Funny, but True

I know this is ruining Moishe's chances of appearing on Kudlow and Co., but c'mon! From The Big Picture.

The Modern Kudlow To Standard English Translation Guide
Kudlowism : Modern Translation
“The Greatest Story Never Told”:
Early stages of a normal economic expansion.
"Goldilocks Economy":
Latter stages of expansion; cracks
in the façade are beginning to show.
“A possibility of Recession exists”:
The recession has already begun.
“A Mild Recession”: We are in a broad and deep recession.
“We are in a serious recession”: Stock up on canned food, bottled water and handgun ammo.
“I don’t see how this can get any worse”: BUY!

Oh Snap! Is Kudlow Busting on Greenspan?

This is not so optimistic, is it, Moishe? Click the link to Kudlow's site for a informative chart that illustrates his point.

Stop & Go Fed
Has the Fed spent too much time tinkering with interest rates? Was Ben Bernanke handed a bucketful of bad molasses from Alan Greenspan?
...
For four years, between 1995-1999, there was basically no change at all in monetary policy. Nothing. Then, all of a sudden, the Fed started raising the fed funds rate in 2000. So, loose in 1999, followed by tightening in 2000.

Then, the Fed put the pedal to the metal in ’01, ’02, ’03, ’04. That was their big GO period.

As we know, in ’05, ’06, and early ’07, the central bank hit the brakes. It had officially entered the STOP camp.

Lately, it’s been one big GO.

Remember, all this Fed tinkering occurred in less than ten years. Stop. Go. Stop. Go. Monetary whiplash.

I prefer monetary stability. And I just can’t help but wonder whether the current Fed chair wasn't dealt a really crummy hand from the Greenspan Fed. It's not Bernanke's fault. All the previous monetary tinkering landed him on the Greenspan shovel brigade. He's cleaning up.

Bottom line: All this Fed fine-tuning can’t be great for the economy.