The Mercatus Center’s David Beckworth comes to Cato for a live recording of his popular Macro Musings podcast, interviewing George Selgin about his new book Floored!: How a Misguided Fed Experiment Deepened and Prolonged the Great Recession. Floored! is the first comprehensive account of the Federal Reserve’s new post-crisis “floor” monetary policy operating system. Marking his fourth Macro Musings episode, Selgin will share his three-year research journey into this new experimental system, how the Fed stumbled into it, and its consequences for the economy — including how it could turn the Fed into a Trojan piggybank of fiscal profligacy.
Praise for Floored!
“Floored! gives an extraordinarily clear exposition of how the Fed sets the policy interest rate either by using the market or by administering interest on excess reserves. It thereby reveals the monetary distortions caused by circumventing the market. George Selgin’s advice should be read carefully by the Fed and followed.”
David Beckworth, Director, Program on Monetary Policy, Mercatus Center at George Mason University