Tag Archives: Great Recession

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Cumberland Advisors Market Commentary – A Modest Proposal

Author: Robert Eisenbeis, Ph.D., Post Date: July 28, 2020
Market Commentary - Cumberland Advisors - A Modest Proposal

“In practice, the Fed has never adopted operating procedures designed to control reserves in order to use the money multiplier relationship to control deposits.” (Goodfriend and Hargraves, “A Historical Assessment of the Rationales and Functions of Reserve Requirements,” Source: https://www.richmondfed.org) In response to the pandemic crisis, the Federal Reserve has cut the federal funds rate […]