Central Banking, Ben Bernanke, and Objectivism

[VeritasVulnero]

While riding on a spin cycle at the gym I was watching the highlights of the press conference yesterday featuring Ben Bernanke. Questions were brought up about the Fed's recent actions and the effects its had on the rest of the world. Just wanted to see everyone else's input.

[Dingbat]

What can be said? He's a political figurehead of the current US mixed-economy system, and that's all he will be.

[CapitalistSwine]

Bernanke is either extremely deluded due to a lifetime that had begun with an incorrect foundation in economic understanding, or is otherwise a neo-corporatist political crony of the worst sort with no conscience. That's pretty much all I have to say about the man. The history of the central bank as an institution, particularly the current one, speaks for itself.

[iflyboats]

Bernanke is either extremely deluded due to a lifetime that had begun with an incorrect foundation in economic understanding, or is otherwise a neo-corporatist political crony of the worst sort with no conscience. That's pretty much all I have to say about the man. The history of the central bank as an institution, particularly the current one, speaks for itself.

I find it impossible to believe that he doesn't know what he's doing. He is a fucking liar.

[softwareNerd]

Bernanke is not fundamentally a liar any more than Greenspan was. In many ways he and Greenspan have similar economic philosophies. Like Greenspan, he understands that there are ways in which a Central bank can affect the economy and make things "better" at least in the short/medium term. Every modern central banker understands that a lot of what they do involves redistribution of wealth from some people to others, but their political beliefs tell them that it is the right thing to do. Also, every modern central banker must realize that their actions can sometimes not just engineer a re-distributive soft-landing, but also blow a new bubble. I think this last issue -- i.e. their role in blowing the next bubble -- is the place central bankers evade the most.

[iflyboats]

Bernanke is not fundamentally a liar any more than Greenspan was. In many ways he and Greenspan have similar economic philosophies. Like Greenspan, he understands that there are ways in which a Central bank can affect the economy and make things "better" at least in the short/medium term. Every modern central banker understands that a lot of what they do involves redistribution of wealth from some people to others, but their political beliefs tell them that it is the right thing to do. Also, every modern central banker must realize that their actions can sometimes not just engineer a re-distributive soft-landing, but also blow a new bubble. I think this last issue -- i.e. their role in blowing the next bubble -- is the place central bankers evade the most.

I think both Greenspan and Bernanke know that the Fed's actions are potentiating rampant inflation and are lying about it to protect the institution's interests. There is no way that Greenspan is dumb enough to believe the things he says - like that he "found a flaw" in his "free market" ideology after the collapse of the housing bubble.

Edited February 22, 2011 by iflyboats

[icosahedron]

Just listen to their words, any of them: Bernanke, Greenspan ... Bush, Obama ... etc.

They just don't make good sense, rationally and from an Objectivist perspective.

I would actually respect them MORE if they were honestly lying in the rational pursuit of a goal, even if the goal itself might not be good, rather than truly so self-deluded as to believe their own lies ... i.e., rather than being incorrigible.

- ico