- Links for 02-16-2013
- Fed Watch: Another Entry on The Currency Wars
- Does Raising the Minimum Wage Really Help Workers?
Posted: 16 Feb 2013 12:03 AM PST
Posted: 15 Feb 2013 12:04 PM PST
Another Entry on The Currency Wars, by Tim Duy: Regarding the never-ending debate on the the currency wars, Greg Ip adds an important point:
To be sure the Dollar took a hit after the first round of quantitative easing, but that was a positive policy outcome for all as the calming of financial markets eased the rush to the safety of the US currency. On average, since the beginning of 2008 there has been little change in the real value of the Dollar, despite the massive expansion of the Fed's balance sheet.
Also note that by stabilizing the US (and global economies), the Fed contributed to a stabilization of the US current account balance:
All of the improvement in the current account balance occurred prior to the Fed's expansion of the balance sheet, largely due to collapsing global trade. And the subsequent period was one of generally declining real government spending; a more stimulative policy would likely have supported more imports such that trade remained an even greater drag on the economy.
Posted: 15 Feb 2013 08:40 AM PST
I have some comments on the minimum wage at MoneyWatch: