Ben Bernanke must think he’s an amateur entertainer.  Tomorrow, after 98 years of silence, the Fed Chairman will give the central bank’s first-ever press conference.

Here at the Economic Prism we’ll be watching with wide eyes and anticipation…hoping for the sort of gut busting comedy that comes from a night at the Laugh Factory.  From our perspective we are more interested in the questions Bernanke gets than the answers he gives.

No doubt, most of the questions will be predictable drivel about the federal funds rate, inflation expectations, and the end of quantitative easing.  Still, we hope someone, somewhere, someway, will ask a question that is completely and utterly unexpected, unpredictable, and uncouth.  Something like, “What are your thoughts on John Law?”

Of the many professions out there, earning one’s living as a central banker of a paper money standard is one of the more devious ventures one can pursue.  In this modern world, where smartphones keep getting smarter and waist lines keep getting wider, the business of central banking is as ridiculous as the day it was invented.

For all the conceit out there about inflation targeting, liquidity traps, and scientific management of the economy, when it comes down to it, central banking is still the work of carnival magicians. Continue reading →