William White

Today Jack welcomes William White, senior fellow at the C.D. Howe Institute, and Joseph Wang, former senior trader for the New York Federal Reserve.They discuss why economic forecasts are so often wrong, how the world can escape the “debt trap,” and how central bankers face a trade-off between price stability (low inflation) and financial stability.William White’s work can be found here: https://williamwhite.ca/Joseph Wang’s writings can be found here: https://fedguy.com/--Follow Jack Farley on Twitter https://rb.gy/uesguvFollow Forward Guidance on Twitter https://rb.gy/cy0dkiFollow Blockworks on Twitter https://rb.gy/igyzsj__Academic papers referenced:"Where Has All the Liquidity Gone?" by Raghuram Rajan and Viral Acharya: https://rb.gy/n47fah"Why Do We Think That Inflation Expectations Matter for Inflation? (And Should We?)" by Jeremy Rudd: https://rb.gy/4wjzx8"Some Unpleasant Monetarist Arithmetic" by Thomas J. Sargent & Neil Wallace: https://rb.gy/53kikqWilliam White's recent presentation on the future of policy modelling:https://rb.gy/robwk2--Join Kraken, Binance, Arrington Capital, and 2000 others in heading to Dubai this fall for Algorand's DECIPHER conference, happening November 28-30. Tickets are available now -- use code DecipherFam22 for 25% off: https://www.decipherevent.com--Get top market insights and the latest in crypto news. Subscribe to Blockworks Daily Newsletter:https://rb.gy/5weeywMarket commentary, charts, degen trade ideas, governance updates, token performance, can’t-miss-tweets and more. Subscribe to the Blockworks Research “Daily Debrief” Newsletter:https://rb.gy/feusosFind out more about the Blockworks video editor role here: https://blockworks.co/careers/--Timestamps:(00:00) Introduction(01:09) Looking Back At 2022(04:20) Quantitative Tightening (QT) is Causing Disruptions(11:55) "The Central Bankers Have Made A Profound Ontological Error"(23:17) Does Fed Chair Jay Powell Pay Attention To Economic Models?(25:25) Algorand Ad(27:09) If Inflation Is Supply-Side Driven, What Should Central Bankers Do?(40:43) The Debt Trap(46:04) Powell Is Not Worried About a Recession - Is This A Mistake?(54:39) Getting Out Of The Debt Trap(58:36) The Fed Has Lost A Lot Of Money(01:04:22) A Global Economic Slowdown is Here(01:09:52) Crypto Contagion and the Fall of FTX--Disclaimer: Nothing discussed on Forward Guidance should be considered as investment advice. Please always do your own research & speak to a financial advisor before thinking about, thinking about putting your money into these crazy markets.

Famed economist William White discusses the political environment and tribalism of climate change, the transition to an era of scarcity caused by negative supply side factors, the impact of changing demographics and population growth on inflationary pressures, implications of government deficit and Fed's balance sheet increase, the complexities of scarcity and abundance, and different views on the emphasis of demand side vs supply side.

William White, a former central banker at the Bank for International Settlements, discusses the perils of decades of easy monetary policies. He warns about the potential shift from debt deflation to hyperinflation, exploring the fragility of the current debt-driven system. White highlights the rising necessity for gold as a stable asset amidst fiscal dominance and increasing international tensions. He provides insights into the balance needed in economic policies and the impact of Basel III regulations on financial stability, making for a thought-provoking discussion on the future of the global economy.