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Mar 30Liked by Fabian Wintersberger

I cannot help but think about @claudiasahm's recent article regarding the Sahm rule and her proposal that when triggered it should automatically start payments to people because it means a recession is in progress. This seems exactly the type of intervention that can only cause more problems than existed prior, and as defined, seems completely open-ended. I guess her term as a Fed economist taught her that intervention is the best solution to everything.

As Milton Friedman warned us all, there is nothing so permanent as a temporary government program. Virtually every emergency measure the Fed has instituted over the years is now a part of the ordinary toolkit, most notably QE.

Alas, I fear that until such time as the system completely collapses, interventions will simply occur more and more frequently in an effort to prevent that ultimate outcome.

happy easter

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