Federal Reserve Board: H.2 Release for Week Ending April 7, 2018; H.4.1 Release (Balance Sheet) for Week Ending April 12, 2018; One Of Note Item

Of Note–

This slideshow requires JavaScript.

(1) Mainly millionaires (see table), former chairs of the White House Council of Economic Advisers, warn about a “debt crisis,”  or why the government should do little for the 99 percent of the population. Sad.

Economist Net Worth Source
Jason Furman $24.6 million http://pfds.opensecrets.org/N99999893_2013.pdf
Janet Yellen $14.6 million Bloomberg (photo at previous blog post)
Alan Krueger $2 million to $5 million (2011) https://www.opensecrets.org/personal-finances/assets/Alan-Krueger?cid=N99999902&year=2011
Laura D’Andrea Tyson n.a. n.a
Martin Neil Baily n.a. n.a.

The United States is a currency issuer; its “debts” are in its own currency.

 

 


The Federal Reserve Board (Board) publishes a weekly digest of its activities on its website. The digest is called the H.2 Release and is published every Thursday. The release for the week ending March 17, 2018, is below.

H.2 Release–Actions of the Board, Its Staff, and the Federal Reserve Banks; Applications and Reports Received

Category Action Taken
Bank Holding Companies Arvest Bank Group, Inc., Bentonville, Arkansas; and Arvest Holdings, Inc. — to acquire Bear State Financial, Inc., Little Rock, and to indirectly acquire Bear State Bank; and for Arvest Bank, Fayetteville, to merge with Bear State Bank and thereby establish branches.

-Approved, April 2, 2018

 

Forms Forms — initial Board review to extend with revision the Recordkeeping and Disclosure Requirements Associated with Consumer Financial Protection Bureau’s (CFPB) Regulation M (Consumer Leasing) (FR M).

-Proposed, April 2, 2018

 

Forms — initial Board review to extend without revision the Federal Reserve Clearance for Board Public Website Usability Surveys (FR 3076).

-Proposed, April 2, 2018

 

Personnel Management Division — appointment of Kendra Lee Gastright as associate director.

-Approved, April 2, 2018

 

Reserve Bank Operations Federal Reserve Bank of New York — appointment of John C. Williams as president, effective June 18, 2018.

-Approved, April 3, 2018

 

Enforcement Turkiye Cumhuriyeti Ziraat Bankasi A.S., Ankara, Turkey — written agreement dated June 25, 2014, terminated March 20, 2018.

-Announced, April 5, 2018

Federal Reserve Board: Balance Sheet (H.4.1 Release)

The Board publishes data of factors affecting reserve balances. The digest is called the H.4.1 Release, and they are published every Thursday (or the next business day if the publication date falls on a federal holiday). The release for April 12, 2018, is below.

[Note: The blog will cover the line titled “Total Factors Supplying Reserve Funds.”]

H.4.1 Release–Factors Affecting Reserve Balances

Total factors supplying reserve funds (as of April 11, 2018):  $4,431,188 (in millions of dollars). (On September 26, 2007, this amount was $900,473 (in millions of dollars)).

(See the release for further information.)

Advertisements

Federal Reserve Board: H.2 Release for Week Ending January 27, 2018; H.4.1 Release (Balance Sheet) for Week Ending February 1, 2018; Three Of Note Items


Of Note– 

(1) Janet Yellen completed her term as Fed Chair. CNBC reporter, Steve Liesman, posted photos of the Board’s farewell to Janet Yellen and welcome to the new Chairman, Jerome Powell, on Twitter.

According to Liesman, Yellen will be a “distinguished fellow at the Hutchins Center on Fiscal and Monetary Policy at the Brookings Institution in Washington, D.C.”

(2) Wells Fargo & Co. Before leaving the Board, Yellen signed a cease and desist order for Wells Fargo & Co. 

