew in 1988, they left Afghanistan worse off, but the US-backed opposition forces subsequently made the situation even worse. On the other hand, the Western mission left the country better off in 2021, and violence subsided when power in the country was captured by the Taliban, which the United States has opposed.

scholarly journals The Federal Reserve Banks New Monetary Policy Tool

2012 ◽  
Vol 10 (9) ◽  
pp. 533
Author(s):  
David Gordon
Keyword(s):  
Monetary Policy ◽  
Federal Reserve ◽  
Vital Role ◽  
Open Market ◽  
Federal Reserve Bank ◽  
Us Economy ◽  
Policy Tool ◽  
Reserve Bank ◽  
The Us ◽  
Demand Deposit

The Federal Reserve Bank (FED) plays a vital role in the US economy. The roles and functions of the Fed are discussed here. This paper also offers an explanation of the traditional tools the Fed uses to conduct monetary policy. Open market operations are explained. The important role of the discount rate is discussed. The legally required reserve ratios are also explored. This author believes that the Fed has recently created a new tool. This tool is the payment of interest on demand deposit accounts at the Fed. This new tool is explained and its ramifications explored. The functions of monetary policy are also expanded upon in this paper.

scholarly journals Bad Biocitizens?: Latinos and the US "Obesity Epidemic"

2014 ◽  
Vol 73 (3) ◽  
pp. 267-276 ◽  
Author(s):  
Susan Greenhalgh ◽  
Megan Carney
Keyword(s):  
United States ◽  
Personal Responsibility ◽  
The United States ◽  
Normal Weight ◽  
The Political ◽  
Structural Barriers ◽  
Obesity Epidemic ◽  
Us Economy ◽  
The Us ◽  
Let's Move

For years now, the United States has faced an "obesity epidemic" that, according to the dominant narrative, is harming the nation by worsening the health burden, raising health costs, and undermining productivity. Much of the responsibility is laid at the foot of Blacks and Latinos, who have higher levels of obesity. Latinos have provoked particular concern because of their rising numbers. Michelle Obama's Let's Move! Campaign is now targeting Latinos. Like the national anti-obesity campaign, it locates the problem in ignorance and calls on the Latino community to "own" the issue and take personal responsibility by embracing healthier beliefs and behaviors. In this article, we argue that this dominant approach to obesity is misguided and damaging because it ignores the political-economic sources of Latino obesity and the political-moral dynamics of biocitizenship in which the issue is playing out. Drawing on two sets of ethnographic data on Latino immigrants and United States-born Latinos in southern California, we show that Latinos already "own" the obesity issue; far from being "ignorant," they are fully aware of the importance of a healthy diet, exercise, and normal weight. What prevents them from becoming properly thin, fit biocitizens are structural barriers associated with migration and assimilation into the low-wage sector of the US economy. Failure to attain the normative body has led them to internalize the identity of bad citizens, assume personal responsibility for their failure, naturalize the conditions for this failure, and feel that they deserve this fate. We argue that the blaming of minorities for the obesity epidemic constitutes a form of symbolic violence that furthers what Berlant calls the "slow death" of structurally vulnerable populations, even as it deepens their health risks by failing to address the fundamental sources of their higher weights.

Remember the Ladies: Competition and Mobilization in the United States

2018 ◽  
pp. 83-132
Author(s):  
Dawn Langan Teele
Keyword(s):  
United States ◽  
Political Geography ◽  
Gilded Age ◽  
Political Competition ◽  
State Legislatures ◽  
The United States ◽  
The Political ◽  
The Us ◽  
Race Ethnicity

This chapter presents a case study of women's enfranchisement in the United States. It argues that the formation of a broad coalition of women, symbolized by growing membership in a large non-partisan suffrage organization, in combination with competitive conditions in state legislatures, was crucial to securing politicians' support for women's suffrage in the states. The chapter first gives a broad overview of the phases of the US suffrage movement, arguing that the salience of political cleavages related to race, ethnicity, nativity, and class influenced the type of movement suffragists sought to build. It then describes the political geography of the Gilded Age, showing how the diversity of political competition and party organization that characterized the several regions mirrors the pattern of women's enfranchisement across the states.

The Violence of Inequality: Race and Lobbying in the Politics of Crime and Criminal Justice in the United States

2021 ◽  
pp. 68-93
Author(s):  
Sappho Xenakis ◽  
Leonidas K. Cheliotis
Keyword(s):  
United States ◽  
Criminal Justice ◽  
Policy Making ◽  
Political Process ◽  
The United States ◽  
Reciprocal Relationship ◽  
Criminal Justice Policy ◽  
The Political ◽  
The Us

There is no shortage of scholarly and other research on the reciprocal relationship that inequality bears to crime, victimisation and contact with the criminal justice system, both in the specific United States context and beyond. Often, however, inequality has been studied in conjunction with only one of the three phenomena at issue, despite the intersections that arguably obtain between them–and, indeed, between their respective connections with inequality itself. There are, moreover, forms of inequality that have received far less attention in pertinent research than their prevalence and broader significance would appear to merit. The purpose of this chapter is dual: first, to identify ways in which inequality’s linkages to crime, victimisation and criminal justice may relate to one another; and second, to highlight the need for a greater focus than has been placed heretofore on the role of institutionalised inequality of access to the political process, particularly as this works to bias criminal justice policy-making towards the preferences of financially motivated state lobbying groups at the expense of disadvantaged racial minorities. In so doing, the chapter singles out for analysis the US case and, more specifically, engages with key extant explanations of the staggering rise in the use of imprisonment in the country since the 1970s.

scholarly journals The legend of Saint Alan: Larnaudie and Stiegler in the Oversight Committee Room

2020 ◽  
Vol 31 (3) ◽  
pp. 173-184
Author(s):  
Calum Watt
Keyword(s):  
United States ◽  
Financial Crisis ◽  
Federal Reserve ◽  
House Of Representatives ◽  
Global Financial Crisis ◽  
The United States ◽  
Government Reform ◽  
The Us ◽  
Oversight Committee ◽  
Bernard Stiegler

Ten years on from the 2008 global financial crisis, this article sets in dialogue two French treatments – by the novelist Mathieu Larnaudie and the philosopher Bernard Stiegler – of footage of the 2008 testimony of Alan Greenspan, former chairman of the US Federal Reserve, before the United States House of Representatives Committee on Oversight and Government Reform. The article introduces and compares the concepts of ‘effondrement’ and ‘prolétarisation’ developed by the two writers in relation to the Greenspan hearing, and analyses how both understand the question of ideology as it emerges in the hearing. Informed by interviews conducted by the author with Larnaudie and Stiegler, the piece concludes by discussing the notion common to both writers that Greenspan is a ‘saint’ of the crisis.

Sign in / Sign up

Export Citation Format

Share Document