Is the Fed Going to Go Bust? |
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February 28, 2013 |
February 2013 Bond Updates
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While the Federal Reserve?s quantitative easing program has not yet caused an increase in inflation, many are concerned that the money creation due to QE will provoke serious problems at some point. So when leading economist Robert E. Hall of Stanford releases a paper (co-authored with Columbia's Ricardo Reis) focusing on the ?risks to solvency? facing the Fed then many people are going to pay attention. This is particularly so when the paper includes scenarios in which the Fed loses control of the price level and ?the central bank would likely be dissolved and a new currency introduced.?
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View more at: http://www.forbes.com/sites/karlwhelan/2013/02/28/is-the-fed-going-to-go-bust/
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