(3) Atlanta Fed Bank’s board chairman, Mike Jackson, CEO of AutoNation, on Bloomberg radio. On February 1, 2017, I happened to catch Bloomberg’s interview with millionaire Mike Jackson, chief executive officer of AutoNation. According to AutoNation’s 2017 proxy (page 29), Jackson had an executive compensation package valued at $11.1 million (2016).

On Bloomberg, Jackson had a response to a question about the still-low workforce participation rate (that demonstrates why having monetary policy from only corporate management executives, rather than from people from all walks of life, is a bad idea which leads to equally bad policy):

  • Comfort level with the social safety net post-financial crash. (!)
  • Skills gap.
  • Uncertain stance on immigration policy.

Comment:  What caught my attention was the mention of the “safety net.” Jackson did not elaborate on this point and the Bloomberg interviewer did not ask him to explain any of his points. What I do know is that the people of the United States (unemployed and underemployed) of the have not seen the recovery yet.

FRB Atlanta Bd. Member (2018) Title & Company (Ticker) Compensation Package
Michael J. Jackson (chair) Chairman, CEO, & President, AutoNation (AN) $11.1 million (2017 proxy, page 29)
Myron A. Gray (Deputy Chair) President, U.S. Operations, United Parcel Service (UPS) $4.75 million (2017 proxy, page 41)
Robert W. Dumas President & CEO, AuburnBank (AUBN) $153,251 (2017 proxy, page 41)
Thomas A. Fanning Chairman, President, & CEO, Southern Company (SO) $15.83 million (2017 proxy, page 62)
O.B. Grayson Hall, Jr. Chairman & CEO, Regions Financial Corporation (RF) $14.1 million (2017 proxy, page 91)
Gerard R. Host President & CEO, Trustmark Corporation (TRMK) $2.17 million (2017 proxy, page 30)
Mary A. Laschinger Chairman & CEO, Veritiv Corporation (VRTV) $8.3 million (2017 proxy, page 35)
Jonathan T.M. Reckford CEO, Habitat for Humanity International $332,338 (2016 Form 990, part VII)
Elizabeth A. Smith Chairman & CEO, Bloomin’ Brands, Inc. (BLMN) $5.5 million (2017 proxy, page 28)

But it is hard for privileged, rich people to see this point. The Atlanta Fed’s board of directors is dominated by millionaires and corporate executives. Yet, these so-called policymakers refuse to go to the Labor Department’s One-Stop Career Centers to ask the suffering directly about their experience of the U.S. economy (no rich economist’s anecdotes needed).

This slideshow requires JavaScript.


The Federal Reserve Board (Board) publishes a weekly digest of its activities on its website. The digest is called the H.2 Release and is published every Thursday. The release for the week ending January 20, 2018, is below.

H.2 Release–Actions of the Board, Its Staff, and the Federal Reserve Banks; Applications and Reports Received

Category Action Taken
Bank Holding Companies Associated Banc-Corp, Green Bay, Wisconsin — to acquire Bank Mutual Corporation, Milwaukee, a savings and loan holding company, and thereby indirectly acquire Bank Mutual, Brown Deer, a federal savings association.
-Approved, January 22, 2018
Regulations and Policies Disaster-Related CRA Consideration — interagency statement granting favorable consideration under Community Reinvestment Act regulations to financial institutions outside of the U.S. Virgin Islands or Puerto Rico for activities to help revitalize or stabilize these areas.
-Announced, January 25, 2018
Savings and Loan Holding Companies Wawel Financial Services, MHC, Garfield, New Jersey — (1) to dispose of its subsidiary, Wawel Bank, Garfield, pursuant to a merger agreement with Spencer Savings Bank, Elmwood Park, and to dissolve following the disposition of Wawel Bank; and (2) for the Board to delegate authority to the Reserve Banks to approve future dissolution requests from mutual holding companies.
-Approved, January 24, 2018
Supervision and Regulation Resolution Plans — issuance of joint letters with the Federal Deposit Insurance Corporation to 19 large foreign banking organizations regarding the firms’ resolution plans due in December 2018.
-Approved, January 23, 2018
Enforcement Putnam County Bank, Hurricane, West Virginia — issuance of a cease-and-desist order and assessment of a civil money penalty upon the consent of Jeffrey R. Davis, a former institution-affiliated party.
-Announced, January 25, 2018

