No. In Friedman's "Monetary History of the United States" he shows how the Fed setting interest rates was rather erratic and much more unstable than the earlier free market mechanism. The Fed would guess at what the S+D point was, since the Fed was not subject to market forces. This meant they were always late and always wrong.
No. In Friedman's "Monetary History of the United States" he shows how the Fed setting interest rates was rather erratic and much more unstable than the earlier free market mechanism. The Fed would guess at what the S+D point was, since the Fed was not subject to market forces. This meant they were always late and always wrong.