Bernanke vs. Yellen: A Spooky Outlook?

Axel Merk, Merk Investments 

October 30th, 2013

Fed Chair nominee Janet Yellen will take over where her predecessor Ben Bernanke leaves off. Not just operationally, but also philosophically. To understand where the Fed and the U.S. dollar may be heading, we take a closer look at where Bernanke and Yellen are coming from.

Bernanke has always considered himself a student of the Great Depression. He argued many times that one of the biggest mistakes made during the period was to raise interest rates too early. When faced with a credit bust, major deflationary forces are unleashed; in our assessment of Bernanke’s thinking, he believes the right policy response is to push...