Fed issues final rules for foreign banks | Business Standard 

Foreign banks with a major presence on Wall Street will no longer be allowed to avoid many of the tougher rules that the United States introduced after the financial crisis to prevent banking failures and bailouts.

Is our robot future really all that speculative anymore? 

James Pethokoukis points us to a new working paper about economic growth released by the San Francisco Fed this month. Here’s a piece:

Even more speculatively, artificial intelligence and machine learning could allow computers and robots to increasingly replace labor in the production function for goods….In standard growth models, it is quite easy to show that this can lead to a rising capital share — which we intriguingly already see in many countries since around 1980 (Karabarbounis and Neiman, 2013) — and to rising growth rates. In the limit, if capital can replace labor entirely, growth rates could explode, with incomes becoming infinite in finite time.

Bernanke: The Federal Reserve: Looking Back, Looking Forward 

From Fed Chairman Ben Bernanke: The Federal Reserve: Looking Back, Looking Forward. On the economy:

I have discussed the factors that have held back the recovery, not only to better understand the recent past but also to think about the economy’s prospects.

A New Fed Study Destroys One Of The Central Tenets Of Monetary

New research by Federal Reserve staff economists Steve Sharpe and Gustavo Suarez suggests that the outlook for business investment — a notably lacking aspect of this economic recovery — has little to do with changes in interest rates.“>…

Will history look kindly on Ben Bernanke?

After eight tumultuous years, Ben Bernanke will soon step down as chairman of the Federal Reserve. How should we judge his 2006-14 tenure in charge of the world’s most powerful central bank?

The short, truthful, and unsatisfying answer is that we don’t know yet. Bernanke’s legacy as a central banker is still up in the air, because we have yet to see the long-term effects of the programs and policies that the Fed initiated under his watch.

Happy Birthday, Federal Reserve! Have Some Punch (Before the Bowl Gets Taken Away)

One hundred years ago on this day, President Woodrow Wilson signed the bill that brought to life the Federal Reserve Board. Through war, depression, market panics and crashes, and raging bull markets, the Fed has been tasked with keeping the nation on an even keel.