Federal Reserve Board: Balance Sheet (H.4.1 Release)

The Board publishes data of factors affecting reserve balances. The digest is called the H.4.1 Release, and they are published every Thursday (or the next business day if the publication date falls on a federal holiday). The release for February 1, 2018, is below.

[Note: The blog will cover the line titled “Total Factors Supplying Reserve Funds.”]

H.4.1 Release–Factors Affecting Reserve Balances

Total factors supplying reserve funds (as of January 31, 2018):  $4,465,593 (in millions of dollars). (On September 26, 2007, this amount was $900,473 (in millions of dollars)).

(See the release for further information.)

 

Federal Reserve Board: H.2 Release for Week Ending January 20, 2018; H.4.1 Release (Balance Sheet) for Week Ending January 25, 2018; Four Of Note Items


Of Note– 

(1) Website information disarray. The Board has a website with a lot of information on it, but woe be to the person trying to find information on it. The website is logically disorganized and the website is designed like a maze.

Comment:  This is simply unacceptable for an agency that says it is trying to be transparent.

For example, I tried in vain to find the reports listed on the H.2 Release (below) and was unable to see them on the website. The H.2 should have links to relevant materials.

(2) The shutdown flub (as designed). U.S. Senator Charles Schumer‘s (D-N.Y.), failed strategy is the effect of big-dollar donors. People who cannot donate a lot of money are ignored, a result that emphasizes oligarchy.

 

800px-Paris_Tuileries_Garden_Facepalm_statue
paris_tuileries_garden_facepalm_statue

 

(3) Economists’ bizarre expectations: Janet Yellen, the FOMC, NAIRU, and high unemployment. To the dissatisfaction to people who are underemployed or unemployed, the Board, through its projections, favors higher unemployment (fearing inflation)! See the column by Matthew C. Klein in the Financial Times (paywall).

Something to consider when Board economists proclaim the Board’s “dual mandate,” maximum employment and stable interest rates. The people of the United States would expect that there would be enough available jobs for all who want them. That is, unemployment as close to zero percent as possible.

(4) Jerome Powell, attorney and financier, to lead the Board. The Senate confirmed the Board’s new Chair, Jerome Powell. Janet Yellen’s term as Board Chair ends on February 3, 2018.

Interesting fact: Powell graduated from Georgetown Preparatory School, Rockville, Maryland.

net worth fed chairs


The Federal Reserve Board (Board) publishes a weekly digest of its activities on its website. The digest is called the H.2 Release and is published every Thursday. The release for the week ending January 20, 2018, is below.

H.2 Release–Actions of the Board, Its Staff, and the Federal Reserve Banks; Applications and Reports Received

