PKT Seminar: Opening Shot

["James K. Galbraith" <lpgc403@xxxxxxxxxxxxxxxxxxx>]

For reasons not altogether clear to me, and perhaps not to anyone else, Ric
Holt kindly nominated a paper of mine to be the the topic of an
experimental seminar on the pkt network.  The paper is entitled,
"Self-Fulfilling Prophets: Inflated Zeal at the Federal Reserve"
and was published in the Summer 1994 issue of The American Prospect.
The text is available on the pkt gopher.

As readers will note, the paper is not highly theoretical, nor empirical
either. Rather it consists mainly in an effort to make sense out of the
array of statements issued since February by the Federal Reserve in support
or defense of the raising of interest rates. It fails in this goal, and
concludes from the effort that the statements don't, in fact, make sense.


I'm happy to take comments, brickbats or bouquets on this effort, or perhaps
especially we might launch a discussion of (a) further emissions from the
Federal Reserve since July, when this article was published, or (b) from
non-US participants especially, any comparative comments on either the
process or substance of central bank accountability, if any, outside the
United States. Discussion of proposed reforms of the Federal Reserve system,
which are taken up briefly in the paper, might also be pertinent.

Let me suggest a couple of ground rules.

  1. Seminar contributors should refrain from the practice of playing
back large chunks of the article, or of other contributions, and
interspersing their own remarks. Perhaps others do not share this view, but
I find this practice extremely wearying, and in this context it could
quickly waste much space and time. Short comments fit to be read
independently, please.

  2. Comments can be posted under the heading "PKT Seminar: xxx" with
sub-headings developing as desired.

  3. I will monitor developments, and perhaps suggest new lines of discussion as
appropriate. Having already written the article, however, I have no
compelling urge to be the center of attention, and will not necessarily
respond to every remark aimed my way.

  4. I would hope very much to hear from participants who can lay out their own views on the institutional and
political questions discussed in my article, so that we can use the seminar
to expand knowledge and share information, not merely for the fun of having
a debate.


Thanks to those who participate -- that is, if anyone does. Jamie.
****

James Galbraith
The University of Texas at Austin
LPGC403@xxxxxxxxxxxxxxxxxxx
fax (512) 471-1835