Should the U.S. fall Into recession soon, the Federal Reserve will have very little room to loosen policy to cushion the downturn. This is a large asymmetric risk. The right way to manage an asymmetric risk is to buy insurance: the Federal Reserve should be buying recession insurance. It is not. This is a substantial problem.

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Should the U.S. fall Into recession soon, the Federal Reserve will have very little room to loosen policy to cushion the downturn. This is a large asymmetric risk. The right way to manage an asymmetric risk is to buy insurance: the Federal Reserve should be buying recession insurance. It is not. This is a substantial problem.

Should the U.S. fall Into recession soon, the Federal Reserve will have very little room to loosen policy to cushion the downturn. This is a large asymmetric risk. The right way to manage an asymmetric risk is to buy insurance: the Federal Reserve should be buying recession insurance. It is not. This is a substantial problem.

The Fed Needs to Be Buying Recession Insurance—But Is Not

Macroeconomics, Economic History, Political Economy, and MOAR!

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The Fed Needs to Be Buying Recession Insurance—But Is Not

The Fed Needs to Be Buying Recession Insurance—But Is Not