Category Action Taken
Forms Forms — final Board review to extend without revision the Reporting, Recordkeeping, and Disclosure Requirements Associated with the Guidance on Response Programs for Unauthorized Access to Customer Information (FR 4100).
-Approved, January 17, 2018
Forms — initial Board review to extend with revision the Margin Credit Reports related to extensions of credit secured by margin stock (FR G-1, FR G-2, FR G-3, FR G-4, FR T-4, and FR U-1).
-Proposed, January 17, 2018
Forms — initial Board review to extend without revision the Recordkeeping Requirements Associated with Limitations on Interbank Liabilities (Regulation F).
-Proposed, January 17, 2018
Forms — final Board review to extend with revision the Financial Statements of U.S. Nonbank Subsidiaries of U.S. Holding Companies (FR Y-11), Abbreviated Financial Statements of U.S. Nonbank Subsidiaries of U.S. Holding Companies (FR Y-11S), Financial Statements of Foreign Subsidiaries of U.S. Banking Organizations (FR 2314), and Abbreviated Financial Statements of Foreign Subsidiaries of U.S. Banking Organizations (FR 2314S).
-Approved, January 18, 2018
Forms — final Board review to revise without extension the Structure Reporting Requirements for Domestic and Foreign Banking Organizations (FR Y-6, FR Y-7,  FR Y-10, and FR Y-10E).
-Approved, January 18, 2018
Forms — final Board review to extend without revision the Recordkeeping Requirements Associated with the Real Estate Lending Standards Regulation for State Member Banks (Reg H-5).
-Approved, January 17, 2018 
Personnel Division of Supervision and Regulation — appointment of Karen Caplan, Keith Coughlin, and Vaishali Sack as assistant directors.
-Approved, January 12, 2018
(A/C)
Regulations and Policies Reports to Congress — (1) interagency report to Congress on capital and accounting differences among the federal banking agencies as of September 30, 2017, and (2) report to Congress regarding the Board’s implementation of enhanced prudential standards under section 165 of the Dodd-Frank Act.
-Approved, December 26, 2017
(A/C)
Enforcement Heartland Bank, Little Rock, Arkansas — termination of a prompt-corrective-action directive issued on August 15, 2017.
-Approved, January 16, 2018

Federal Reserve Board: Balance Sheet (H.4.1 Release)

The Board publishes data of factors affecting reserve balances. The digest is called the H.4.1 Release, and they are published every Thursday (or the next business day if the publication date falls on a federal holiday). The release for January 25, 2018, is below.

[Note: The blog will cover the line titled “Total Factors Supplying Reserve Funds.”]

H.4.1 Release–Factors Affecting Reserve Balances

Total factors supplying reserve funds (as of January 24, 2018):  $4,488,523 (in millions of dollars). (On September 26, 2007, this amount was $900,473 (in millions of dollars)).

 

(See the release for further information.)

 

Federal Reserve Board: H.2 Release for Week Ending January 13, 2018; H.4.1 Release (Balance Sheet) for Week Ending January 18, 2018; Four Of Note Items


Of Note–

(1) Job guarantee rather than universal basic income. The Black Agenda Report published a column by Daniel Zamora who argues against universal basic income, viewing the policy as an “ideological capitulation to neoliberalism” and noting that it could lead to abuse of labor. Instead, the author advocated for a job guarantee and reduction of work hours.

See also an article in Vox by Dylan Matthews. It seems that racial discrimination may affect the implementation and support of the program.

In the 1970s, amid economic malaise driven by the oil crisis, the federal government began funding job positions through the Comprehensive Employment and Training Act (CETA). The program got some $47 billion in funding from its passage in 1973 to its dissolution in 1982; in 1977, President Jimmy Carter started directing more and more of that money toward public sector jobs, until by 1978 some 725,000 people had public sector jobs through CETA.

[…]

“It also became intertwined with race,” Brown political scientist and sociologist Margaret Weir notes. Joblessness was seen as a black problem, and blacks were seen as primary beneficiaries of the public sector positions created by CETA in cities.

(2) Modern Monetary Theory (or MMT) explained. There are pros and cons to MMT, but it is worthy of discussion and thought because economic policy is developed by human beings, ideally to serve all human beings fairly and equitably.

(3) A curious (anti-labor) discussion on Bloomberg Surveillance. In the mornings, I sometimes listen to Bloomberg Surveillance on the radio. The show slants toward the rich and the right wing, often it is (subtly) excessively so. In a discussion about airport food between host Tom Keene and Bloomberg’s Peter Elliott, somehow the fault of poor quality airport food lies with an unionized workforce, not cheap, profit-focused management.

