Milton Friedman: The Purpose of the Federal Reserve

your comment makes me believe that you feel that our current market is not capitalistic but is corporatistic, and that if we back step to capitalism we will be singing coom-by-yah, again. i believe that just like a spoiled child who grows up to be a despicable individual, so too does a capitalistic nation grow up to be corporatist state.

and that is real practicle. that is like saying we don't want murderers running loose, but we dont create prisions and hire police as deterrents, instead we tell everyone to discipline themselves to not murder

No, your bank cannot be regarded as the Fed. Sorry.
sorry
as long as it is the only bank in the market
it represents the banking cartel in its entirety
so it absolutely functions as both the FED and the retail bank
tough
little retard

"as long as it is the only bank in the market"

It isn't the only bank. Glad we cleared that up. Clown.

5)The Chicago School / Monetarists of political economists with their operations research,complexity and game theory,were at the time,Freemarketers best hope here but was a total failure & on the other hand,the working class had to be brought under control at the coal face with improved management techniques,as "Toyotaism",and other "Human Engeenering" methods, and rather than as before,simply relying on high unemployment & centralised wage bargaining to do the job.The school losed their credit

all that work and you said 'losed'? LOST, sir. lol

OK lost :) !But Friedman's reputation as a professional economist rests on his monetarist ideas and historical studies, his analysis of inflation and the natural rate of unemploy­ment," and his theory of the consumption-income rela­tionship (the so-called "permanent-income" hypothe­sis). These are modest achievements at best. His monetarist forecasts have proven to be as wrong as forecasts can be, and the popularity of monetarism has ebbed in the wake of its failures.

4)Among other things, the financial world had become far too complex for Monetarist measures and instruments to control, and the 1987 crash, brought on by computers that had been programmed to make instant investment decisions in competition with one another, was a clear demonstration of this.
The crisis had to be approached on two fronts: more sophisticated methods of dealing with the financial markets had to be developed.

3)Microeconomics led to intractable complexities as soon as it was attempted to draw macro-conclusions from the analyses.Macroeconomics, which focussed on fiscal methods was thrown into disrepute in of the break-down of the Bretton Wood arrangements in 1968-73 and capitalist governments embraced its opposite,Monetarism.The failure of monetarism to extricate the major capitalist economies from Stagflation,and then the stock market crash of October 1987 forced the economists to look elsewhere.

2)Somewhat like the situation when physics had relativity theory and quantum physics, the two ends of the spectrum used incommensurable categories and could not talk to one another. Macroeconomics used to rest on totally unrealistic models of micro-economic behaviour, but more and more developed separately, resting on concepts through which the actions of individuals were quite invisible.