Plosser attacks Fed liquidity support


Charles Plosser, the president of the Philadelphia Federal Reserve, has panned elements of the Fed's crisis-fighting approach, saying its arbitrariness exacerbated financial-market uncertainty.

Plosser on Tuesday condemned the Fed's abandonment of economist Walter Bagehot's long-held dictum on lender-of-last resort support and attacked the decision to buy assets other than Treasuries to fend off a financial meltdown.

"The best guide to systematic lender-of-last-resort policy dates back to Walter

To continue reading...

You need to sign in to use this feature. If you don’t have a Central Banking account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an indvidual account here: