Classical Economics in a Quantum World
“As long as excess reserves persist, with IOR, in amounts necessary to facilitate Federal Reserve control of the price of interest, the trend for the minimum price of gold is determinative by its average price over the duration of debt.”…
Read more
The market is still applying the Fed’s old operating rules when pricing gold. Funds rate hikes in the era of massive excess reserves and a bloated Fed balance sheet offer buying opportunities in gold. The general misconception is that funds…
Read more
Financial media, pundits, economists, government officials, and pretty much everyone else continue to categorize rate hikes as if the Fed were still conducting policy under normalized, traditional operating procedures. Bernanke tore asunder normalized Fed operating procedures after the 2008 financial…
Read more