took Che's Rolex watch and he wore it as a trophy. And I believe what Howard Hunt said. Federal Reserve . They can't, Ron Paul asked for an audit. We can't even audit these people and their done illegally. Did you know that? It came in at like, 1913, and our Constitution
David Wessel: Well, I don't think Volcker is a good example of someone who pricks a bubble. Paul Volcker, who was the Chairman of the Federal Reserve in the 1980s -- early 1980s -- took over at a time when we had very high inflation in the United States. And he had the guts to say, "I'm going toraise interest rates so high that the economy will go into such a deep recession that there's no way that we can have inflation.” And I think he set an example for central
It's one monthly payment and one student loan servicer. The Federal Reserve has cut interest rates significantly this year.
in Missouri there's a powerful senator in Missouri who was important in founding the Federal Reserve so was politics in 1913 um what's our relationship to the boorder of Governors so it's really interesting uh situation so you think about the federal government you think about Washington DC you think about government agencies whether it's the se
Ben Bernanke-- who now is working for PIMCO, is kind of a capital introduction professional, he helps people invest in bonds-- was, as you know, the Federal Reserve Chairman before Janet Yellen. And in the day when he was in office, he gave a series of talks in the public interest at I think George Washington University
decades in their ability to measure and manage risks, resulting in greater resilience of the banking system. Another Federal Reserve member called Tim Geithner said, financial institutions are now able to measure and manage risk more effectively. Risks are spread more widely across a more diverse group of financial intermediaries within and between countries.
I've never known anyone who can time the market. The Federal Reserve has been in the news a lot lately.
bail out Lehman Brothers, because Lehman Brothers didn't have enough collateral to make a loan. The Federal Reserve Law says they have to have collateral. They have to have a security, just the way you pledge your house when you get a mortgage.
And this is also one of his most influential contributions, because Friedman and Schwartz becomes the playbook for the Federal Reserve . And we have lived through this, right?
But I thought it was cool, because it was three lines. One was the Federal Reserve and how much money and when it dumped it into the system. One is the Bank of Japan.
accept that QE is permanent. Two, they have to go to the legislative body like in the US, only Congress can expand the powers of the Federal Reserve . And the same is true in in other countries and be able to do QE in a more diffuse way. What's done in the US
Governors uh EV uh what we now call the Board of Governors which gives a Washington DC uh role over the oversight of the Federal Reserve System and they created again you know in the Federal Reserve Banks a lot of this local representation where we have on my boards and all the other boards people from business from the community from the banking industry so that their voices are all heard together it's the
They first struggled against it. The head of the Federal Reserve Bank, the secretary of treasury, and eight bankers got into a room--
You can either inflate-- whoops, you don't have a printing press. on the Federal Reserve 's balance sheet.
And the kids themselves become more money aware. Banks are always--the Federal Reserve is always talking about "what can you do to make kids more money smart?" Well, this program does it. When I've looked at what happens when you give kids a matching kid's savings account, they know a whole lot more because now they've got some money to be smart about.
of one man, it is a story of a surprisingly small number of people who were called on to be first responders to this financial panic. And the star of my story is Ben Bernanke, the Chairman of the Federal Reserve . Now, Ben Bernanke was a nice Jewish boy from Dillon, South Carolina, notoriously smart, the kind of kid whose SAT scores were widely known because they were so high, a champion speller who actually made it to the National Championships in Spelling in Washington, but lost on the spelling of the word "edelweiss.”
He went to Morehouse College and took questions from economic students and answered them on national TV. Because he has recognized that he now has to defend the Federal Reserve , and people do want to know, Why did you do what you did, and Were you trying to save Wall Street or were you trying to save me? And so, he's become -- even more than Greenspan -- associated with the Federal Reserve , one man. And along the way, it looks like it was a
and some of the key leaders in the 1920s, Benjamin Strong is one of them, he's now deceased. And the dominance of the New York Federal Reserve , which in their telling is global, it's interconnected, it's seen a lot of financial things come and go. And they believe that the New York Fed had the understanding to recognize this is a liquidity crisis.
We are undoubtedly going to be the freest country in the world. And he works at the Federal Reserve , and it's interesting because he shows that only on the basis of what we have done in fiscal matters, it ensures
One way would have been to let one or two extra banks collapse. There are full SWAT teams at the Federal Reserve now that are doing that, under the radar.
start off with some of the um basic things and uh I don't know how Polly to phrase this but why does the Federal Reserve Bank of San Francisco matter to Silicon Valley okay the actually it's not the first time I've heard that
1913 not many people lived out here uh about uh roughly 6% of the US population was out here so we actually over represented in terms of a Federal Reserve Bank uh especially you know during the Great Depression post World War II period huge amount of movement of people out here so now we have 20% of the population and and they just haven't changed the map you know and so that
Unlike the Great Depression, the 1920 affair was over in 18 months. What do you think the Federal Reserve did? How much did they lower interest rates by?
