We study the interplay between monetary policy and financial conditions shocks. Such shocks have a significant and similar impact on the real economy, though with different degrees of persistence. The systematic fed funds rate response to a financial shock contributes to bringing the economy...

As Jeff Madrick makes clear, the single-minded pursuit of huge personal wealth has been on the rise in the United States since the 1970s, led by a few individuals who argue that self-interest guides society more effectively than community concerns. In telling the stories of these politicians,...