Plosser attacks Fed liquidity support
Charles Plosser, the president of the Philadelphia Federal Reserve, has panned elements of the Fed's crisis-fighting approach, saying its arbitrariness exacerbated financial-market uncertainty.
Plosser on Tuesday condemned the Fed's abandonment of economist Walter Bagehot's long-held dictum on lender-of-last resort support and attacked the decision to buy assets other than Treasuries to fend off a financial meltdown.
"The best guide to systematic lender-of-last-resort policy dates back to Walter
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