With money supply growth too low, velocity is falling and so is inflation along with inflation expectation one could make a case for deflation. Does the Fed know this? It’s quite possible that the Fed does indeed know this hence the reason they will probably keep the status quot in terms of their economic activities. More importantly it is critical that the Fed not make a European style mistake. Ed Butowsky, wealth manager, financial advisor, and managing partner of Chapwood Investment Management, joins The Kudlow Report on CNBC to discuss the reality behind the possibility that the fed could begin to taper their economic activities.
Ed Butowsky is the managing partner of Chapwood Investment Management and is an internationally recognized expert in the investment wealth management industry. Ed is also a frequent guest on other networks such as CNN, NBC, ABC, Fox News, Fox Business, and Bloomberg to name a few.
Tags: deflation, economic activities, ed butowsky, fed tapering, inflation, money