October 02, 2011
– Comments (5)
...for driving down gas prices. Let's give the guy a hand, right?
You should thank Europe for that...
after he drove them up...
Our gas prices are very likely largely being driven by Europe. They accelerated this year in line with inflated Brent prices, and if this thesis is correct remain inflated, though off highs, for similar reasons. In any event, I think it is a mistake to assume that the actions of the Fed are the primary driver, either way, of gas prices, given all of the international factors at play.
The only direct way for the Bernank to help the price is by unprinting dollars. I don't think he's done any of that lately.
Destroying demand by hurting the economy by printing more dollars, yes he has!