Saturday, November 5, 2011

Laissez-faire: The Best Fed Policy Is To Stand Pat

By EconMatters
There was nothing really new out of the 2-day FOMC (Federal Open Market Committee) meeting on Nov. 1-2 without much indication to the widely anticipated further quantitative easing (QE3). For now, the FOMC has basically decided to adopt a wait-and-see stance by maintaining its current policy including Operation Twist through 2012, and keeping the benchmark interest rate near zero to at least mid-2013.

Nevertheless, the more important (albeit coded) message is how

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