And one of her public-spirited, altruistic handmaidens made a deposit of the equivalent of $100 I think with respect to the Federal Reserve , to the central banks, to the nature of money, to interest rates, I think there is setting up
on the real economy. And Kohn was followed by another Federal Reserve governor called Ben Bernanke then, who said that banking organizations-- he said-- have made substantial strides over the past two decades in their ability to measure and manage risks, resulting in greater resilience of the banking system.
Let's look at the socialist organization that sponsored the research -- Federal Reserve Bank. So this is the mainstream of the mainstream. Top flight economists sponsored by the Federal Reserve saying, "Higher incentives can lead to worse performance." Here's what's interesting about this. We think that if you reward something that you want, you get more of it.
context in ways that most other economists thought were largely irrelevant. So Bernanke becomes Chairman of the Federal Reserve at the beginning of 2006. George Bush swears him in at the Federal Reserve Building, and declares that his predecessor, Alan Greenspan, was a rock star. And Bernanke is succeeding a rock star, which
So Bernanke becomes Chairman of the Federal Reserve at the beginning of 2006. George Bush swears him in at the Federal Reserve Building, and declares that his predecessor, Alan Greenspan, was a rock star. And Bernanke is succeeding a rock star, which was definitely true at the time, and tells you a little bit about how fleeting one's reputation should be. So one grain of salt here is that, I think
In the financial crisis, the Federal Reserve is ready to loan. Covid, the Federal Reserve does all kinds of new things, because no Federal Reserve chair wants to be in Friedman and Schwartz 2.0 that somebody writes where they're the bad guy who let the economy melt down.
That's how they are mandated. So supposedly, the Federal Reserve is independent of whatever the US government wants to do. The Bank of Japan is independent.
or it would be some combination of the two like the Federal Reserve .
where recently there was a study by the Federal Reserve -- and its called "The Report on the Economic Well-being of US Households"-- in 2015 that they found that a lot of people
one yeah well we get it's worse than that there's only one Federal Reserve Bank for the Nine West state so I cover 20% of the US population so it's 12 federal reserve banks um when they divied up the country in 1913 not many people lived out here uh about uh roughly 6% of the US population was out here so we actually over
Alan Greenspan, the Federal Reserve .
Well it's not defined. A dollar is what the mandarins at the Federal Reserve , and with the market in concert with the central banks choose to make it. Here is an observation concerning the nature of modern money, central bank-issued money.
The people who make these trillion dollars of weightless, non-corporeal money. I'm going to a favor you with a-- the Federal Reserve has on its payroll 700 Ph.D. economists. 700. I'm gonna say that you need 701 or none.
And one of her public-spirited, altruistic handmaidens made a deposit of the equivalent of $100 Paul Volcker was in at the head of the Federal Reserve .
And secondly, how was it that the fact that they were so wrong was actually no obstacle-- to put it mildly-- to their subsequent advancement? It was Bernanke who succeeded Greenspan as chairman of the Federal Reserve . Kohn, whom I began with, who was then appointed as his deputy.
I've never known anyone who can time the market. Number one, Federal Reserve governance is a team sport.
the rich, and the Federal Reserve sort of tightened their money policy.
institution to take us in General Motors Yale the Federal Reserve the UAW Target any place that will to put food on the
But who spots -- first of all, these are done by economists. Let's look at the socialist organization that sponsored the research -- Federal Reserve Bank. So this is the mainstream of the mainstream. Top flight economists sponsored by the Federal Reserve saying, "Higher incentives can lead to worse performance." Here's what's interesting about this.
And it was after that period -- with a great deal of political controversy and tension between farmers and industrialists, urban and rural interests, lenders and borrowers -- that the Congress and Woodrow Wilson created the Federal Reserve precisely to deal with a panic like the one we just have been through. It was a role for the Fed that's kind of been forgotten -- if we think at all about the Fed -- about an institution that just moves interest rates. So one of the reasons I said I have to do
And then they go further and they say, "Well, how did this happen and why?" And they pinpoint the Federal Reserve , which is a fairly new institution at that time. And they say, "What did the Federal Reserve do?" The lender of last resort, what did it do in the face of what they're depicting as a massive, unprecedented liquidity crisis?
And we have lived through this, right? In the financial crisis, the Federal Reserve is ready to loan. Covid, the Federal Reserve does all kinds of new things, because no Federal Reserve chair wants to be in Friedman and Schwartz 2.0 that somebody writes
Guest who is the CEO president what's the president and CEO my gosh two for the price of one that's great fantastic of the uh of the Federal Reserve Bank of San Francisco uh graduated with a PhD in economics from Stanford in 1994 went to work in the research Department I
especially want you to answer a question I've always wondered about why does Missouri get two Banks yeah we just get one yeah well we get it's worse than that there's only one Federal Reserve Bank for the Nine West state so I cover 20% of the US population so it's 12 federal reserve banks um when they divied up the country in
held a beanfeast, which it does every year as a matter of fact. But this one was to celebrate the imminent retirement from the chairmanship of the Federal Reserve of Alan Greenspan. And there were a whole series of laudatory papers about him with one exception, which is a guy called Rag Rajan who
And Ben Bernanke, the Chairman of the Federal Reserve at the time, described the company as being an insurance company with a hedge fund on top.
But he thought he was talking to a small group of people inside the Federal Reserve .