{"id":894,"date":"2014-10-31T06:37:05","date_gmt":"2014-10-31T10:37:05","guid":{"rendered":"http:\/\/olduvai.ca\/?p=894"},"modified":"2014-10-31T06:37:05","modified_gmt":"2014-10-31T10:37:05","slug":"complexity-the-hidden-cost-of-central-bank-actions-enterprising-investor","status":"publish","type":"post","link":"https:\/\/olduvai.ca\/?p=894","title":{"rendered":"Complexity: The Hidden Cost of Central Bank Actions | Enterprising Investor"},"content":{"rendered":"<p><a href=\"http:\/\/blogs.cfainstitute.org\/investor\/2014\/10\/29\/complexity-the-hidden-cost-of-central-bank-actions\/\">Complexity: The Hidden Cost of Central Bank Actions | Enterprising Investor<\/a>.<\/p>\n<p style=\"outline-width: 0px; outline-style: initial; outline-color: initial; font-size: 16px; vertical-align: baseline; background-image: initial; background-attachment: initial; background-origin: initial; background-clip: initial; background-color: transparent; background-position: initial initial; background-repeat: initial initial; padding: 0px; margin: 0px 0px 1.5em 0px; border: 0px initial initial;\">Central banks are printing rules almost as fast as they\u2019re printing money. The consequences of these fast-multiplying directives \u2014 complicated, long-winded, and sometimes self-contradictory \u2014 is one topic at hand. Manipulated interest rates is a second. Distortion and mispricing of stocks, bonds, and currencies is a third. Skipping to the conclusion of this essay,\u00a0<em style=\"outline-width: 0px; outline-style: initial; outline-color: initial; font-size: 16px; vertical-align: baseline; background-image: initial; background-attachment: initial; background-origin: initial; background-clip: initial; background-color: transparent; font-style: italic; background-position: initial initial; background-repeat: initial initial; padding: 0px; margin: 0px; border: 0px initial initial;\">Grant\u2019s<\/em>\u00a0is worried.<\/p>\n<p style=\"outline-width: 0px; outline-style: initial; outline-color: initial; font-size: 16px; vertical-align: baseline; background-image: initial; background-attachment: initial; background-origin: initial; background-clip: initial; background-color: transparent; background-position: initial initial; background-repeat: initial initial; padding: 0px; margin: 0px 0px 1.5em 0px; border: 0px initial initial;\">\u201cOne would not think at first sight that government had much to do with the trade of banking,\u201d Walter Bagehot, the famed Victorian writer on finance, mused a century and a half ago. As time rolls on and regulation gives way to regimentation, the question presents itself: Do bankers have much to do with the trade of banking anymore?<\/p>\n<p style=\"outline-width: 0px; outline-style: initial; outline-color: initial; font-size: 16px; vertical-align: baseline; background-image: initial; background-attachment: initial; background-origin: initial; background-clip: initial; background-color: transparent; background-position: initial initial; background-repeat: initial initial; padding: 0px; margin: 0px 0px 1.5em 0px; border: 0px initial initial;\">One sees a certain measure of justice in the humbling of the regulated financial titans who put themselves in this position of vulnerability; many of them were going broke. Then, again, there\u2019s irony in the regulatees ceding power to the regulators. The latter seemed to know even less about the corrupted structure of money and credit than the former.<\/p>\n<p style=\"outline-width: 0px; outline-style: initial; outline-color: initial; font-size: 16px; vertical-align: baseline; background-image: initial; background-attachment: initial; background-origin: initial; background-clip: initial; background-color: transparent; background-position: initial initial; background-repeat: initial initial; padding: 0px; margin: 0px 0px 1.5em 0px; border: 0px initial initial;\">&#8230;click on the above link to read the rest of the article&#8230;<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Complexity: The Hidden Cost of Central Bank Actions | Enterprising Investor. Central banks are printing rules almost as fast as they\u2019re printing money. The consequences of these fast-multiplying directives \u2014 complicated, long-winded, and sometimes self-contradictory \u2014 is one topic at hand. Manipulated interest rates is a second. Distortion and mispricing of stocks, bonds, and currencies [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[2],"tags":[124,154,431,538,661],"class_list":["post-894","post","type-post","status-publish","format-standard","hentry","category-economics","tag-central-banks","tag-complexity","tag-interest-rates","tag-money-printing","tag-qe"],"_links":{"self":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/894","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=894"}],"version-history":[{"count":0,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/894\/revisions"}],"wp:attachment":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=894"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=894"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=894"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}