Although the logic for politician non-involvement in Monetary Policy is reversed in a liquidity trap, I still don't like the idea...
That said, I do think the CEA and administration should try to "work the refs" -- create momentum from top economists for more QE. Two people Larry Summers might want to have a word with are Mark Gertler and Michael Woodford, who've written such real-world-relevant papers as "Monetary policy in a world without Money", are prestigious, well-respected theoretical Monetary Economists who don't often privilege us with comments on real-world economic phenomena.
Yet, from their theoretical papes, they should be all over more QE today, and, of course, they are well-respected by Ben Bernanke.
Mortgage Equity Withdrawal Increased in Q2
1 hour ago