Is Our Economic Leadership Lost in History?

The excerpt below is from Frederick Sheehan, the author of Panderer for Power: The True Story of How Alan Greenspan Enriched Wall Street and Left a Legacy of Recession.

Philosopher George Santayana wrote: “It is a marvel that mathematics should apply so well to the material world, [but] to apply it to history or ideas is pure madness.”

Today, the Federal Reserve Board is monopolized by mad professors. This is simple to understand, and impossible to ignore, by any non-economist who reads their ravings. However, it seems that the hypnotic spell under which Americans revere academic credentials blinds the public to the utter incapacity of the Federal Reserve Board of Governors to accomplish any activity beyond finding the men’s room.

Bernanke acquired his degree in post-graduate economic studies by spouting a single idea that mimicked his professors’ obsession: the Great Depression would have evaporated by 1931 if the Fed had printed more money in 1930. Having put this half-baked theory into practice, both Bernanke and his comrades have received an “F.” Despite his failure, Simple Ben has never deviated from the doctoral thesis, and, he never will. The senile professors who rule the academic community see no reason for him to do so.

…by the time Bernanke is through plundering the middle class of its savings and investments – a staple tactic of desiccated ruling classes since the beginning of time – Sherman will be a footnote in history of American destruction.

via Barry Ritholtz at The Big Picture