Learning to Be A
Central Banker in 10 Easy Steps
Barry Ritholtz (AA) gives a light hearted education to become a central banker .. lists 10 steps, staring with:
1. Start with one policy – for example – interest rates. Place the policy ball in your right hand and begin by lowering rates. which causes the ball be tossed-up into the air, in an arc, and land in your left hand. Note how, when the policy ball is in your left hand and you raise rates, the ball returns in an arc to your right hand. Repeat several times to get the feel. (Note this doesn’t work if you are left-handed)"
Ends with a congratulations, you are now ready to set monetary policy for the biggest economy in the world .. "NEXT WEEK: In your next lesson we’ll introduce balls 4 and 5 in the form of a sub-prime crisis, and banking system solvency issues, just for fun!"LINK HERE to the essay