Dallas Fed President Dick Fisher loves everything about Texas. Well, almost everything.
Fisher made a speech Wednesday that is titled “The Limits of Monetary Policy,” explaining why we shouldn’t blame the Fed for our economic malaise. But like many of Fisher’s speeches, this one might as well be subtitled “Don’t forget how great Texas is.”
Fisher compares the diverging fortunes of various overstretched states with his one and only. The upshot is that places like Ohio, California and Michigan are kidding themselves with their red tape and sprawling governments. Taxes, in short, are what kill growth.
You get the idea. The point is that in Texas, government gets out of the way, Fisher says. Sure, there are those who might take issue with the sustainability of that approach. By some accounts Texas faces an Illinois-sized, $27 billion budget gap over the next two years.
But why wade too deep into the details. The bigger point is that Fisher sees Texas as the model the nation must adopt, if only our elected leaders would get around to doing something useful.
His only quibble with Texas, it seems, is with the Fed-bashing focus of one of the Lone Star state’s representatives in Congress, who in Fisher’s view might do well to turn his energies to actually doing something rather than grandstanding about the hugeness of the gold standard.
In short, audit this, Ron.