I wanted to add that from the Wall Street and banking perspective, all
that matters (as far as Fed policy goes) is having low inflation. They
don't care about unemployment. AG has delivered.
To be fair, AG let unemployment go below 5% in the late 1990s, and
again in 2005, and next to the European Central Bank, the Fed is
positively populist on growth.
Is this a good thing (i.e. being populist on growth)? What if organic
growth (i.e. increased production in the real economy) is not forthcoming?
Is it desirable (from the working class point of view) to have growth
manufactured through monetary inflation, to keep unemployment low?
I'd say AG has screwed the working class over, by encouraging massive
indebtedness.
--raghu.
