My letter to the NY Times re: Ms. Yellen can’t have it both ways

HouseDear Sirs:
If Ms. Yellen “does not believe that the trillions in stimulus money the Fed has injected into the financial system…had created a bubble…”, then why is she “saying that the Fed will not take its foot off the gas…”?  Either the stimulus is propping up a bubble or it isn’t.  If it isn’t, as Ms. Yellen claims, then end it.  But we know this won’t happen, because Ms. Yellen isn’t telling the truth.  She knows that the stimulus has created a bubble; she just doesn’t want to be the Fed chairman who says so.  If she said so, then she would have to end the stimulus and accept the inevitable (and necessary) recession, which would reveal to all that, once again, the Fed’s manipulation of markets has destroyed even more capital.  Patrick Barron
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