#shorts On 11/14/2022, Senator Kennedy questioned FDIC’s Gruenberg, Fed’s Barr in Banking. Kennedy asked, “if congress cooperated and stopped spending money like it was ditch water, or the Fed wouldn’t have to raise rates as high. Is that a fair statement to get control of inflation?”

Barr: of course I really won’t have any comment on fiscal policy we take the you think fiscal competencies are relevant we take the fiscal policy that elected members of congress and the president enact and we calculate those in our decision making but I don’t have a comment on fiscal policy you don’t have any comment on the contribution that fiscal policy makes to inflation I really don’t have anything to add about that.

Kennedy: well add to what? you haven’t told me add to what I said but you’re not telling me that fiscal policy has nothing to do with inflation?

Barr: I’m telling you that at the Fed. we take our monetary policy responsibilities as ours and we leave to the election.

Kennedy: well don’t you think you have a moral obligation if not a legal obligation if you think fiscal policy is contributing to the inflation to say something for God’s sakes.

other clips of this published longer video is here: https://youtu.be/XqdC-eVAeAI
Kennedy: add to what? you haven’t told me! Fiscal policy has nothing to do with inflation?