FED: Dallas Fed Pres Fisher
FED: Dallas Fed Pres Fisher (dissenter) says in an explanation of his dissent against Op Twist that he's anxious to see job growth but thinks OT costs-benefits are not good. Reasons 1-avg person will hoard savings because of fear Fed is saying econ is worse or sets stage for QE3; 2-bank earnings come under pressure; 3-pensions have to alter assumed returns; 4-Fed holding more L-term debt compounds the complexity of future policy decisions, poss incurs losses, etc. He also says there is moral hazard of poss being too accommodative (inflation); and OT poss gives too much influence to financial interests that make more money
from trading than from lending.