Central Bank Intervention Quotes

If increased government spending with borrowed or newly created money is a 'stimulus,' then the Weimar Republic should have been stimulated to unprecedented prosperity, instead of runaway inflation and widespread economic desperation that ultimately brought Adolf Hitler to power.

The history of interest rates is really the history of inflation. When inflation is high, interest rates are high, and when inflation is low, interest rates are low.

In effect, there has been a significant shortfall in the overall amount of monetary policy stimulus since early 2009.

To combat the depression by a forced credit expansion is to attempt to cure the evil by the very means which brought it about.

I think there is universal agreement within the economics profession that the decline - the sharp decline in the quantity of money played a very major role in producing the Great Depression.

Inflation is the parent of unemployment and the unseen robber of those who have saved.

If a debt crisis results from government profligacy and mismanagement, rather than from a market failure, it is true that the central bank should not intervene.

In the economy of the cuckoo people that populate central banks, everything is possible. What you have is gigantic bubbles, the NASDAQ in 2000, then the housing bubble and then commodities in 2008 when oil went from $78 to $147 before plunging to $32 within six months.

I think what the American people are going to see down the road is significant inflationary pressure as a result of all this government printed, you know, this new money that the government is putting in.

The Fed contributed to the financial crisis, keeping interest rates too low for too long. I give them credit for responding and stabilizing the economy and the financial sector during the crisis. But then they tried to do too much with quantitative easing that went on forever, just dramatically exploding their balance sheets.

It is understandable that the Fed injects cash to avoid the collapse of the stock market, but basically it is bad policy for monetary authorities to intervene to save speculators from bankruptcy. This is not their role.

Every time the market has corrected, since 2008, it's always been the Fed that's made the bottom. The Fed has always saved the market either by cutting rates, launching QE, or threatening to launch another round of QE.

Until the Fed dumps inflation targeting and the U.S. abandons its weak-dollar policy, inflation will rule the day.

Even the National Bank of Romania doesn't have the huge resources needed to intervene in the market and keep the leu at an acceptable level, because they're drawing close to a floor below which the bank's reserves can't drop. The central bank has to wait for a moment of calm to efficiently conduct its interventions.

We shall take whatever action is necessary to contain the growth of the money supply. The government, unlike so many of its predecessors, will face up to economic realities.

Always inflation comes gradually; is recognized too late; and can be cured only by ruthless political surgery, which, if delayed too long, proves futile.

Printing money is the last resort of desperate governments when all other policies have failed.

The Fed's buying is far more important to the market price of U.S. debt than any other economic variable. If the Fed stops buying, it doesn't matter whether unemployment goes up or down. It doesn't matter whether inflation is higher or lower. Its influence on the market is dominant.

Forget quantitative easing - I've always thought the idea of injecting virtual money into the system is an accident waiting to happen.

Central bankers swooped to the rescue only once it became clear that the leaders we had elected were unwilling or unable to do the job. Technocracy trumped democracy—and probably saved it. But how many central political functions can democracies farm out to unelected superheroes while still remaining democratic?

After a long period in which the desired direction for inflation was always downward, the industrialized world's central banks must today try to avoid major changes in the inflation rate in either direction.

When I hear complaints about less liquidity, remember there is such a thing as too much liquidity.

Long before folks fretted the demise of 'quantitative easing,' I fretted its existence. It proved the reverse of its image, an antistimulus, and we've done okay not because of it, but despite it.

Financial markets ... resent any kind of government interference but they hold a belief deep down that if conditions get really rough the authorities will step in.

We could, of course, always make the payments, simply by printing more money - we simply promise to pay people by giving them dollar bills - but that could set off inflation.