Book Cover

Capitalism,  The Way to a World of Peace and Plenty

Give the Federal Reserve the Needed Tools

The continuing media impression is that the Federal Reserve Board manages the American economy. They do not. Their monetary tools include the amount and cost of money, not included are the fiscal tools of taxes and spending. Proper management of the economy requires coordinated use of both monetary and fiscal tools.

The Fed pumped trillions of dollars into the economic system most of which stayed in the banks. They took the interest rate to about zero with limited effect on economic growth and unemployment. The only sure effect was to minimize the pensioners' retirement income from bond investment and low-cost money for speculative leverage.

The recently retired Chairman of the Fed, Ben Bernanke, explained in his book that the reason that they did not do a better job adding economic growth and reducing unemployment was the lack of these necessary tools. His advice can be found on web site, online education Essay section # 4: "Give the Federal Reserve the Needed Tools."

Ray CareyRay Carey

Ray Carey learned through managing companies for 33 years how to change the work culture to provide employees with their best opportunities to develop and contribute. This experience began as a 28 year old plant manager and later president of an electric motor company, and concluded with eighteen years as president , chairman, and CEO of ADT, Inc.

See Carey's autobiography of his work career in chapter two of his first book,

Democratic Capitalism, The Way to a World of Peace and Plenty.

For more information about Ray Carey and his advocacy of democratic capitalism, visit the pages of this website.