In Our Orwellian World, a “Volcker Moment” Now Means Printing Money With Abandon

Paul Volcker is a hero to many because he saved the US economy in late 1970s and early 1980s.

Ignoring all the voices who said it was impossible, he courageously stopped out-of-control money printing and restored sound monetary policy. The policies worked and made it possible for the Reagan economic boom to get started.

Now Bloomberg tells us that the new Prime Minister of Japan may bring that country a “Volcker” moment. How will he do this? By spinning the Japanese money printing presses even faster.

So how can this be a “Volcker” moment? It is the opposite of sound monetary policy. It is the opposite of courageous.

But we can’t express too much surprise. This is how corrupt our media and political discourse have become.

Click here for the article.

5 comments
Alex Neveaux
Alex Neveaux

Japan faces deflation/recession, yes? Are you saying that increasing money supply is bad in any situation in any economy? I guess based on what I've read at ACC, intervention by the central bank of any country should only be used in extreme emergencies, if at all/there should be no central bank because it mucks up the free market.. is that far off?Why is this discussion turning into a defense of "trickle down" econ policies?

Rob O'Neil
Rob O'Neil

Keith, well said and truly said.

Keith Emery
Keith Emery

Trickle down isn't about "enriching those at the top", it is merely about letting them keep more of what is theirs. And what responsibility do those at the bottom have for taking advantage of the opportunities provided them--primarily by way of free education? I didn't see anything in this article about the role of social factors in preventing the poor from rising--namely divorce and/or single parenthood. For as long as all the blame is conveniently and hatefully placed on the rich, real problems will not be recognized and true solutions will not be found.

Andrew M Wong
Andrew M Wong

That was one of less than a handful of major forces at work in the 80's that resulted in the 10-15 year boom. Thanks for the read.