A Patient Fed Considers Losing Patience

The below is an abridged version of a longer article that appears in the Winter 2015 Euro Pacific Global Investor Newsletter
I have always argued that quantitative easing and zero percent interest rates were misguided policies to combat economic weakness. But as the years went on, misguided turned into irresponsible, which led to ridiculous, and then turned into dangerous. But lately, the only word that comes to mind is “surreal.” How should we react when central bankers begin to speak like Willie Wonka?