Risk-free fed bashing

TV pundits, ignorant politicians and self-proclaimed critics all have one thing in common – they have found arbitrage in bashing the fed. Typically, they have to take risks when they proclaim the future and bash the entity who is expected to bring in the calamity. In the fed, they find an avenue to do such bashing risk-free.

All of them dislike the fed actions. By opposing "any" fed action, they have found a way to appear smart while leaving the door open to defend themselves whatever happens. It does not matter if the fed actions lead to inflation or they are not enough to prevent a deflation.  Whatever the outcome is, all the bases are covered by simply criticizing any action. All they have to do is to make enough confusing noise in such a fashion that they can move to either direction as the future unfolds. The art of Nostradamus – predict the future in flowery and unclear constructs combined with arguments that may sound right in any outcome in the future – has been effective for many who practice this art.  The lost productivity in both who speak and write about these and those who listen and read their arguments is becoming significant for the economy.

As has been shown for for over half a century, no magician can keep the economy on a knife edge of optimal employment, growth and inflation. So, it is likely that one or the other outcome will unfold in the future.