In Fed We Trust? (part 2)
This week Business Insider had a chart illustrating just how bad the Fed has been at predicting where interest rates will be (you know the very thing the Fed controls). Keep in mind, their interest rate forecasts are based on their predictions for the economy, so this chart shows their woeful ability to project economic growth.
For all of you that believe the Fed is “all knowing” and will be able to predict a recession before it happens and be able to prevent it, this chart should give you serious reservations. If not, maybe you should take a look at “In Fed We Trust?” Keep in mind, the Fed thought rates would be higher due to strong economic growth, which has been dramatically lower than their forecasts for several years.