YOU MESSED UP, YOU TRUSTED THEM: Yellen: Persistent economic weakness could slow rate hikes. Summer of recovery #8 coming up!

The economy isn’t suffering from a shortage of money. It’s suffering from nothing profitable to do with money.

There’s nothing profitable because of regulation raising the cost of operating a business. Just start with the health care requirements.

Most businesses operate on the edge of solvency. Changing the cost of doing business shuts down a huge number of businesses if you raise it, and opens a huge number of businesses if you lower it.
Obama has always raised it.
Money supply doesn’t affect that.
from AP:

Federal Reserve Chair Janet Yellen cautioned Wednesday that global weakness and falling financial markets could depress the U.S. economy’s growth and slow the pace of Fed interest rate hikes.

But Yellen made clear that the Fed won’t likely find it necessary to cut rates after having raised them from record lows in December. She did concede, though, that negative rates, which central banks in Japan and Europe have recently imposed, are a tool the Fed has at least studied.

In her semiannual report to Congress, Yellen offered no major surprises. And she reiterated the Fed’s confidence that the U.S. economy was on track for stronger growth and an increase in too-low inflation. At the same time, she noted the weaker economic figures that have emerged since 2016 began and made clear the Fed is nervous about the risks from abroad.

Her concerns about the perils to U.S. growth contrasted with the Fed’s statement eight weeks ago, when it raised interest rates for the first time in nearly a decade and described economic risks as “balanced.”

In her testimony to the House Financial Services Committee, Yellen also:

– Expressed sympathy with committee members who raised concerns about chronically higher-than-average unemployment among black Americans. Members of an activist group, the Fed Up coalition, attended the hearing wearing T-shirts emblazoned with the messages “What Recovery?” and “Let Our Wages Grow.” The group has been urging the Fed to delay further rate hikes until the job market improves further, especially for minority groups.