In discussing restaurants and the difficulty of finding workers, Keene did ask an economist and Elliott whether an increase of pay would be the solution to the issue. Elliott mentioned that restaurants have low profit margins and cannot afford to pay more.

Comment:  Well, if restaurants cannot pay to operate their business, would they ask their landlord, food suppliers or the linen service to provide free rent or to give their services for free to subsidize the restaurant? No. Likewise, labor should not be expected to subsidize a business which labor does not have any say in ownership or management.

(4) The GOP’s war on the poor continues. Medicaid “work requirements” & Seema Verma, Administrator of the Centers for Medicare and Medicaid Services (who previously advised Kentucky and Indiana to include work requirements).

Comment:  Health care is a human right and should be available to all and never subject to any preconditions.

Author’s note:  Kentucky governor, Matt Bevin, is a multimillionaire, so he is playing with the lives of the vulnerable.

This slideshow requires JavaScript.


The Federal Reserve Board (Board) publishes a weekly digest of its activities on its website. The digest is called the H.2 Release and is published every Thursday. The release for the week ending January 13, 2018, is below.

H.2 Release–Actions of the Board, Its Staff, and the Federal Reserve Banks; Applications and Reports Received

Category Action Taken
Bank Holding Companies NATCOM Bancshares, Inc., Superior, Wisconsin — request for reconsideration of the Board’s approval of the application by NATCOM Bancshares, Inc., to acquire shares of Republic Bancshares, Inc., Duluth Minnesota, and thereby indirectly acquire Republic Bank, Inc.
-Denied, January 12, 2018
Banks, State Member Huron Community Bank, East Tawas, Michigan — to acquire certain assets and assume certain liabilities of a branch of First Federal of Northern Michigan, Alpena, a federal savings association subsidiary of First Northern Michigan Bancorp, Inc.
-Approved, January 12, 2018
Forms Forms — final Board review to extend with revision the Consolidated Financial Statements for Holding Companies (FR Y-9C), Parent Company Only Financial Statements for Large Holding Companies (FR Y-9LP), Parent Company Only Financial Statements for Small Holding Companies (FR Y-9SP), Financial Statements of U.S. Nonbank Subsidiaries Held by Foreign Banking Organizations (FR Y-7N), and Consolidated Report of Condition and Income for Edge and Agreement Corporations (FR 2886b); and to extend without revision the Financial Statements for Employee Stock Ownership Plan Holding Companies (FR Y-9ES) and Supplement to the Consolidated Financial Statements for Holding Companies (FR Y-9CS), Abbreviated Financial Statements of U.S. Nonbank Subsidiaries Held by Foreign Banking Organizations (FR Y-7NS), and Capital and Asset Report for Foreign Banking Organizations (FR Y-7Q).
-Approved, January 12, 2018

Forms — initial Board review to extend with revision the Reporting Requirements Associated with Regulation QQ.
-Proposed, January 12, 2018

 

