Article Review #1

The article on its own was very confusing, and while I made notes and looked up many of the words or people mentioned to try to get a better understanding, it was still difficult to make all the connections. The author was discussing how Keynesian economics doesn't really work and really only benefits those on Wall Street, rather than actually taking into account the households and how they borrow money. From my understanding, this concept is actually causing inflation, and a bubble in the economy, and tries to show positive interest rates actually "help" the economy. While the U.S. prints more money, that money doesn't seem to be going into households, but back into the stocks, where business growth is actually slowed. 

I did not fully understand Stockman's idea of tightening and his graphs, but it is evident that he does not believe that the Fed has tightened enough, in contrast to what Keynesian economics tried to show. I did not understand his connection to household debt, saying it how gone flat and even decreased. Does the Fed's balance sheet show an increase in money, in which case, is that not good, even if it doesn't directly affect the household borrowing and spending? Or is that the problem, in which the Federal balance sheet changes but household spending and borrowing doesn't? Wouldn't we want household debt to decrease? So do low interest rates benefit households and high interest rates benefit Wall Street? Overall, the idea of an inflation bubble does seem as something to worry about.