Paul Volcker

The Fed chair famous for the big credit squeeze and double-digit interest rates of the early 1980s passed away on December 8, 2019 at age 92. (I’m sure that escaping from the prison of cigar addiction bought him many more years.)

At the time I heard about the death of Paul Volcker, I thought it would be ironic if it coincided with the end of an era of declining inflation and interest rates. Sure enough, it appears that it’s exactly what’s happening. It’s almost as if the Inflation Monster was waiting for his passing to strike again.


He was a strong advocate for money supply long after he left the Fed.

Next thing you know, the Federal Reserve will roll back the Volcker rule which was designed to protect the banking system from another financial crisis, specifically rules that limit bank investment in venture capital and securitized loans.

What?? They already did??…

What could possibly go wrong?