Personnel Division of Financial Stability — appointment of Elizabeth Klee as deputy associate director, Namirembe Mukasa as assistant director and chief of staff, and Chiara Scotti as assistant director.
-Announced, January 9, 2018
Reserve Bank Operations Reserve Bank Directors — designation of chairs and deputy chairs of the Federal Reserve Banks for 2018.
-Announced, January 10, 2018
Enforcement American Express Company, New York, New York, and American Express Travel Related Services Company, Inc. — consent order dated October 1, 2012, terminated January 8, 2018.
-Announced, January 11, 2018
Enforcement Action — determination denying the motion by Christopher Ashton, a former institution-affiliated party of Barclays Bank PLC, to vacate, void, and dismiss the Board’s final decision, notice of assessment, and order of prohibition against him.
-Approved, January 11, 2018
Enforcement Actions — termination of enforcement actions related to residential mortgage loan servicing and foreclosure processing against 10 banking organizations (Bank of America Corporation; CIT Group, Inc., as successor to IMB HoldCo LLC; Ally Financial Inc.; The Goldman Sachs Group, Inc.; HSBC North America Holdings, Inc.; JPMorgan Chase & Co.; Morgan Stanley; The PNC Financial Services Group, Inc.; SunTrust Banks, Inc.; and U.S. Bancorp), civil money penalties against five banking organizations (Goldman Sachs; Morgan Stanley; CIT Group; U.S. Bancorp; and PNC), termination of two interagency orders against service providers (Lender Processing Services, Inc., succeeded by ServiceLink Holdings, LLC, and MERSCORP, Inc., now known as MERSCORP Holdings, Inc.) and other related actions.
-Approved, January 8, 2018
Goldman Sachs Bank USA, New York, New York — issuance of a consent order of assessment of a civil money penalty.
-Announced, January 12, 2018
Liberty Bank, South San Francisco, California — written agreement dated August 5, 2016, terminated January 8, 2018.
-Announced, January 11, 2018
Mega International Commercial Bank Co., Ltd., Taipei, Taiwan — issuance of a consent cease-and-desist order and assessment of a civil money penalty against Mega International Commercial Bank Co. and its New York, Chicago, and San Jose branches based on deficiencies in compliance with Bank Secrecy Act and anti-money-laundering laws.
-Approved, January 12, 2018

 

 

Federal Reserve Board: Balance Sheet (H.4.1 Release)

The Board publishes data of factors affecting reserve balances. The digest is called the H.4.1 Release, and they are published every Thursday (or the next business day if the publication date falls on a federal holiday). The release for January 18, 2018, is below.

[Note: The blog will cover the line titled “Total Factors Supplying Reserve Funds.”]

H.4.1 Release–Factors Affecting Reserve Balances

Total factors supplying reserve funds (as of January 17, 2018):  $4,486,396 (in millions of dollars). (On September 26, 2007, this amount was $900,473 (in millions of dollars)).

(See the release for further information.)

 

Federal Reserve Board: H.2 Release for Week Ending December 30, 2017; H.4.1 Release (Balance Sheet) for Week Ending January 4, 2018; One Of Note Item

Of Note–

(1) An interesting article that I skimmed at the Naked Capitalism blog, “More Power to the Workers: Seymour Melman on Extraction by the Military, Managers, and Finance.”

The Federal Reserve Board (Board) publishes a weekly digest of its activities on its website. The digest is called the H.2 Release and is published every Thursday. The release for the week ending December 30, 2017, is below.

H.2 Release–Actions of the Board, Its Staff, and the Federal Reserve Banks; Applications and Reports Received

Category Action Taken
Forms Forms — initial Board review to extend with revision the Consolidated Financial Statements for Holding Companies (FR Y-9C), Parent Company Only Financial Statements for Large Holding Companies (FR Y-9LP), Parent Company Only Financial Statements for Small Holding Companies (FR Y-9SP), Financial Statements for Employee Stock Ownership Plan Holding Companies (FR Y-9ES), and Supplement to the Consolidated Financial Statements for Bank Holding Companies (FR Y-9CS).

-Proposed, December 26, 2017

 

Federal Reserve Board: Balance Sheet (H.4.1 Release)

The Board publishes data of factors affecting reserve balances. The digest is called the H.4.1 Release, and they are published every Thursday (or the next business day if the publication date falls on a federal holiday). The release for January 4, 2018, is below.

[Note: The blog will cover the line titled “Total Factors Supplying Reserve Funds.”]

H.4.1 Release–Factors Affecting Reserve Balances

Total factors supplying reserve funds (as of January 3, 2018):  $4,495,736 (in millions of dollars). (On September 26, 2007, this amount was $900,473 (in millions of dollars)).

(See the release for further information.)

Federal Reserve Board: H.2 Release for Week Ending December 23, 2017; H.4.1 Release (Balance Sheet) for Week Ending December 28, 2017

The Federal Reserve Board (Board) publishes a weekly digest of its activities on its website. The digest is called the H.2 Release and is published every Thursday. The release for the week ending December 16, 2017, is below.

