“The sources of deflation are not a mystery. Deflation is in almost all cases a side effect of a collapse of aggregate demand.. a drop in spending so severe that producers must cut prices on an ongoing basis in order to find buyers.”

If you are asking me if I would advocate that the Chinese go to greater flexibility in their exchange rate, I certainly would.

I don’t fully understand movements in the gold price.

Under a cold turkey strategy, at each policy meeting the Federal Open Market Committee would make its best guess about where it ultimately wants the funds rate to be and would move to that rate in a single step.

A collapse in U.S. stock prices certainly would cause a lot of white knuckles on Wall Street. But what effect would it have on the broader U.S. economy? If Wall Street crashes, does Main Street follow? Not necessarily.

…the Federal Reserve has the capacity to operate in domestic money markets to maintain interest rates at a level consistent with our economic goals

How much would you pay to avoid a second Depression?

It’s true that the Federal Reserve faces a lot of political pressure and is unpopular in many circles.

House prices have risen by nearly 25 percent over the past two years. Although speculative activity has increased in some areas, at a national level these price increases largely reflect strong economic fundamentals.

Nobody really understands gold prices and I don’t pretend to understand them either.

The Fed is totally open.

I don’t think that Chinese ownership of U.S. assets is so large as to put our country at risk economically.

I am very proud of my nerd-dom.

The financial crisis appears to be mostly behind us, and the economy seems to have stabilized and is expanding again.

In the future, my communications with the public and with the markets will be entirely through regular and formal channels.

While rising delinquencies and foreclosures will continue to weigh heavily on the housing market this year, it will not cripple the U.S.

It’s the price of success: people start to think you’re omnipotent.

Because there are so many shows on and because I’ve been so hands-on – I’ve had a piece on almost every single week – I don’t know how to cut back on that. You really can’t.

There is nothing sadder than the cheerful letters of the dead, expressing hopes that were never fulfilled, ambitions that were never achieved, dreams cut off before they could come to fruition.

Most Young Kings Get Their Heads Cut Off.

Scouting is a man’s job cut down to a boy’s size.

I was king of the mountain for a long time, well, I don’t want that no more.

The nearer the cutting off point lies to the main force of the enemy, the more immediate the effect; whereas the closer to the strategic base it takes place, the greater the effect.

Gaza is often described as ‘the world’s largest open air prison’ because no-one is allowed to enter or leave. But that seems a bit unfair to prisons – they don’t have their electricity and drinking water cut off randomly almost every day.

Janis Joplin has one of the most distinguished female voices of the decade. It is a voice that has been aged in Southern Comfort and cured with Kahlua and milk.