Fed-Treasury tension as monetary vs fiscal tug-of-war
The hosts argued the dynamic between the Fed and Treasury is an adversarial, natural tension between independent monetary policy and expansionary fiscal goals.
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The Callback
Fed's pause and reduced guidance steepen yield curve
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The guest argued that central bank independence is a recent historical anomaly and the US is likely returning to a pre-1990s system where the central bank is a junior partner to the Treasury, coordinating on industrial policy.
The hosts argued the dynamic between the Fed and Treasury is an adversarial, natural tension between independent monetary policy and expansionary fiscal goals.