Over the period of the last several decades we’ve seen the computer industry disrupted by Microsoft and Apple, retail disrupted by Amazon, the taxi industry disrupted by Lyft and Uber, and the hospitality industry disrupted by Airbnb. Disruption as a business model has become so routine that Silicon Valley venture capitalists are now searching for the next big disruption.
That’s what I thought of when I read these remarks at Bloomberg by former Federal Reserve Governor Narayana Kocherlakota:
The Fed has played a big role in the poor performance of the latest decade as well. It has actually been tightening monetary policy for most of the past four years, even though inflation has been below its 2 percent target. In other words, the central bank is not pursuing a pro-growth agenda.
If there is one institution crying out for disruption, it’s got to be the Federal Reserve.
But that’s the problem, isn’t it? Private industries get disrupted but public institutions never do.
Private industries get disrupted but public institutions never do.
Oh yes they do!
Vote National Razor Party for disruption!