H.2 Release–Actions of the Board, Its Staff, and the Federal Reserve Banks; Applications and Reports Received

Category Action Taken
Banking Supervision and Regulation Resolution Plans — determinations by the Board and Federal Deposit Insurance Corporation on the 2017 resolution plans submitted by eight large, complex U.S. banking organizations.
-Approved, December 18, 2017

 

Enforcement First Baird Bancshares, Inc., Weatherford, Texas — cease-and-desist order dated June 22, 2006, terminated December 15, 2017.
-Announced, December 21, 2017
 

Société Générale S.A., Paris, France, and Société Générale New York Branch, New York, New York — issuance of a consent cease-and-desist order.
-Announced, December 19, 2017

 

 

Federal Reserve Board: Balance Sheet (H.4.1 Release)

The Board publishes data of factors affecting reserve balances. The digest is called the H.4.1 Release, and they are published every Thursday (or the next business day if the publication date falls on a federal holiday). The release for December 21, 2017, is below.

[Note: The blog will cover the line titled “Total Factors Supplying Reserve Funds.”]

H.4.1 Release–Factors Affecting Reserve Balances

Total factors supplying reserve funds (as of December 20, 2017):  $4,494,674 (in millions of dollars). (On September 26, 2007, this amount was $900,473 (in millions of dollars)).

(See the release for further information.)

 

Federal Reserve Board: H.2 Release for Week Ending December 16, 2017; H.4.1 Release (Balance Sheet) for Week Ending December 21, 2017; Two Of Note Items

Of Note–

(1) Jesus and the debt jubilee. Professor Michael Hudson, who did an interview on the Naked Capitalism blog, is the author of an upcoming book “And Forgive them their Debts: Credit and Redemption.”

An interesting concept Prof. Hudson raised was that of the debt jubilee, in which debts that debtors became unable to pay would be forgiven.

“When you have a massive build up of debt that can’t be paid, either you wipe out the debt and start-over like Germany did during ‘the 1947 Miracle’ when the Allies forgave all its debts except for minimum balances, or you let the creditors foreclose as Obama did in America after the 2008 crisis and 10 million American families lost their homes to foreclosure,” he said.

(2) Extreme Poverty in the U.S.A. The United Nations’ Philip Alston studied extreme poverty in the United States of America.

Among other observations, Alston stated the following:

10. I have been struck by the extent to which caricatured narratives about the purported innate differences between rich and poor have been sold to the electorate by some politicians and media, and have been allowed to define the debate.  The rich are industrious, entrepreneurial, patriotic, and the drivers of economic success.  The poor are wasters, losers, and scammers.  As a result, money spent on welfare is money down the drain.  To complete the picture we are also told that the poor who want to make it in America can easily do so: they really can achieve the American dream if only they work hard enough.

Consider–

(a) 2017 tax cut fiscal policy. The policy of Donald Trump and the GOP (and silent Democrats, who voted against but who serve the donor class just like the GOP (thus tacitly agreeing with the tax cuts, as no alternative was presented to the voters).

(b) The statement of Stephen Cloobeck, Democratic Party donor.

According to an article in the Guardian

“The tour, which kicked off on Friday morning, will make stops in four states as well as Washington DC and the US territory of Puerto Rico. It will focus on several of the social and economic barriers that render the American dream merely a pipe dream to millions – from homelessness in California to racial discrimination in the Deep South, cumulative neglect in Puerto Rico and the decline of industrial jobs in West Virginia.”


The Federal Reserve Board (Board) publishes a weekly digest of its activities on its website. The digest is called the H.2 Release and is published every Thursday. The release for the week ending December 16, 2017, is below.

