The Federal Reserve Is in a Pickle

Some call it pushing a rope. But, nonetheless, here's Fed Chairman Ben Bernanke's strategy for stimulating the economy: Keep interest rates low, keep printing money and pray for inflation.

Why? The concept—and the hope—is simple. Inflation will raise asset prices and, with it, consumer confidence that inspires more consumer spending—the kind that will force businesses to invest and hire.

And there you have it. The economic engine is finally humming along again.

But the long lingering recession has given consumers a taste of the liberation that comes from paying down debt. Will they go along with Bernanke's plan?

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Video:

Market Carver

In his weekly video brief, Big Joe discusses:

• Buying higher asset prices

• Commodities and inflation

• Unstoppable gold

• The Euro mess

—and more

Newsletter:

Elements inFocus

This month's Elements inFocus looks at how:

• Inflation steals principle value

• Retirement is more about income than net worth

• Budgeting for low rates works

• Liquidity rules

—and more

Business News:

Big Joe's Monthly Editorials

Check out the IndyStar blog and the Anderson Herald Bulletin for:

• Why the Fed has to print
more $

• Why printing $ costs more than
ink and paper

• Have you supported your Fed lately?

• The Fed has kin across the pond

Radio:

Consider This With Big Joe Clark

Every week, Big Joe's program drills more deeply into the topics outlined in the other media channels. Listen live or catch up with podcasts!

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