A committee of economists have proposed “the creation of an International Monetary Policy Committee composed of representatives of major central banks that will report regularly to world leaders on the aggregate consequences of individual central bank policies.”

And who will run this? Why, a committee of economists! I mean, sure, the Fed has screwed up in the past and the ECB may have had a few missteps, like when they took hundreds of billions of euros worth of risky securities as collateral to boost euro zone banks. But, really, that’s just because these central banks didn’t have solidarity throughout the globe. There was always this “foreign competition” getting in the way, with their smug growth rates…. Obviously more centralization is the answer!

[Centralization fragilizes the system. It makes crisis less frequent, but much larger in scope  when they happen.]

H/T Arnold Kling of EconLog