H.2 Release–Actions of the Board, Its Staff, and the Federal Reserve Banks; Applications and Reports Received

Category Action Taken
Bank Holding Companies Commercial Bancgroup, Inc., Harrogate, Tennessee; Robertson Holding Company, L.P. (Robertson); and Unified Shares, LLC (Unified) — (1) for Commercial Bancgroup, Inc., to merge with Citizens Bancorp, Inc., New Tazewell, and thereby acquire Citizens Bank; (2) for Commercial Bank, Harrogate, to merge with Citizens Bank and thereby establish branches; and (3) election by Robertson and Unified to become financial holding companies.
-Approved, December 15, 2017
NATCOM Bancshares, Inc., Superior, Wisconsin — to acquire shares of Republic Bancshares, Inc., Duluth, Minnesota, and thereby indirectly acquire Republic Bank, Inc.
-Approved, December 15, 2017 
Board Operations Board Budgets — operating and capital budgets for 2018.
-Approved, December 6, 2017
(A/C)
Forms Forms — final Board review to extend without revision the Reporting, Recordkeeping, and Disclosure Requirements Associated with Proprietary Trading and Certain Interests in and Relationships with Covered Funds (Regulation VV).
-Approved, December 15, 2017
Forms — to discontinue the Liquidity Monitoring Report (FR 2052b).
-Approved, December 15, 2017 
Monetary Policy Implementation Federal Open Market Committee — increase in the target range for the federal funds rate to 1-1/4 percent to 1-1/2 percent, effective December 14, 2016.
-Announced, December 13, 2017
Interest on Reserves; Discount and Advance Rates — increase in the (1) interest rate paid on required and excess reserve balances from 1-1/4 percent to 1-1/2 percent and (2) primary credit rate from 1-3/4 percent to 2 percent, both effective December 14, 2017.
-Approved, December 13, 2017
Personnel Division of Consumer and Community Affairs — appointment of Minh-Duc (Ducie) T. Le as assistant director and creation of two additional officer positions.
-Approved, December 13, 2017
Regulations and Policies Regulations C (Home Mortgage Disclosure) and M (Consumer Leasing) — final rule to repeal Regulation C, which has been superseded by final rules issued by the Consumer Financial Protection Bureau, and publication for comment of amendments to Regulation M to reflect changes in the coverage of the Board’s rule under the Dodd-Frank Act.
-Approved, December 13, 2017 
Reserve Bank Operations Community Development Function — revised guidance to reflect the Board’s expectations in light of the function’s current objectives and operations.
-Approved, November 30, 2017
(A/C) 

 

Reserve Banks’ Code of Conduct and the Voluntary Guide to Conduct for Senior Officials — amendments to promote consistency in policies applicable to FOMC participants and staff with access to FOMC information to better align provisions of the securities trading blackout period with the blackout period established by the FOMC’s external communications policies.
-Approved, November 30, 2017
(A/C)

 

Enforcement Orders of Prohibition — issuance of consent orders of prohibition against (1) Lowell W. McCoy, a former director and institution-affiliated party of NBRS Financial, Rising Sun, Maryland; (2) Angela Asbell, a former employee and institution-affiliated party of First State Bank in Commerce, Commerce, Oklahoma; and (2) Jacob Harrison, a former employee and institution-affiliated party of Regions Bank, Birmingham, Alabama.
-Announced, December 15, 2017 

Federal Reserve Board: Balance Sheet (H.4.1 Release)

The Board publishes data of factors affecting reserve balances. The digest is called the H.4.1 Release, and they are published every Thursday (or the next business day if the publication date falls on a federal holiday). The release for December 21, 2017, is below.

[Note: The blog will cover the line titled “Total Factors Supplying Reserve Funds.”]

H.4.1 Release–Factors Affecting Reserve Balances

Total factors supplying reserve funds (as of December 20, 2017):  $4,494,674 (in millions of dollars). (On September 26, 2007, this amount was $900,473 (in millions of dollars)).

(See the release for further information.)